Do You Need Title Insurance When Refinancing?

If you have been following our blog or social media, you are probably comfortably familiar with the importance of purchasing title insurance when buying a home. Title insurance is what protects your right to use and occupy the land you purchase by guarding against hidden hazards that may arise. Examples of these types of hidden hazards can include anything from invalid sales and unauthorized signatures to undiscovered heirs and mistakes in public records.

Buying A Home

Title insurance comes in two primary different forms: owner's polices and lender's policies. As their names suggest, owner's policies are specifically designed to protect the owner's interests, whereas lender's policies are designed to protect the lender's interests. When you take out a mortgage loan to purchase home, securing a lender's title policy will most likely be nonnegotiable.

You will technically have a choice as to whether or not you wish to purchase an owner's title policy as well, but we strongly encourage you to do so. It is impossible to predict when a hidden hazard may arise and threaten your right to use and occupy your land, but the effects of these hazards can be devastating if you are not protected. Unprotected title claims can bring significant stress, financial loss, and potentially even the loss of your home.

Refinancing A Home

If you already own your home, you may be considering refinancing your mortgage loan in order to take advantage of the lower interest rates currently available. If you are currently weighing your options, you may be wondering whether or not you will have to purchase new title policies in the process. Arrowhead Title, Inc. is here to clarify this issue for you.

The short answer is yes AND no: you will not need to purchase a new owner's title policy, but you will need to purchase a new lender's title policy.

How Refinancing Works

When you refinance your home, you take out a new mortgage loan to pay off your preexisting loan. Your monthly payments will then go towards this new loan that you have secured.

When you refinance, you remain the owner of your property. An owner's policy protects your interest for as long as you or your heirs have a vested interest in the property. Nothing in your property's chain of title will have changed since the title search and issuance of your owner's title policy when you first bought your home. This means that your owner's title policy will still be valid, and will not need to be replaced.

Since you are taking out an entirely new mortgage loan, on the other hand, your lender is starting from scratch. Your mortgage company will require that you purchase a new lender's policy to protect their interest in the property. Depending on how long you had your previous mortgage, you may qualify for a reissue rate discount - contact our title company in Lake Ozark MO for more information on this.

Contact Arrowhead Title, Inc. For More Information

If you are contemplating refinancing your home and would like more information about how title insurance will play a role in the process, we encourage you to contact our Lake of the Ozarks title agency. We have been serving the Tri-County Area for 33 years, and we would be honored to put our experience to work for you. Stop by and see us, call us at 573-302-1950, or visit us online at for more information. We look forward to serving you!

The Lake of the Ozarks' Most Trusted Title Company
Where Accuracy Matters!

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750 Bagnell Dam Blvd Suite B
Lake Ozark, MO 65049


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