Escrow & Title
A title insurance policy that protects the buyer against defects in title is called a(n):
ALender's policy (mortgagee's policy)
BOwner's policy (fee policy)✓ Correct
CAbstract of title
DChain of title
Explanation
An owner's (fee) policy protects the buyer's ownership interest against title defects, liens, encumbrances, or fraud that existed prior to closing. A lender's policy protects only the lender's interest and does not protect the buyer.
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