Tag Archives: Preliminary Title Report

Two Sure Times To Round-Up

Enjoy Peace of Mind

Enjoy Peace of Mind

There are two sure times to round-up. When calculating takeoff and landing distances and when deciding on insurance coverage.

Things are happening quickly. It’s nearly midnight. A medical team is climbing onboard and we need to get them 300 miles away-fast. Someone’s life depends on it. The fuel truck pulls away from the Citation 560 and the ground crew pulls the chocks. The cabin door is closed and a little light automatically goes off in the cockpit indicating the door is properly sealed. I’m working up the take-off numbers, setting radio frequencies on the six different radios, setting the altitude alerter, programming our route in the FMS (Flight Management System) and bugging our airspeed indicators.

Our takeoff distance, the amount of runway we’ll need to get in the air and clear all obstacles on the ground, is determined by a number of variables. Primarily by the weight of the airplane, a given power setting, and outside air temperature. Airplanes perform better in colder air. As pilots we use charts to help us calculate the proper engine power setting for our weight and outside air temperature. Of course the exact weight and temperature never seem to match what the chart gives us. The chart might have a column for 20 degrees celsius and 30 degrees but the outside air temperature might be 27 degrees. The weight column might offer us 14,500 pounds and 15,500 pounds when the actual wight is 14,735 lbs. So we extrapolate. And if there’s a remainder? I always Round Up! Why? Because I like having the peace of mind knowing there’s a little margin of safety.

INSURANCE OFFERS PEACE OF MIND

I like having the same margin of safety when buying insurance. From my perspective, it’s always better to have and not need, then to need and not have.  My car is insured by a large, reputable insurance company. So is my home. I always buy the best medical insurance I can afford. I skimp on things that aren’t necessary but I never skimp when it comes to feeling assured the necessities in life are secured.

TITLE INSURANCE

Recently I was asked about the difference between an ALTA/Home Owners Policy and a CLTA policy. These policies are referring to Title Insurance.  It’s a common question and I’ve written about it before. Read: Realtor’s And Pilot’s It’s Your Teacher Not You  For a printed table of differences click here:  Homeowners Policy/ALTA vs. CLTA

Lets keep things simple. Realtors: Your Title Insurance company will always default to the ALTA Homeowners Policy. Because in California the C.A.R. contract calls for the best coverage. Easy. You don’t really need to do anything!

Having said this; be wise and always check. Why? Because unless your client is only buying land the Title Insurance Company offers a CLTA policy when a residence doesn’t qualify for an ALTA HOP.  As the Realtor you’d probably have some questions. So check. What the Title Insurance Company is offering, either an ALTA HOP or a CLTA policy is usually on the second page of the prelim.

QUESTION

Does the ALTA HOP cost more than the CLTA policy?

Yes it does. About 10% more.  Think of it this way. For ten percent more you’re buying about 50% more peace of mind.

READY FOR TAKEOFF

“Medivac Charlie Victor Romeo cleared for takeoff runway two five right.” We taxi onto the runway and the engines start to scream. I know we’re going to takeoff safely because we’ve run the numbers and left a margin of safety.  Likewise, you know your clients are going to have the proper coverage they need on what’s undoubtedly their largest personal investment. The ALTA HOP offers a little margin of safety.

Please feel free to leave comments. And Remember, Sharing is Caring. Thank you.

Note:  Besides being a Title Company Account Executive I’m also a Charter Pilot.  Comments made here are my own and do not necessarily belong to my employer; Chicago Title & Escrow or Chrysler Aviation.

Chicago Title has been in business for more than 160 years. It’s a company you can trust.

For more information about Title Insurance contact me directly at:
Ric Lippincott or leave a comment below

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Stats Be Damned. The Fear of Flying & Real Estate

Adored When Needed For Immediate Rescue

I’m standing within arms reach of a fully equipped, reasonably self-sufficient, mostly educated, all faculties operable, grown man with a full-time job and a car, who is telling me he’s afraid of flying. I’m a Certified Flight Instructor. I get this a lot.  And I understand.

“You’ve got a better chance of being struck by lightning than of crashing in a jet. In fact, you’ve got a better chance of being struck twice by lightning than of going down with one of the big commercial operators.”  The Unfriendly Skies by Willie Stern, The Weekly Standard.

