Showing posts from 2007

Bill Limits Title Insurance Sales

A bill that requires licensure of individual title insurance agents and bars licensed insurance agents from selling title insurance was approved by the House Wednesday.
A floor substitute for House Bill 3176, by Rep. Richard Phillips, R-Warr Acres, also prohibits abstractors and attorneys from acting as a title insurance agent unless licensed to do so. Phillips said insurance commissioner John Crawford interprets current law as providing that only abstractors can sell title insurance, an interpretation that affects about 29 individuals who could offer title insurance under a previous commissioner's interpretation. Currently, Phillips said, real estate closing firms sometimes employ attorneys to countersign title policies, a practice he said frowned upon by Crawford and abstractors. Under the bill, title insurance agents would have to be state residents, obtain a surety bond of not to exceed $50,000, file an annual financial statement with the state insurance commissioner and discl…

Consider Title Insurance For Yourself

In terms of real estate, a title is the piece of paper that proves your house is really your house. It is your deed. That piece of paper is so important that before you get it the lender will insist on a title search. And just in case that search misses something, your lender will also insist that you buy title insurance to protect his or her investment. Even though it is not required, you should also consider purchasing title insurance to protect yourself. A title search is a records search to see who actually owns the house. Does the seller have a clear title to it? If two people own a home, for example, both must agree to sell it. If one tries to sell it while the other does not want it sold, the whole matter could end up in court.A side note: If you bought the house with someone else whose name is still on the deed, such as an ex-spouse, that person has a say in whether or not the house can be sold. Make sure the house is completely in your name or that the other deed holder ag…

Condominium unit title insurance (page5)

Examples of these documents include a declaration, by-laws, plats and maps. See JOYCE PALOMAR, TITLE INSURANCE LAW, 9.07 (1997). ' See ALTA Endorsement 4 (Condominium), Appendix A, infra p. 194. The ALTA Condominium Endorsement Form 4 was adopted in New York on September 1, 1993. 8 See ALTA Endorsement 4.1 (Condominium), Appendix B, infra p. 196. Form 4 and Form 4.1 are identical with two exceptions. In those states where the association lien for common charges has been granted a super-priority status, Form 4.1 is used and assures only that the insured interest has priority and that no amount is due or lien is in existence for condominium association charges at the date of the policy. ALTA Endorsement 4, supra note 7; ALTA Endorsement 4.1, supra note 8. See, e.g., ALA. CODE 35-8A-401 to -417 (1991); N.C. GEN. STAT. 47C-4101 to -113 (1996). For example, the condominium acts in Alabama and North Carolina each have sections that require offering statements to provide specific informa…

Condominium unit title insurance (page4)

The ALTA Condominium Endorsement Form 4.1 of October 17, 1992 goes even further than insuring priority by substituting a new paragraph four in place of the paragraph four in the ALTA Condominium Endorsement Form 4 as follows: "Any charges or assessments provided for in the condominium statutes and condominium documents due and unpaid at Date of Policy."27 This Form 4.1 language insures that there are no unrecorded common expense liens unpaid as of the date of policy. Without this language an inchoate unpaid lien that existed at the date of the policy, but not filed or recorded until later, would not be covered by the policy as a post-policy lien. Under a statute such as New York Real Property Law section 339-aa, the common charges lien is effective only from and after the filing of a verified notice of the lien in the recording office in which the declaration is filed. Furthermore, the notice of lien must conform to the various requirements set forth in the statute.28 Paragr…

Condominium unit title insurance (page3)

It should be noted that the insurance only deals with "present violations" as of the date of the policy. It is difficult to imagine how the violation of a restrictive covenant by the seller might result in loss or damage to the new purchaser or mortgagee. Paragraph four in ALTA Condominium Endorsement Form 4, although seemingly applicable to loan policy coverage only, can actually be used for either form of policy. Paragraph four insures against loss or damage sustained by reason of: The priority of any lien for charges and assessments provided for in the condominium statutes and condominium documents over the lien of any insured first mortgage identified in Schedule A.22 The mortgage lien priority insured only deals with charges and assessments that were given priority by the applicable condominium statute. This usually involves the lien in favor of the condominium association for common expenses and charges. Underwriting requires an examination and understanding of the app…

Condominium unit title insurance (page2)

While paragraph one of the Condominium Endorsement deals with the unit not being part of a statutory condominium, paragraph two deals with the adverse effect on title to the unit if some of the required statutory documents do not comply with all of the statutory requirements. Usually, the basic statutory condominium documents are the declaration, by-laws, and plans. Many of the condominium statutes require that the declaration or other documents either contain certain provisions or conform to standards set forth in the statute. For instance, UCA section 2-105 sets forth fourteen necessary contents of the declaration of a condominium.13 With respect to "Flexible Condominiums" and "Leasehold Condominiums,"14 both of which are impermissible in many states,15 there are additional statutory requirements in sections 2-106 and 2-107. In the states that have adopted the UCIOA, its section 2-105 also contains fourteen requirements.16 Similarly, there frequently are other re…

