When is a one-time title insurance fee typically paid?

A one-time title insurance fee is typically paid when the property is transferred to new ownership. This fee is a crucial part of the closing costs in a real estate transaction and provides coverage against potential title issues that may arise after the sale is completed. By paying this fee at the time of transfer, the new owner secures protection for their investment, ensuring that they are safeguarded from past claims, liens, or encumbrances that could affect their ownership rights. It is a one-time payment, meaning it does not recur, in contrast to other types of insurance that might require ongoing premiums.

Other scenarios mentioned, such as renewals or payments at the end of a mortgage term, do not apply here since title insurance is not typically renewed like home insurance, and the fee is directly related to the transfer of ownership rather than mortgage-related events.