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Insurance that provides an indemnity against loss or damage as a result of defect in title ownership to a particular piece of property. Title insurance covers matters which could not be found or discovered in the public records such as missing heirs, fraud and forgery.
Unlike other types of insurance which protects against future events, title insurance protects against losses from defects in the past chain of title. The title insurance premium is collected for at the time of closing and is typically paid for by the seller for the benefit of the buyer, or if refinancing it is purchased by the borrower.
The lender will normally require endorsements to the title insurance policy to protect their interest. These are typically paid for by the buyer. | 
