What is Title Insurance?

This entry was posted in Real Estate on .

Title insurance insures the purchaser’s of real property on the Big Island of Hawaii from defective titles, liens, and encumbrances.

Protecting purchasers against possible loss is accomplished by the issuance of a title insurance policy, which states that if the status of the title to a parcel of real property is other than as represented, and if the insured suffers a loss as a result of title defect, the insurer will reimburse the insured for that loss and any related legal expenses, up to the face amount of the policy.

The primary purpose of title insurance is to eliminate risks and prevent losses caused by defects in title arising from the past. Title insurers perform an extensive search of the public records to determine whether there are any claims against the subject property. Those claims are either eliminated prior to the issuance of a title policy or their existence is “excepted” from coverage.

Benefits of Title Insurance


The purchaser of Real Property in Hawaii needs protection against serious financial loss due to a defect in the title to the property purchased. For a one-time premium a buyer can receive the protection of a title insurance policy – a policy that is backed by the reserves and the solvency of the title company. A title insurance policy will cover claims arising out of title problems that could have been discovered in the public records, and those so-called “non-record” defects that could not be discovered in the record. Even with the most complete search.


A policy of title insurance provides a mortgage lender with a high degree of safety against the loss of security as a result of a title problem. This protection remains in effect for as long as the mortgage remains unsatisfied.


An owner of real property whose interest is insured by an owner’s title insurance policy has the assurance that the title will be marketable when selling the property. The title insurance policy protects the seller from financial damage if the seller’s title is rejected by a prospective purchaser. Also, when the seller conveys with “warranties,” the seller is still protected if the buyer sues because of a breach of those warranties.*

Title Insurance gives you Peace of Mind so you can enjoy YOUR HOME!

This information is presented with courtesy from Old Republic Title, Kailua-Kona, Hawaii.
*This information is time sensitive and is subject to change without notice.

LUVA Real Estate strives to deliver superior service in the luxury vacation and general real estate market in Kailua-Kona, Hawaii and surrounding areas. As an extension of our company’s top-tier services, we offer information and best practices to assist you in any way that we can. We sincerely hope the information presented will assist in understanding Hawaii Real Property Title Insurance to a greater degree.

When planning your next vacation to Hawaii, give us a call so we can assist you . Perhaps you’re looking to buy a luxury home, condo or piece of land in the Kailua-Kona, Keauhou, Kukio, Hualalai, Waikoloa and Mauna Kea area, if so we are here for you. Our agents are dedicated, knowledgeable and experienced.