There may be defects in title which an examination may not disclose. A title policy protects against all of these hidden risk, and more:
- Errors, gaps or omissions in chain of title
- Marital property rights not disclosed of record
- Mistakes in recording
- Confusion of names
- Conveyances altered before recording
- Voiding or limiting seller’s record of title
- Deeds by minors
- Deeds by persons supposedly single but secretly married
- Deeds by persons of unsound mind
- Deeds delivered after death of grantor or grantee, or without consent of the grantor
- Defective foreclosures of mortgages
- Errors made by administrators and executors
- Errors in copying and indexing
- False representations in appointment of guardians and administrators
- Falsification of records
- Forged deeds, releases, or wills
- Fraud, duress, or coercion in securing essential signatures
- Illegal acts of trustees
- Incompetence
- Instruments executed under expired or fabricated power of attorney
- Impersonations by fraudulent persons
- Legal costs to defend claim to title
- Liens for unpaid estate, inheritance, income, and gift taxes
- Undisclosed or missing heirs
- Risks not appearing of record