Title insurance provides protection for buyers in a home sales transaction. The insurance policy will usually provide limited coverage for issues such as a transfer of a defective title, or a breach of contract terms by the seller.  As with other types of transactions, the risk of fraud exist in title insurance and is often difficult to detect.

Some common title insurance fraud methods include:

• Using fake, misleading, or intentionally deceiving legal documents
• Misrepresentation of professional credentials and licensing
• Overcharging for policy rates
• “Rush deals” – using pressure and coercion to force the person into purchasing a policy
• Absentee deals – many fraudsters target situations wherein true owner of the home is not physically present in the country or is unavailable
• Intentional withholding of title insurance benefits
• Unreasonably low payouts, or refusal to make payouts to the policy holder

Title insurance fraud may result in various legal remedies such as monetary damages against the defendant. Damages are paid to the plaintiff as compensation for losses that directly attributable to fraud.

Criminal charges may result where an insurance broker has engaged in activities such as forgery and mail fraud.  If you believe you may have become the victim of insurance fraud, you should contact and attorney to protect your rights