What type of policies are typically covered in Schedule A?

Schedule A of a title insurance policy is designed to provide essential details about the property being insured, including the type of policies involved in the transaction. In this context, the loan policy and owner's policy are the two primary types of title insurance policies covered in Schedule A.

The loan policy protects the lender's interests in the property during a real estate transaction, ensuring that the lender is covered against potential claims or defects in the title. On the other hand, the owner's policy protects the property owner's investment by covering the owner against claims that may arise after the purchase, thus safeguarding their ownership rights.

This distinction is critical because title insurance serves to eliminate risks associated with title defects, undisclosed liens, and other issues that could jeopardize ownership or lending agreements. Knowing that Schedule A includes these specific types of policies helps clarify their roles in real estate transactions and highlights the importance of title insurance in protecting both the lender's and owner's interests.