Escrow & Title
A Connecticut title insurance company discovers a mechanic's lien filed after the date of the owner's policy. The policy will:
ACover the loss as any defect in title
BNot cover this claim—the owner's policy covers only defects existing before the policy date✓ Correct
CCover it only if the lien exceeds $10,000
DAutomatically pay the lien
Explanation
An owner's title insurance policy covers title defects that existed as of the policy issue date. A mechanic's lien arising after the policy date is a post-policy event and is not covered.
Related Connecticut Escrow & Title Questions
- Which of the following liens has the highest priority in Connecticut regardless of when it was recorded?
- An abstract of title is best described as:
- Which type of notice is given to parties who are actually aware of a claim or interest in property (not through public records)?
- In Connecticut, deeds are recorded in the:
- A Connecticut real estate broker who misappropriates funds held in their escrow account is subject to:
- In Connecticut, the transfer tax paid by the seller when real property is conveyed is commonly known as the:
- A lis pendens is recorded in the Connecticut land records to:
- Which deed is commonly used to clear a title defect because it conveys only whatever interest the grantor may have, with no warranties?
Practice More Connecticut Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Connecticut Quiz →