Condominium unit title insurance

A condominium unit is real property and, as such, is insurable under all current forms of title insurance policies, including the almost nationally accepted forms of the American Land Title Association ("ALTA"). As such, the owner's policy insures against loss sustained by the insured by reason of the following four coverages: 1. Title to the estate or interest described in Schedule A being vested other than as stated therein; 2. Any defect in, or lien or encumbrance on, the title; 3. Unmarketability of the title; 4. Lack of a right of access to and from the land.l The ALTA loan policy2 furnishes all four coverages to a condominium unit mortgagee plus four additional coverages:
5. The invalidity or unenforceability of the lien of the insured mortgage upon the title; 6. The priority of any lien or encumbrance over the lien of the insured mortgage; 7. Lack of priority of the lien of the insured mortgage over any statutory lien for services, labor or material: (a) arising fr…

Chicago Title Insurance Company

Chicago Title Insurance Company has appointed James G. Hyland to the position of assistant vice president and counsel to its Mineola office. Hyland was formerly chief underwriting counsel to Stewart Title Insurance Company in New York City.
COPYRIGHT 2006 Hagedorn Publication
COPYRIGHT 2006 Gale Group

The Importance of Purchasing Title Insurance

The Importance of Purchasing Title Insurance
Every day, buyers put in offers on Philadelphia Condominiums they would like to purchase. Such offers are usually contingent upon certain inspections such as a termite, mold, or home inspection. This is a great idea especially because purchasing a home-whether it's an Old City Loft or a Rittenhouse Square Condominium-could be the biggest and most important purchase of someone's life. But for some reason, no one ever seems as concerned about the condition of their new condominium's title. Most people may not even realize that purchasing a home with a "moldy" title could end up causing you more financially, not to mention emotionally, than having to replace a roof.

Before I continue, let me explain that in the State of Pennsylvania, title insurance is a standard rate based on sales price and regulated by the "Title Insurance Rating Bureau of Pennsylvania" as you can see on most title company websites like this on…

The basics of title insurance

The basics of title insurance. Buying a home is a long process that requires a lot of different things to all come together at one time. Once you have gotten past one hurdle, you find that there is something else you have forgotten to do or think about in your home buying transaction. One thing that is commonly cast to the side is the title insurance.
When you line up your mortgage and financing, the lender will probably assign a title company to your home, but that doesn’t mean you should just stop there and forget about it all together. It is important that you research the title company and understand the title process before you proceed so you do not run into problems down the road. This can save you a lot of time, energy and stress in the long run.
A recent article by Bobbie Sage of, “What you need to know about your title insurance company,” discusses some important things that every homeowner should know about title insurance and the company you are working with. So for …

Types of Insurance

Types of insurance

Any risk that can be quantified can potentially be insured. Among the different types of commercially available insurance are:

Types of insurance--Automobile insurance
known in the UK as motor insurance, is probably the most common form of insurance and may cover both legal liability claims against the driver and loss of or damage to the insured's vehicle itself.
Throughout most of the United States an auto insurance policy is required to legally operate a motor vehicle on public roads.
In some jurisdictions, bodily injury compensation for automobile accident victims has been changed to a no fault system, which reduces or eliminates the ability to sue for compensation but provides automatic eligibility for benefits.

Types of insurance--Aviation insurance
insures against hull, spares, deductible, hull war and liability risks.

Types of insurance--Boiler insurance
(also known as boiler and machinery insurance or equipment breakdown insurance) insures against accidental phys…

Title Insurance Glossary

Title Insurance Glossary
Abstract of TitleA summary of the public records
affecting the title to a particular piece of land. An attorney or title
insurance company officer creates the abstract of title by examining
all recorded instruments (documents) relating to a specific piece of
property, such as easements, liens, mortgages, etc.Abutto touch or border upon. For example, a piece of land
bordering on a street or an adjoining property is said to abut such
street or property.Accretiona natural increase of land along the shores of a body of water.Acknowledgmenta formal declaration before a notary public
or qualified officer that the person signing a document is doing so
voluntarily and using his or her legal name and signature; popularly
called notarizing.Actual noticeInformation that can be observed, heard, or otherwise sensed.Administerto pay the debts and finalize up the business of a deceased person's estate.Adverse Possessionacquisition of title to real property through continued occup…