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Title Insurance and Common Endorsements

By Daniel Goodwin and Robert Beach

When a landlord purchases commercial property, he must procure title insurance. The purpose of commercial real estate purchasers title insurance ' a contract of insurance between a title company and the purchaser ' is to protect the purchasers' ownership interests from claims or losses that result from certain defects in the title. This article provides a brief description of the architecture of a standard title insurance policy along with the risks that are covered and not covered. It then explores the addition of endorsements to the title policy and how they provide additional protection for the purchaser. Last, the article reviews the endorsements most commonly requested by purchasers of shopping center developments.

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