Owner's Policy + Survey
Owner Title Policies & Surveys Explained
Long Form ("old style") title insurance policies exclude coverage for matters of survey, unless a current survey is performed and incorporated into the terms of the policy. Practical example of a Long Form Owner Policy–
Assume, for example, a house sits on a lot in a subdivision and someone buys the property. At closing, an owner's policy is purchased without the benefit of a current survey. If it is later determined that the house actually sits on the adjacent lot, the homebuyer would not have a valid claim under the policy because of the survey exception.
On the other hand, what if the homebuyer did have a survey performed prior to closing? In this case, coverage would depend on what the survey revealed. If the survey correctly revealed that the house was located on the adjacent lot, there would still be no coverage, since the title policy would insure only matters undisclosed by the survey. And this would have been evident prior to the conclusion of the closing.
However, if the survey erroneously depicted that the house existed on the lot being purchased, then the homebuyer would have full coverage up to the limit of the policy, since the defect was a matter not disclosed by the survey.
That's the importance of a survey!
Long Form ("old style") title insurance policies exclude coverage for matters of survey, unless a current survey is performed and incorporated into the terms of the policy. Practical example of a Long Form Owner Policy–
Assume, for example, a house sits on a lot in a subdivision and someone buys the property. At closing, an owner's policy is purchased without the benefit of a current survey. If it is later determined that the house actually sits on the adjacent lot, the homebuyer would not have a valid claim under the policy because of the survey exception.
On the other hand, what if the homebuyer did have a survey performed prior to closing? In this case, coverage would depend on what the survey revealed. If the survey correctly revealed that the house was located on the adjacent lot, there would still be no coverage, since the title policy would insure only matters undisclosed by the survey. And this would have been evident prior to the conclusion of the closing.
However, if the survey erroneously depicted that the house existed on the lot being purchased, then the homebuyer would have full coverage up to the limit of the policy, since the defect was a matter not disclosed by the survey.
That's the importance of a survey!
About Expanded Coverage Title Policies.
Title insurers have developed an improved title insurance product known as "expanded" policies which offer limited survey protection in exchange for a higher title premium. The policies generally provide limited survey coverage, even without the benefit of a current survey (or any survey at all). The limitations are issuance only for limited property types; full coverage limited to the main dwelling structure; limited or no coverage for structures other than the main dwelling unit; and deductibles and limits for certain claims. These "enhanced" policies may offer increase in coverage limits, subject to limitations, as well as other features.
Title insurers have developed an improved title insurance product known as "expanded" policies which offer limited survey protection in exchange for a higher title premium. The policies generally provide limited survey coverage, even without the benefit of a current survey (or any survey at all). The limitations are issuance only for limited property types; full coverage limited to the main dwelling structure; limited or no coverage for structures other than the main dwelling unit; and deductibles and limits for certain claims. These "enhanced" policies may offer increase in coverage limits, subject to limitations, as well as other features.
Please contact us to discuss your individual situation. We guarantee a superior level of service.
We Deliver Service.
At Georgia Title & Escrow, we deliver personalized service and custom tailored closing and title services. Did you know—
At Georgia Title & Escrow, we deliver personalized service and custom tailored closing and title services. Did you know—
- Many title agents will issue the highest priced policies without evaluating with the buyer the various options available to homebuyers?
- Expanded policies are never a substitute for a current survey?
- Title Policies may provide little to no coverage on improvements such as swimming pools, walls, carriage houses, detached garages or other improvements outside the main dwelling structure?
- Issuance of the wrong type of policy, even when a current survey is obtained, can result in far less coverage?
- In many cases the difference in premium between long form policies and expanded policies can exceed the cost of a new survey?
Our Clients Love Value
We assist our clients in evaluating title insurance products and options. In the process, we maximize value, exceed client expectations and create long lasting relationships.
We assist our clients in evaluating title insurance products and options. In the process, we maximize value, exceed client expectations and create long lasting relationships.
Questions? Speak with a Real Estate Lawyer
CHRIS PAHL
Attorney at Law
Georgia Title & Escrow Co LLC
945 E Paces Ferry Road
Resurgens Plaza
Atlanta, GA 30326
Telephone +1(678)448-4148
Attorney at Law
Georgia Title & Escrow Co LLC
945 E Paces Ferry Road
Resurgens Plaza
Atlanta, GA 30326
Telephone +1(678)448-4148
+1(678)448-4148
© 2014-2024 Georgia Title & Escrow Company LLC.
All rights reserved.
© 2014-2024 Georgia Title & Escrow Company LLC.
All rights reserved.
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945 E Paces Ferry Road, Resurgens Plaza
Buckhead • Atlanta Georgia 30326
Tel +1(678)448-4148
Open By Appointment Only
Monday through Friday 9am to 5:30pm
Saturday 9am to Noon
Real Estate | Closing Lawyer | Land-Title Insurance
Buckhead • Atlanta Georgia 30326
Tel +1(678)448-4148
Open By Appointment Only
Monday through Friday 9am to 5:30pm
Saturday 9am to Noon
Real Estate | Closing Lawyer | Land-Title Insurance
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