Owning your property free and clear involves more than just the delivery of a deed. A deed does not wipe out certain rights that other persons may have to your property. These claims may go back as far as the first persons to own the property.

As an owner you may wonder, "How can I be protected from these hidden defects in the chain of title?" The answer to your question is a Title Insurance Policy.

A Policy Title Insurance is an insured statement of the condition of ownership of real property. A title policy says: "You own what your deed says you own, and if it turns out to the contrary, we'll pay you for your loss." The policy protects its holder against title defects, liens and encumbrances existing on the date the policy is issued (subject to the exceptions listed on the policy).

The most important thing to remember is that a Title Insurance Policy gives you peace of mind of knowing that the property that you are purchasing is "just what you bargained" to purchase.

Note: A First American Title Insurance Policy explains in detail the coverage and exclusions to the policy. Please refer to the policy itself to determine the exact coverage and exclusions of the policy.