The stats be damned. Math isn’t a subject most of us grasped in school. How can we be expected to embrace it later in life?  Few of us have any trouble driving our cars yet nearly 33,000 people were killed in 2010, one of the best years on our nations roads according to the NHTSA, (National Highway Transportation and Safety Administration). There were no, none, zero airline fatalities in 2010. None. See USA Today Travel. Does knowing this chase away the fear of flying? Hell no.

Real Estate is scary too, until you’ve traversed it a few times and start to understand what makes it fly. I remember buying my first condo. I knew nothing. Didn’t understand a single thing. I was told to sign here, and here, and here… and the next thing I knew I was a homeowner. I blindly bought a home.

Most of the non-pilot population will do the same thing with flying. You’re told to get onboard, fasten your seatbelt, put your stuff under the seat or in the overhead bin and turn off your phone. The next thing you know you’re in Kansas!

In Real Estate transactions I try to explain what’s going on in the simplest terms. But sometimes what I have to say isn’t what the person wants to hear. That’s when ego’s step up and logic runs for cover. Besides flight Instructing, I’m in Title, so I get to work with all sides of a Real Estate transaction. Not just the buyers and sellers, but mostly the Realtors and Lenders.

Title guys like me are similar to lifeguards on the beach. We’re hated when we’re telling people they can’t swim because the water is too rough but adored when someone is drowning and needs immediate rescue.  An astute Realtor once told me, “I don’t even think about Title unless the $*** hits the fan. Then Title suddenly becomes the most important aspect of the Real Estate transaction.” Well said.

When teaching people to overcome their fear of flying I start by showing how and why airplanes fly. And, once we get in the air, I let students take the controls and actually fly the airplane themselves. We conclude with looking out the window and enjoying the perspective few people have the privilege of experiencing. If you’ve ever flown an airplane, even if for a few short minutes, you are one of the elite. Most people in the world will never have that story to share.

There hasn’t been a nicer time to buy Real Estate than right now. Home prices are low and money is cheap. If you need someone to walk  you through it, contact me. If I can’t walk you through to your goals, I have many experts in every area of Real Estate I can refer to you. See, “Does Your Realtor / Lender Know What You Drive“.  Once you’ve signed here, here and here, look out of the window in your new home and enjoy the view. You’re now part of the American Dream.

Flying airplanes, buying a home; scary at first. But once you understand the basics it’ll become second nature. It might even become enjoyable.

Please feel free to leave comments.  And Remember, Sharing is Caring.  Thank you.

Note: Besides being a CFII, MEI, Pilot, I’m a Title Rep.  In other words, I sell Title Insurance. Comments made here are my own and do not necessarily belong to my employer; Chicago Title & Escrow.

Chicago Title has been in business for more than 160 years. It’s a company you can trust.

For more information about Title Insurance or flying airplanes, contact me directly at ric.Lippincott@ctt.com.

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Seduce Your Wicked Imagination / Reduce The Risk

Learning to Fly Brings a Sense of Freedom

If you’re anything like me, when you walked out of the DMV with your first ever drivers license in hand, you could almost see those once inhibiting metaphoric corral fences getting sucked into the ground, pushed away, and the freedom to drive – anywhere – seduced your wicked imagination.

I could drive my car anywhere. Well, I wasn’t really unbridled, not just then. I still had limits. Parents. But the possibilities were rapidly solidifying from mirage to reality. I could now feel the wanderlust right under the surface of my skin.
 
When you first get your Private Pilots license that feeling of freedom jumps to a magnitude only birds and a flier can know. The once two-dimensional ground magically morphs into a magnificent world of 3D and you’re now pals with Peter Pan on your way toward earning a seat next to the likes of Chuck Yeager.  You even have a new vocabulary. The language of flying airplanes.
 
The distance you could travel in your car, lets say driving for one hour, suddenly doubled itself with a small airplane. Your territory, now larger, sparked dreams of weekends away. Further away. To places you wouldn’t have considered going for just a weekend trip.
 
Flying airplanes spawns those kinds of dreams. And in my years of flying I’ve brought many of those wonderings to life. From airplane camping in Northern Wisconsin to weekends on Catalina Island and aerobatics in-between, flying airplanes gets into your blood and becomes a habit you’ll never fully purge, as if you’d ever want to. But there are limits. Not parents (unless you’re under age) but a host of other overseers who are there to protect us from ourselves or passengers we may innocently enchant with our magic carpets.
 

It’s not always the FAA clipping our wings.

