A breach of warranty claim against a grantor is considered less secure than what other option?

A breach of warranty claim against a grantor involves seeking remedies due to a failure of a seller to adhere to specified guarantees regarding the property being sold. Although such claims can provide a form of recourse for the buyer, they are often less secure compared to title insurance.

Title insurance specifically protects against losses arising from defects in the title of the property, ensuring that the buyer has a clear and marketable title. If a claim arises after the property has been transferred, such as an undisclosed lien or an ownership dispute, title insurance offers financial security and covers legal fees associated with defending the title. This form of insurance is proactive in mitigating risks associated with ownership, making it a more reliable option for buyers than relying solely on the warranty provided by the grantor, where recourse might be more difficult or costly to pursue.

While homeowner's, liability, and property insurance protect against different types of risks, such as property damage or general liability claims, they do not specifically address the ownership rights and title-related issues that are at the heart of a breach of warranty claim. Consequently, title insurance is uniquely positioned to offer greater security against issues related to ownership and title claims than a breach of warranty claim would.