Escrow & Title

In Ohio, which of the following is TRUE about 'insured closing protection' in a title transaction?

AIt protects the title company's investment
BIt protects the lender and buyer from losses due to the closing agent's fraud or failure to follow instructions✓ Correct
CIt replaces the need for the buyer to have an attorney at closing
DIt is only available in commercial transactions

Explanation

Insured closing protection (closing protection letter) protects lenders and buyers against losses caused by the title company's or closing agent's fraud, dishonesty, or failure to follow closing instructions.

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