When you buy a property, you're also inheriting its history. Title insurance protects you against losses from defects in that history — things like undisclosed liens, forged documents, recording errors, unknown heirs, or fraud — that even a thorough title search can miss. If a covered claim surfaces after closing, your policy pays to defend your ownership and cover the loss.
If you're financing your purchase, virtually every lender requires a lender's title policy as a condition of the loan. An owner's policy is optional, but strongly recommended — without one, the lender is protected and you are not.
An owner's policy protects your equity in the property. It covers you (and your heirs) against covered title defects for as long as you own the property, including the legal costs of defending your title. It's a one-time premium paid at settlement.
A lender's policy protects the mortgage lender's interest in the property — the loan amount, not your equity. Its coverage decreases as you pay the loan down and ends when the mortgage is paid off. It does nothing to protect you as the owner, which is why owner's coverage matters.
An owner's policy lasts as long as you or your heirs hold an interest in the property — there's nothing to renew and no recurring premium. A lender's policy lasts until the loan it insures is paid off or refinanced.
Title insurance covers defects that existed before your policy date — not problems you create afterward. Typical exclusions include defects arising after closing, zoning and government regulation issues, eminent domain, environmental conditions, and matters a survey would reveal (unless specifically endorsed). Your policy's Schedule B lists the specific exceptions for your property.
The title search and commitment are typically completed within days of opening your order. The policy itself is issued at or shortly after settlement, once the deed and mortgage are recorded. At Prosperity Abstract we keep you updated in real time through our client portal at every step.
In Pennsylvania, title insurance is a one-time premium paid at closing, based on the purchase price (or loan amount) of the property. Pennsylvania uses all-inclusive rates, meaning the premium covers the title search, examination, and standard settlement services. Contact us with your sales price and we'll quote your exact figure.
No — Pennsylvania title insurance rates are filed with and approved by the state, so every title company charges from the same rate schedule. What does differ between companies is service. You may also qualify for a discounted reissue rate if the property was insured within the previous ten years — ask us, we always check.
In Pennsylvania it's customary for the buyer to pay for both the owner's and lender's policies, but it's ultimately negotiable between the parties in the agreement of sale.
Title insurance rates in Pennsylvania are set by TIRBOP — the Title Insurance Rating Bureau of Pennsylvania — and approved by the Pennsylvania Insurance Department, which also licenses and oversees title companies and agents.
Since PA rates are uniform, the real difference is the people and the process: how fast your file moves, how clearly issues are communicated, and whether anyone picks up the phone after 5PM. That's where we shine — more than 98% of our clients say they'd work with us again.
Give us a call and speak to our knowledgeable title staff.
Contact Us