Outline
This is an outline of the affirmative coverages available under the Homeowner's
Policy. Note that you need to refer to the policy for an explanation of
exclusions, conditions and deductibles.
Comparison to other types of policies
Inspections and Homeowner's Policies
Sample Exception - Building Permit
Delete Natural Person Requirement
This endorsement is issued with Chief Title Officer approval.
A Homeowner's Policy is limited to "Natural Persons". This endorsement permits the policy
to be issued to an entity which is not a natural person, such as a corporation,
limited liability company or partnership. Issuance is appropriate in cases such as where an individual is purchasing a one to four
family residence and wishes to take title in the name of their own separate
entity, or where a corporation purchases property as housing for employees.
Paragraph 2.b. of the policy does not make sense when the insured is not a natural person because it provides for continued coverage in favor of heirs, a spouse or a trustee. This endorsement amends paragraph 2.b. with language similar to an ALTA Owner's Policy, insuring corporate or fiduciary successors.
Expanded Survey Coverage
This endorsement is available only if the insured submits an ALTA survey. If any encroachments or
other adverse matters affecting title are disclosed by the survey, appropriate
exceptions must be made after the first paragraph in the endorsement. If none
are found, then insert "NONE".
Vacant Land
This endorsement is issued with Chief Title Officer approval.
A Homeowner's Policy is limited to property containing a one to four family residential
structure. This endorsement permits the policy to be issued on vacant land.
Underwriters will approve issuance on a case-by-case basis where the insured is
purchasing a residential lot and plans to construct a residence.
Many of the coverages of the policy pertain to "existing structures" or "existing improvements". These coverages do not make sense where vacant land is involved. The endorsement makes it clear that these coverages do not apply. This is admittedly redundant, but is intended to emphasize that encroachment coverage is extremely limited when the property is vacant.