What’s title insurance?
Title insurance is a one-time fee insurance policy that protects you from certain losses related to title or legal ownership of property.
Title insurance may include coverage for:
- Identity theft
- Title fraud
- Incorrect property survey
- Non-permitted renovations
- Liens and judgements
- Unpaid property taxes or utilities from previous owners
Exact coverage and how long coverage last for will depend on specific policy that you purchase.
How to get coverage.
When you take the mortgage documents that we prepare for you, your down payment and closing cost payments to your notary or lawyer, they will present you with options based on your mortgage terms and amount.
Title insurance is required on all new mortgages or refinancing with Vancity. This includes porting (moving) and assuming a mortgage.
Real life examples.
Fraud and identity theft
Title insurance can help you defend your ownership against false claims. For example, if someone steals your identity and claims ownership in order to take out a mortgage or sell your home, title insurance can help you with legal fees that may arise.
Unknown issues at purchase
Title insurance can also protect you from certain actions taken by the previous owner that were undisclosed or unknown at the time of purchase. For example, if the previous owner made a renovation that’s not up to code, and you didn’t know, if the city then orders you to correct it, title insurance would protect you from those costs.
Strata and special levies
For those purchasing condos or apartments, title insurance can also cover things like special levies, also known as special assessments, if they were undisclosed or not disclosed properly at the time of purchase. An example of a special levy would be the fee for roof repairs to the building.
Protection you can count on.
Your mortgage is a big part of your financial picture, and every smart financial plan includes coverage. If you lose your job, become disabled or experience a critical illness, mortgage protection can help pay down your mortgage. In case of sudden death, it will ensure your outstanding balance is paid.
Our Group Mortgage Protection (GMP)+ includes life insurance coverage, plus optional additional products like disability, critical illness and loss of employment.
Life coverage.
This plan will pay the outstanding balance of your insured mortgage at date of death, plus accrued interest, plus settlement interest.
The details:
- Maximum coverage is $1,000,000
- Maximum term of coverage is 35 years
- Maximum issue age is 69
- Coverage ends when you reach age 75
Additional coverage.
To qualify for additional coverage, you’ll need life coverage and you may be required to answer questions pertaining to your health when you apply.
Involuntary loss of employment coverage.
This plan will pay your monthly insured mortgage payments.
The details:
- Maximum monthly benefit is $3,000
- Maximum term of benefits is 9 months
- Maximum term of coverage is 35 years
- Maximum issue age is 69
- Coverage ends when you reach age 75
- Waiting period (before benefits become payable) is 60-day non-retroactive
Disability coverage.
This plan will pay your monthly insured mortgage payments.
The details:
- Maximum monthly benefit is $3,000
- Maximum term of benefits is 24 months
- Maximum term of coverage is 35 years
- Maximum issue age is 69
- Coverage ends when you reach age 75
- Waiting period (before benefits become payable) is 60-day non-retroactive
Critical illness coverage.
This plan will pay the outstanding balance of your insured mortgage at date of critical illness diagnosis, plus accrued interest, plus settlement interest.
The details:
- Medical impairments insured include cancer, stroke and heart attack
- Maximum coverage is $1,000,000
- Maximum term of coverage is 35 years
- Maximum issue age is 59
- Coverage ends when you reach age 75