 
The FAA (Federal Aviation Administration) has volumes of restrictions, most are clearly in our best interests.  After the FAA I’d have to say Insurance Companies play a large role. For example, if you have a pilot’s license and a valid medical certificate the FAA says you’re qualified to fly to a destination like Big Bear City where the runway is fairly short and narrow, the winds are unpredictable, and the airport is surrounded by trees. However your insurance company is going to say, “Ah, excuse me. You need to go there with a CFI (Certified Flight Instructor) first before you can go off on your own.”
 

Why would your insurance company make that a requirement when the FAA doesn’t?

 
The insurance company is managing risk. If you crash they are the ones paying the bill. So they’d like an extra layer of assurance you’re up for the challenge before they’ll issue insuance (take the bet) you can do so safely. It’s hard to blame them really.
 

Title Insurance Like Aviation Insurance

 
Back to my recent flight to Big Bear in a second. First lets take a quick look at Title Insurance. When you get a mortgage to buy property the bank is going to require you to have Title Insurance. That’s because your lender knows how much risk there can be if the Title of your property isn’t free and clear.  And un unclear Title, or clouded title, happens all too often for Title Insurance companies to recklessly take that risk. But before a Title company will issue a policy, they are going to do a thorough search of the Title chain. Why? Once again, to mitigate risk. A lot of pre-flight happens before you get the policy.
 

Would You Take This Bet?

 
Lets say you’re going to refinance a million dollar loan. The Title Insurance policy will cost approximately $1,345.  It’s a one-time cost, good for as long as you own your property. If there’s a default and a claim is made, the Title company may have to pay a one million dollar liability when they only took in $1,345.  Not a good bet!  To cover that loss the Title company will have to sell 743, one million dollar policies that will never have claims, in order to cover that one loss!  That’s why Title companies do Preliminary Title Reports before issuing policies, and that’s why Aviation Insurance Companies require rated pilots to fly with experienced flight instructors to difficult airports before allowing pilots to fly there on their own.
 

Ready For Take-Off

 
Flying Into L35 (Big Bear) Can Be Challenging

Flying Into L35 Can Be Challenging

“Shuttle One fly the runway heading, climb to and maintain 9,500′, contact SoCal on 124.7 prior to entering class Charlie airspace, squak 7220.”  The pilot I was flying with read back the instructions and the reply over the radio was familiar.  “Shuttle One read-back is correct have a nice flight.”

Before getting into the cockpit I reviewed all aspects of the flight with the flying pilot. Weather conditions, runway lengths, aircraft weight and balance, fuel requirements, take-off distances, density altitude and the affects on aircraft performance, and so on. We were well prepared to make this flight and, like a Title Company, mitigated our risk with thorough investigation.
 
The retarding forces are at max when the airplane is lined up on the runway center line and the power leavers are pushed forward. The airplane is at its heaviest (it becomes lighter as you burn off fuel) and there is rolling resistance (the coefficient of friction for that particular runway) as well as aerodynamic drag (the wind resistance against the aircraft). As the airplane accelerates rolling resistance plays the biggest role at first, but diminishes as speed is increased until rolling resistance becomes zero at Vr (rotate speed) and the wheels leave the ground.
 
Once airborne I felt, I always feel, that rush of freedom entering my bloodstream like a drug administered intravenously.  The feeling crescendos as we, the airplane and me, leave the ground and climb above the silent scream of humanities internal dialogue, the constant voice, longing for flight.
 
Please feel free to leave comments below and remember, sharing is caring. Thank you.

Note: Besides being a CFII, MEI, Pilot, I’m a Title Rep.  In other words, I sell Title Insurance. Comments made here are my own and do not necessarily belong to my employer; Chicago Title & Escrow.

Chicago Title has been in business for more than 160 years. It’s a company you can trust.

For more information about Title Insurance or flying airplanes, contact me directly at: ric.lippincott@ctt.com

 
 
 
 
 
 
 

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When The Secret Fails, Call In The Marines

Now Is the Time to be Grateful

I never was a Marine but I’ve seen Full Metal Jacket six times, about as many times as my friend has been to Afghanistan as a Marine. Frankly his enthralling stories scare the hell out of me. I’m both glad and ashamed I’ve never faced combat.

When The Secret came out I read it like everyone else. And I’m a Disciple. It’s irrefutable. Having a positive attitude has been repeatedly proven to improve performance in nearly all situations. If you want to be truly successful I vehemently encourage having a positive, grateful attitude with a splash of detachment. That way even if you fail, holding on to that strong positive attitude will cloak the failures from your friends. Totally cool, right?

