Insurance Options
Title Insurance with Identity Theft Coverage
Learn How to Protect Yourself
For a one-time premium, title insurance is the most effective and inexpensive way to insure your property. Title insurance covers all legal expenses related to restoring title and is also available to existing homeowners long after they have purchased their properties.
Title Insurance
Title insurance is unlike any other kind of insurance. It is not home insurance, which protects the contents of the house or the structure; it is an insured statement of the condition to the title of the property at the time the policy is issued. Title insurance provides protection against issues like survey defects, unpaid liens, encroachment issues, construction liens, defects in title, costs arising from building code violations, as well as real estate title fraud.
The incidence of real estate title fraud in Canada continues to be on the rise. In spite of recent changes to legislation in Ontario, this type of fraud can have devastating personal and financial effects on its victims, all of which can be prevented with title insurance. As your trusted advisor, we are taking a proactive approach with our members to help protect you from the devastating effects of real estate title fraud.
How does real estate title fraud occur?
When real estate title fraud happens, a fraudster has typically done the following:
- Forged the property transfer/deed
- Registered the title in his or her name
- Forged a discharge of the home's existing mortgage
- Borrowed against the clear title
Real estate title fraud is when someone could make a claim against a homeowner’s ownership of the property. Here is one of many stories that illustrate how title insurance can protect you.
Situation
Real estate title fraud is widespread across Canada. Real estate industry insiders estimate the average case of real estate fraud at $300,000. In comparison, the RCMP estimates the average credit card fraud case in Canada to be $1,200. Industry insiders also estimate that real estate title fraud costs Canadians between $300 million and $1.5 billion each year. If real estate title fraud occurs, the onus is on the homeowner to prove the crime and it can be very costly, financially and emotionally, to restore title. However, despite the rise in title fraud, and a booming real estate market that is pushing housing prices to all-time highs in many communities across the country, a survey commissioned by First Canadian Title in 2005 suggests that one in three Canadian homeowners has no knowledge of one of the most important ways to protect their biggest investment – title insurance.
The Solution
Title insurance protects new and existing homeowners, commercial property owners and lenders against losses as a result of title defects and claims against a property not uncovered in a title search. Title insurance provides protection against issues like unpaid liens, encroachment issues, construction liens, defects in title, costs arising from building code violations, as well as real estate title fraud. The Consumers Council of Canada (CCC) recommends the purchase of title insurance for both new homebuyers and existing homeowners.
What is Identity Theft?
Title fraud often involves identity theft. According to the Office of the Privacy Commissioner of Canada, identity theft is the unauthorized collection and use of your personal information, usually for criminal purposes.
If it falls into the wrong hands, a fraudster can use your personal information to:
- Open credit card and bank accounts
- Redirect your mail
- Secure employment
- Ruin your credit history
The title insurance package being offered includes a one-time premium for identity theft coverage, which will protect you from the effects of identity theft.
| Property Value up to $500,000 | Property Value over $500,000 |
| $389.99 Plus applicable taxes |
$389.99 + $1.00 per $1,000 above $500,000 Plus applicable taxes |
To order, download the Title Insurance with Identity Theft Coverage Order Form
To find out more about title insurance and identity theft protection for you and your largest investment, please contact us.
Please note that if you order a policy, the fee will be deducted from your Credit Union account. Please ensure that your account contains sufficient funds. Contact us directly for more details.
