EstatePass
Transfer Of TitleTitle InsuranceMEDIUM

In South Dakota, title insurance protects against:

Correct Answer

B) Undiscovered defects in title that existed before the policy date

Title insurance protects the insured against financial loss from defects in title that existed before the policy date but were not discovered during the title search. Examples include forged documents, undisclosed heirs, recording errors, and unknown liens.

Answer Options
A
Future property damage
B
Undiscovered defects in title that existed before the policy date
C
Decline in property value
D
Structural defects in the building

Why This Is the Correct Answer

Sign up free to unlock full analysis

Why the Other Options Are Wrong

Sign up free to unlock full analysis

Deep Analysis of This Transfer Of Title Question

Sign up free to unlock full analysis

Background Knowledge for Transfer Of Title

Sign up free to unlock full analysis
Sign up free to unlock full analysis

Real World Application in Transfer Of Title

Sign up free to unlock full analysis

Common Mistakes to Avoid on Transfer Of Title Questions

Sign up free to unlock full analysis

Related Topics & Key Terms

Related Topics:

title-searchowner-vs-lender-policyone-time-premiumhidden-defects

Key Terms:

title insurancehidden defectspast eventsone-time premiumowner vs lender
Was this explanation helpful?

More Transfer Of Title Questions

People Also Study

Practice More Questions

Access 2,000+ practice questions and pass your real estate exam.

Start Practicing