Escrow & Title
An owner's title insurance policy in Indiana protects:
AThe lender against borrower default
BThe buyer against title defects that existed before closing, including those not discovered in the title search✓ Correct
CThe seller against future liens
DThe buyer against title defects arising after closing
Explanation
An owner's title insurance policy protects the buyer against pre-existing title defects — including hidden defects such as forged deeds, undisclosed heirs, and errors in public records — that may not have been discovered in the title search.
People Also Study
Related Indiana Questions
- An owner's title insurance policy protects the buyer against title defects that:Escrow & Title
- An owner's title insurance policy protects:Escrow & Title
- An Indiana title policy's standard exception for 'matters not shown by the public records' typically excludes coverage for:Escrow & Title
- An Indiana property owner's title insurance policy is not required to be renewed annually because:Escrow & Title
- An Indiana buyer's lender requires title insurance. Who typically purchases the lender's title policy?Finance
- Indiana's Statewide IT System (GIS) maintains public records including:Property Ownership
- An Indiana title company charges $3.50 per $1,000 of purchase price for an owner's title policy. What is the premium on a $385,000 purchase?Real Estate Math
- Indiana's Deeds Book (grantor-grantee index) system requires title searchers to search by:Property Ownership
Key Terms to Know
Title Insurance
Insurance protecting against financial loss from defects in a property's title that existed before closing but were unknown at the time of purchase.
DeedA written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Private Mortgage Insurance (PMI)Insurance required by lenders on conventional loans with less than 20% down payment, protecting the lender — not the borrower — against default.
Math Concepts
Study This Topic
Practice More Indiana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Indiana Quiz →