OK - but how does title insurance actually help?
In a successful claim, First Title can provide assistance and financial cover up to policy limits to help you manage the sticky situations listed above.
Let’s look at a 2019 example of how title insurance helped one of our clients, who took out a policy for their new home in South Australia. As they prepared to develop their property, a survey report disclosed that boundary fences and neighbours’ sheds actually encroached on both sides of the client’s property – making their usable space smaller. Upon discussion, both neighbours refused to relocate their sheds and fences, so the client made a claim with First Title.
Our team reviewed the purchase file and found that the encroachments had not been disclosed to the client before settlement, so we paid for our client to obtain legal advice, leading to negotiation with the neighbours. It was decided that the sheds would remain and the boundary fences would be relocated. With the successful claim, First Title paid the costs for legal advice and the cost to relocate the boundary fences – a total payment of $26,287.
It can seem like a long process to ensure you have all the right insurance cover for your new property, but an easy, single premium payment for title insurance could save you a heap of grief. If you’re ready to take out a policy,
you can request cover right here.