But lately I’ve had misgivings about the message of positive thinking.  I’ve noticed a few of my colleagues have been spending more time thinking positive thoughts and being grateful for what little they have left – and less time rolling up their sleeves and getting to work.  So I started wondering.. what would the US Marines do?

If you need to lose weight: What would the Marines do? Would they join a Pilates class and hire a nutritionist?  Or would they do push-ups and run?

If you need to get a job: What would the Marines do? Would they go on-line and search Craig’s List?  Or would they hit the streets and storm a high-rise?

Recently a friend sent me a link to a video on YouTube that I hadn’t seen before. I’m speaking in the video along with a co-worker, Danielle Goldie, about Real Estate and the need for getting out and working. And a year after this interview with Richard Ramos I’m still saying the same thing. Get to work America!  (Watch the video.)

The best path to success is a healthy day of honest hard work. Then, when you’re about to fall asleep, think positive thoughts and be grateful you have a bed to sleep in. Some people are reading The Secret from the back seat of their car.

Please feel free to leave comments. Thank you.

Note: Besides being a CFII, MEI, Pilot, I’m a Title Rep.  In other words, I sell Title Insurance. Comments made here are my own and do not necessarily belong to my employer; Chicago Title & Escrow.

Chicago Title has been in business for more than 160 years. It’s a company you can trust.

For more information about Title Insurance or flying airplanes, contact me directly at ric.Lippincott@ctt.com.

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The Reincarnation of Bonnie and Clyde (The Modern Day Bank Robber)

A Bank Robbers Hide-A-Way

In many ways The Reincarnation of Bonnie & Clyde is a tale of bank robbery.  Instead of walking into a bank wielding a gun, the modern day bank robber uses Real Estate.

Much like the romanticized movie version of Bonnie & Clyde’s true life crime spree, I’m leaving out details because this case is presently under investigation by the FBI. What’s more I simply don’t think like a larcenist; a prerequisite for understanding the nuances of the crime I’m about to share with you.

The somewhat slow and murky work day, now commuted to early evening, hadn’t done much to help me toward my personal goals. Business was dragging as it frequently does near holidays. Tired and just hungry enough to be skeptical, iPhone alerted me to an e-mail with the familiar ‘ding’.

The e-mail, from a Real Estate Agent, simply read, “I need a Prelim on these two properties.”

A Prelim, short for Preliminary Title Report, is an extensive search on a subject property, sometimes going back 30 or more years, to determine the rightful owner without so much as a drop of ambiguity. There can’t be any unexplained breaks in the Chain of Title, liens, judgments, etc. As long as there’s no discourse a Prelim is an offer from the Title Company to insure the property. The Prelim is often the most time-consuming and expensive cost to the Title Company which, if a policy is purchased, is rolled into the cost of that policy.  But if a policy isn’t purchased the now lame-duck Prelim is nothing short of a non recoupable elephant expense.

A request for two Prelims coming from one agent can be cause for joy but in this case (I know this particular agent doesn’t normally do that kind of business) it was cause for question. I asked Siri to call the agent and like a faithful secretary she dialed the number for me. After a few simple and friendly questions I took a deep breath and ordered the Prelims. Maybe the day had been worthwhile after all.

Not so fast there sizzle britches.

Within a few days the Real Estate Agent was asking me odd questions. And I had a few questions of my own. For one thing, why was there an opened order from another Title Company on one of the two properties I was asked to search?

It took awhile to understand what was going on.  In a nutshell one of the two properties had just sold but was up for sale again. The other property was up for sale too but not having been flipped.  Another odd occurence, why was the lender on the first property calling the original owners demanding payment?  None of this made sense.

The Real Estate Agent who ordered the Prelims kept telling me the bank who loaned money on the first property was calling the original owners, demanding payment, or the bank would foreclose. But wait. Everyone knows when you sell property all liens, loans, judgments, etc., must be paid off or cleared before the property can transfer to new ownership. So why would the “old” bank be asking for payment after the closing?

I asked the Real Estate Agent why they used a smaller off-beat Title company on the first sale.  Why didn’t they just call me in the first place? This agent always uses me and I was a little surprised to see I’d been left out of the first transaction. The Agent explained the Escrow company had demanded they use the smaller Title company. Red flag. Escrow can recommend but not demand the use of a specific Title Insurance company.

Exasperated I suggested the Realtor drive to Escrow and find out what was going on.

