How to Review Your Title Insurance Policy in Denve

Title insurance is an essential part of the home buying process in Denver, providing crucial protection against potential title defects and claims. Once you have purchased a title insurance policy, it’s vital to review it thoroughly to understand your coverage and any exceptions. This guide will walk you through the steps to effectively review your title insurance policy, ensuring you are well-informed about your rights and protections.

1. Obtain a Copy of Your Title Insurance Policy

The first step in reviewing your title insurance policy is to obtain a copy from your title insurance company. If you purchased your home recently, you should have received the policy at the closing. If not, contact your title insurance agent or company and request a copy. It’s important to keep this document in a safe place, as it contains valuable information regarding your coverage.

2. Understand the Basic Components of the Policy

A title insurance policy typically includes several key components:

• Policy Type: There are different types of title insurance policies, such as owner’s policies and lender’s policies. Make sure you understand which type you have and what it covers.

• Insured Amount: This is the dollar amount the title insurance company will pay in the event of a covered loss. Ensure this amount aligns with your property value.

• Policy Period: Title insurance is typically valid for as long as you own the property. Make a note of the policy issuance date to keep track of its duration.

3. Review the Coverage Details

Take the time to read the coverage details outlined in your policy. Common coverages include:

• Protection Against Claims: Your policy protects against ownership disputes, liens, and other defects that may arise after your purchase.

• Legal Defense Costs: Title insurance often covers legal fees incurred when defending against claims on the title.

• Exceptions and Exclusions: Every policy will have exceptions—situations not covered by the insurance. Review these carefully, as they outline specific scenarios where you may not be protected.

4. Pay Attention to Exceptions and Limitations

Title insurance policies will include a section detailing exceptions and limitations to coverage. This is a critical part of your review:

• Common Exceptions: Some common exceptions may include zoning issues, unrecorded liens, or certain easements. Understanding these exceptions can help you assess potential risks.

• Negotiable Items: If you identify any exceptions that concern you, discuss them with your real estate attorney or title insurance agent. Some exceptions may be negotiable, and you might be able to adjust your coverage based on your needs.

5. Consult with a Title Insurance Professional

If you find the language in your policy complex or confusing, consider consulting with a title insurance professional. They can help clarify any sections you may not understand and provide insights into the implications of specific terms.

6. Keep Your Policy Updated

As your circumstances change—whether through renovations, additional purchases, or changing property values—consider reviewing and potentially updating your title insurance policy. Notify your title insurance company of any changes to your property that may affect your coverage.

Conclusion

Reviewing your title insurance policy is a critical step in protecting your investment in Denver real estate. By understanding your coverage, exceptions, and the importance of keeping your policy updated, you can ensure you are fully protected against potential title defects and claims. Should you have any questions or concerns about your policy, do not hesitate to reach out to your title insurance agent for assistance.

Questions? Contact: Jerad Larkin at 303.630.9430 or Info@MileHighTitleGuy.com