No, there are two types of Title Insurance. Your lender likely will require that you purchase a Lender’s Title Insurance Policy. This policy only insures that the lender has a valid, enforceable lien on the property. Most lenders require this type of insurance, and typically require the borrower to pay for it. In the event of a claim under the lender’s policy only the lender’s interest is protected and the coverage the lender has is much different than what an owner needs. An Owner’s Title Insurance Policy, on the other hand, is designed to protect you from title defects that existed prior to the issue date of your policy. Title troubles, such as improper estate proceedings or pending legal action, could put your title at serious risk. If a valid claim is filed, in addition to financial loss up to the face amount of the policy, your Owner’s Title Insurance Policy covers the full legal cost of any legal defense of your title.