Escrow & Title
What is a 'gap' in title insurance coverage in Illinois?
ACoverage for matters not yet recorded at the time of closing
BA period between the effective date of the title search and the recording of the new deed✓ Correct
CThe deductible on a title insurance claim
DMissing pages in a recorded deed
Explanation
In Illinois, the 'gap' refers to the period between the date of the title search (or commitment effective date) and the actual recording of the new deed and mortgage. During this gap, previously unrecorded claims or liens could be recorded. Gap coverage in a title insurance policy protects against losses arising from claims recorded during this interim period.
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