The next phone call I got from the Real Estate Agent was sobering. The Escrow Office was shut down. Closed. Gone. Packed up and moved out. History. See ya!

Here’s what happened.

Fake Escrow gets a license for two months, opens an office, takes in as many orders as possible, directs payoff funds from legitimate banks (the new lender) to a fake lien holders (the supposed old lender), grabs the money and books out-of-town.

The perfect bank job?

There are probably others involved in this scam. Like I said, I don’t think like a larcenist so I don’t know for sure. But here’s what I do know. This type of crime is ramping up. This isn’t the first case we as Title Company’s have seen like this. As the economy languishes, people grow desperate. And when people get desperate they are more willing to believe what sounds too good to be true.

Here’s my advice.

If you’re getting involved in a Real Estate transaction today make sure the people you’re working with have the expertise necessary to watch for traps. I’m not suggesting you can’t trust someone just getting into the business, we all had to start somewhere, but if they are new in the business make sure they have a reputable, well established company behind them. The Title Insurance company you choose is probably the most important decision you’ll make during a Real Estate transaction. (See, “Does Your Realtor or Lender Know What You Drive?”)

In a perfect world the original owners of the first property would get their home back, the old lien holder will get paid from the owners on the normal payment plan, the buyers will be reimbursed by the Title Company (That’s one of the 21 reasons for having Title Insurance), the Title Company has to pay another claim and the FBI gets the bad guys.  In a perfect world.

Beware of the modern day bank robber.  They aren’t in the bank with a gun anymore!

Please feel free to leave comments. Thank you.

Note: Besides being a CFII, MEI, Pilot, I’m a Title Rep.  In other words, I sell Title Insurance. Comments made here are my own and do not necessarily belong to my employer; Chicago Title & Escrow.

Chicago Title has been in business for more than 150 years. It’s a company you can trust.

For more information about Title Insurance or flying airplanes, contact me directly at ric.Lippincott@ctt.com.

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‘Damn it! We’re going to crash. It can’t be true!’

“We’re below the glide slope and slow.” I could hear my own voice in the headset as the airplane continued to sink below where it should be on final approach to landing. My student, learning to fly a bigger twin-engine airplane, made no changes.

Don't Slip Into Denial Here

“We’re on the centerline but still below glide slope.  Our speed is critically slow.”

Nothing changed.

I looked over at my student. His eyes were fixed on the runway ahead of us, one hand on the throttle controls and the other on the yoke. He seemed frozen.

“We’re too slow.  Add power.”   Still no response.  I’m not one to inject stress or drama into a situation, preferring instead to remain level and logical.  Calmly I spoke again,  “We’re now below blue line, add power.” Another two seconds passed.  “Add power,”  I repeated myself for the third time.

Still no action from the pilot flying.  Flying slower than blue-line  at this phase of the approach means we could lose control of the airplane if something unplanned suddenly occurred.

I’m going to admit something.  The pilots lack of action fascinated me. I thought, wow, he’s in complete “denial of impact”!

Denial is one of our minds most interesting defense mechanisms.  As humans we use denial in a large variety of situations.  For example: denial of addictions.  We could go on and on about addictions but I’ll spare you.

Then there are subsets of denial, like, minimization; where one admits the problem but denies its seriousness.

And then there’s projection; admits the problem and its seriousness but denies responsibility. Children use this one a lot along with DARVO.  *DARVO is an acronym that means:

Deny, then

Attack the victim, thereby

Reversing

Victim and

Offender

*(From Wikipedia, the free encyclopedia)

It’s fascinating to see a pilot in denial but not shocking.  Denial has been cited as a contributing factor in more than a few aviation crashes. Some well documented. The following excerpt is from a book:

‘Damn it! We’re going to crash. It can’t be true!’: pilots’ chilling last few moments of confusion and denial before plane crash.

The book, Rio-Paris Crash: A Collection of Pilot Errors, written by French aviation author Jean-Pierre Otelli.

Aviation isn’t the only profession where denial causes damage.  Recently I had a conversation with a Realtor who buys properties at auction and then flips them for profit. Lets call the Realtor John.  John wanted to know about an exclusion on the Preliminary Title Report he’d never noticed before.  The Title company (not Chicago Title) indemnified itself from potential tax liens.

John. “But that’s what I want Title Insurance for, to protect me from tax liens!”

