Owner’s Policy (Title Insurance)

Definition: An owner’s title insurance policy protects the insured owner’s interest against covered title losses. It is separate from the policy protecting a mortgage lender.

Example

A homeowner purchases an owner’s policy so a covered claim against ownership can be addressed under that policy.

Keep the distinction clear

Paying for a lender’s policy does not make the buyer’s equity insured by it. An owner’s policy also has coverage limits and exceptions; it is not a promise to fix every dispute.

Related terms

Lender’s Policy (Title Insurance) · Title Insurance · Equity

Keep studying

Deeds, Abstracts, Title Opinions, and Title Insurance

References: CFPB: Owner’s title insurance · Florida DFS: Title insurance overview

Pronunciation (US): OH-nerz POL-uh-see (capitals show stress)

Pronunciation reference: Merriam-Webster