Why might someone consider an Owner's Policy for title insurance?

An Owner's Policy for title insurance is specifically designed to protect the financial interests of the homeowner against various claims that may arise regarding the title of the property. This type of policy secures the owner's investment by covering the costs associated with defending against title disputes or addressing claims that could arise from previous owners or other parties.

When a homeowner purchases an Owner's Policy, they gain protection against issues like unpaid liens, fraud, or errors in public records that may affect their ownership. Such coverage ensures that, in the event of a problem, the insurer will help cover legal costs and any potential losses related to the title claim. This financial protection is crucial for homeowners looking to safeguard their investment and ensure they can enjoy their property without the worry of losing equity due to title-related issues.

While considering the other options, it's clear they do not accurately reflect the primary purpose of an Owner's Policy. For example, while privacy and legal contracts are important aspects of real estate transactions, they do not directly relate to the protective financial role of a title insurance policy. Similarly, coverage for property taxes is generally not included in title insurance policies, and such matters would typically be handled through other insurance or municipal processes.