title insurance

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The Information Architects of Encyclopaedia Britannica

Last updated

July 14, 2026

Quick Summary

Title insurance is a contract that protects the buyer of real estate against financial loss resulting from unknown defects in the property's title. These defects can make the property unmarketable or lead to costs incurred to fix them.12

The need for title insurance stems from the complexity of real estate transactions. Even small legal errors can create title defects. Examples of such defects include forgeries, invalid wills, or property transfers by individuals not legally capable of contracting. Title insurance has been available since at least 1882.21

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insurance
Title insurance
Title insurance is a contract guaranteeing the purchaser of real estate against loss from undiscovered defects in the title to property that has been purchased. Such loss may stem from unmarketability of the property because of defective title or from costs incurred to…
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Title insurance is a contract guaranteeing the purchaser of real estate against loss from undiscovered defects in the title to property that has been purchased. Such loss may stem from unmarketability of the property because of defective title or from costs incurred to…
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casualty insurance
Title insurance guarantees the purchaser of real estate against loss from undiscovered defects in the title to property purchased.
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Title insurance guarantees the purchaser of real estate against loss from undiscovered defects in the title to property purchased.
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