Me.  “Well John, the indemnity clause is removing that option from their offer to insure. Frankly those tax liens, especially the IRS liens, are the reason Chicago Title doesn’t always offer a policy for properties bought at auction unless we can get an SI from the foreclosed owner. There’s just too much exposure.”

John went into denial. “But they said…”

Me.  “True but they are excluding the very things that can bite you inside the redemption window. That’s why I recommend avoiding those one-off  Title Insurance companies John.”

Chicago Title has been in business for more than 160 years. It’s a publicly traded Fortune 500 company. If we offer a policy we’ll tell you up front exactly what that means. If we can’t insure we’ll tell you why before you buy.

While other come-and-go companies say they’ll insure, you’ll need to read the fine print to see what they’re really offering.

When I told John we couldn’t insure the property he was interested in out of auction, and then explained the reasons why, he found a company that said they would insure it.  I didn’t see how they could.  Turns out they were taking out the real meat of the policy in the fine print.  Thankfully John read the fine print this time and called me. I wondered if he also reads the iTunes Agreement?

Once safely on the ground we talked about the importance of flying a stabilized approach and managing airspeed. Both co-related. We also discussed the tendency for people to easily slip into denial.  “If the airplane is flying toward the runway nothing’s wrong”.  Or, “if a Title company says they’ll insure then what could go wrong”?

There are a lot of old adages but in business this one seems to offer the soundest advice. “If it sounds too good to be true then it probably is too good to be true.”

Flying has it’s share of old adages too.  One of them I like says, “A ‘good’ landing is one you can walk away from. A ‘great’ landing is when they can use the plane again”.  No matter how you land the plane… don’t go into denial about what’s going on while you’re in the air – or when you’re buying Real Estate!

Note:  Besides being a CFII, MEI, Pilot, I’m a Title Rep.  Comments made here are my own and do not necessarily belong to my employer; Chicago Title & Escrow.

For more information about Title Insurance or flying airplanes, contact me directly at ric.Lippincott@ctt.com.

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Flying Airplanes and Title Insurance

Last night I showed someone how to fly an airplane from 6,000 ft up and 15 miles away from the airport to the approach end of the runway, and then land, without ever looking out of the window.

I’m a Title Rep.  (Tie-tél Rep; a person or reptile that scurries through Real Estate Offices and Lending institutions in search of food, stopping at nothing, including stepping on other Title Reps in its pursuit.)  In other words, I sell Title Insurance. But even worse, I also fly airplanes. In fact I teach flying whenever I’m not in a Real Estate office. A lot of people have two jobs these days. I’m no exception.

The airplanes wheels gently touched the pavement. They squeaked, or screamed, for a half second while the resting tires accepted the change in weight from zero to 2,000 pounds and spun up to 70 mph.

Once stopped I got out of my seat in the cockpit and left the airplane for the debriefing room. There I’d discuss the flight just flown with my student. It had been a long day. Working Title from early in the morning and then flying at night. A sixteen hour day for me. Title Insurance and aircraft landings were merging in my head and then it struck me.

How is Title Insurance similar to piloting an airplane?

Before a pilot flies an airplane they do what’s called an acceptance check. The entire airplane is checked, the airframe, engines, safety equipment, every system, navigation, fuel, weight, weather, everything. Once the pilot in command is satisfied the airplane is safe and the flight can be conducted safely they’ll sign a legal document saying the aircraft is airworthy. After the daily acceptance check, the Captain or First Officer will do a preflight inspection before each subsequent flight that day.

Like a Pilot In Command, a Title Officer first checks the “worthiness” of the properties legal description before issuing a policy. That way when you buy, or “accept” a new home you are insured against anyone who may come out of the past to file a claim against your legal right to ownership of the property. And if too much time passes between the Prelim (Preliminary Title Report) and closing, the Title Officer will do a subsequent search or “date down” to make sure nothing new popped up since the initial “acceptance check”.

Unlike other types of insurance, Title Insurance insures property owners against events that occurred in the past that might adversely affect the present property owner. Part of the cost of Title Insurance goes toward searching the properties chain of Title, legal coats to correct defects, and toward making sure problems are cured before a new Title is recorded on a property.

Likewise a Pilot getting ready to fly checks the aircraft for any defects that may have been caused by previous flights.

Personally I find it comforting to know my airplane is fit to fly before getting on board. And I also find it comforting to know my Title Insurance Company has checked the Title on my largest investment and is willing to insure me against claims before I take ownership.

For questions on Title Insurance or flying contact me at ric.Lippincott@ctt.com

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