Sarah discovers that her neighbor's fence encroaches 3 feet onto her property, which she purchased 2 years ago in Jacksonville. Her title insurance policy shows no survey exception. What is the most likely outcome regarding her title insurance claim?

Correct Answer

D) The claim will likely be covered since no survey exception was listed

Correct: D - The claim will likely be covered since no survey exception was listed. If no survey exception was listed in the policy, encroachments that would have been revealed by a survey are typically covered. Why not A: This option is incorrect because "The policy will only cover legal fees, not damages" does not match the rule tested by the question. The correct answer is "The claim will likely be covered since no survey exception was listed". If no survey exception was listed in the policy, encroachments that would have been revealed by a survey are typically covered. Why not B: This option is incorrect because "Coverage depends on whether the encroachment existed before the policy date" does not match the rule tested by the question. The correct answer is "The claim will likely be covered since no survey exception was listed". If no survey exception was listed in the policy, encroachments that would have been revealed by a survey are typically covered. Why not C: This option is incorrect because "The claim will be denied because encroachments are never covered" does not match the rule tested by the question. The correct answer is "The claim will likely be covered since no survey exception was listed". If no survey exception was listed in the policy, encroachments that would have been revealed by a survey are typically covered.