Escrow & Title
In Nevada, what is the 'ALTA' policy of title insurance and how does it differ from a standard coverage policy?
AALTA and standard coverage policies are identical in Nevada
BAn ALTA (lender's) policy protects the lender's interest, while a standard (owner's) policy protects the buyer's ownership interest✓ Correct
CALTA policies cover only commercial transactions; standard coverage covers residential
DStandard coverage is the extended policy providing more protection than the ALTA policy
Explanation
In Nevada title insurance, ALTA (American Land Title Association) policies are typically purchased for the lender's benefit and protect the lender's mortgage interest. Standard coverage policies are common owner's policies, protecting the buyer's ownership interest against title defects existing at the time of purchase. Extended ALTA owner's policies offer additional protections including survey matters. The buyer typically pays for the owner's policy; the buyer (or lender) pays for the lender's policy.
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