2001-12-17_REPORT - M1983067 ‎(13)‎

• Permit No: M1983067
• IBM Index Class Name: Report
• Doc Date: 12/17/2001
• Doc Name: PUBLIC HEARING NOTIFICATION
• Media Type: D
• Archive: No

DIVISION OF INSURANCE
DEPARTMENT OF REGULATORY AGENCIES
106 STATE OFFICE aD11.O1NG • 301 E. cOLFA% AVE,
DENVER. COLORADO a030a
STATE OF COLORADO
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May 1, t977
Gear heal Estate PurrJleser:
Following this letter you will find a brief explanation of your tltie
Insurance comsl tment and policy.
TI[le Insurance companies are regulated by this Division, as are
other types of insurance caapan les. This Dlvl Sion slakes certain that cas-
panles Issuing title Insurance eDlvai[ments and title Insurance policies are
financially sound, and that they operate In accordance with ste totes and
regulations.
Ye also have a great Interest in making certain that you, as [he
consuser, understand the purpose of title Insurance and that you understand
your rights under your Insurance policy.
In the event you arc dissatisfied with responses given to your ques-
tions or problaas by your Cltle Insurance coapany, you are encouraged to
send your questions concerning title Insurance or any ccxnplaints that you
nay have against your title Insurer to this offire. Ve are on hand to hake
certain that all your rights and remedies, both under your policy and under
law, arc avallsble to you at all [Imes.
Sincerely,
CHARD BARNES, C.L.U.
Cosmisslaner of Insurance
JRB:hI
As a purchaser of a home or other real estate you may receive a "Commitment for Title Insurance"and a "Policy of Title Insurance" Both of
these documents, like many others in connection with your purchase, ere contreds seating legal rights which you should read cerelully and
which you may wish to have examined and explained by a lawyer or other advisee While the following tlescriptlon of these tlocumenls cannot
dlenge the precise terms of these documents, it is tlopetl that this will help you to understand their purpose and effect and answer some of
your questions about them.
QUESTION: °WHAT IS TITLE INSURANCET"
ANSWER: Basically, it is a contract with the title insurance company in which the company agrees to delend and indemnity you against
losses which you may suffer because of unreported detects in the title to your property 85 01 the date of the contred. It is not casualty
insurance and. therefore. does not proted you against ads of theft or damage to your home by fire, storm and the like. Essentially, the
insurence insures that you have title to tAe property subject only to certain exceptions and exdusions listed in the Policy of Title Insurance.
Title inSUrenCe recognizes the possibility of loss, but trenslere the risk of loss from you as property owner to the company issuing the policy.
for this reason title insurance companies are required to tnaintain reserves to cover losses.
If you ere financing your purchase, your lender wRl oMinerily require Mat you obtain a separate Lender's Pb1icY to insure that your property
will in fact serve as security for its loan.
QUESTION: rWHA7 DOES THE PREMIUM PAY FORT"
ANSWER: The one time, non-rewrring t>rernium pays (or several things. It helps to pay (s the atst of odleding, maintaining, searching
and examining real estate records and cerhln other public records whkh relate t0 yeDr IxoPertY so that Ute tips irtsurartce company can
determine tfte InauraWRry of your title. Far example, the title insurance company wNl determine whether Ute public records show that your
seller really owns the property, what mortgages a liens (a recorded legal dalm) may exist. whether there are reatActise DDVe(18nts art your