Introduction
Title insurance is a form of indemnity insurance that protects a
potential property owner against financial loss from defects in
title to real property. The policy is a retrospective one where the
insured is protected against losses arising from the events that
occurred prior to the date of issuing the policy.
In the recent past, the Insurance Regulatory and Development
Authority of India (IRDAI) had introduced Title Insurance to
protect the owner of a property against the financial losses that
occurred due to valid reasons. In its latest circular, they have
introduced a beneficial clause for the customers which states that
"Considering the requirements of legal protection for
promoters in the early stages of development of the project during
financial appraisal, registration and approval with RERA
authorities and safeguarding the interests of individual buyers
after taking over the physical possession of the property, the
regulator needs to expand the
