Is There a Homeowner’s Association Title Insurance Rider in Florida?
Title insurance provides protection in cases where financial losses are caused due to problems with a land title. Lenders typically take on this type of insurance to gain protection from irrecoverable losses in the case that a title is void or otherwise defective. Buyers, as well as condominium companies, can also purchase title insurance to protect the equity that is held in a property. There are no title insurance policy laws in Florida. However, it is essential that every HOA or condo board making a new property investment seeks to obtain the most extensive coverage possible. Title defects can become extremely expensive without insurance coverage. In most cases a defective title will result in a complete loss of all investment. As defined by legal experts, a defective title is any title not marketable due to land being sold by a party that is not the legal owner.