Example TX Policy Preparation For Insuring The Contract Interest 1
Owner Policy No.: O-5841-
Date of Policy:
Amount of Insurance: $ The sales price as shown by the contract.
1. Name of Insured: Name of the contract purchaser. Do not identify as "contract purchaser" or "vendee".
2. The estate or interest in the land that is covered by this policy is: Fee simple
3. Title to the estate or interest in the land is insured as vested in: Name of record owner (contract seller), name of contract purchaser, as their interests may appear.
4. The land referred to in this policy is described as follows:
EXCEPTIONS FROM COVERAGE
Policy No.: O-5841-
This policy does not insure against loss or damage (and the Company will not pay costs, attorney's fees or expenses) that arise by reason of the terms and conditions of the leases and easements, if any, shown in Schedule A, and the following matters:
1. The following restrictive covenants of record itemized below (The Company must either insert specific recording data or delete this exception.):
2. Any discrepancies, conflicts, or shortages in area or boundary lines, or any encroachments or protrusions, or any overlapping of improvements.
3. Homestead or community property or survivorship rights, if any, of any spouse of any insured.
4. Any titles or rights asserted by anyone, including but not limited to, persons, the public, corporations, governments or other entities,
a. to tidelands, or lands comprising the shores or beds of navigable or perennial rivers and streams, lakes, bays, gulfs or oceans, or
b. to lands beyond the line of the harbor or bulkhead lines as established or changed by any government, or
c. to filled-in lands, or artificial islands, or
d. to statutory water rights, including riparian rights, or
e. to the area extending from the line of mean low tide to the line of vegetation, or the right of access to that area or easement along and across that area.
5. Standby fees, taxes and assessments by any taxing authority for the year 20___ and subsequent years, and subsequent taxes and assessments by any taxing authority for prior years due to change in land usage or ownership.
6. The following matters and all terms of the documents creating or offering evidence of the matters (The Company must insert matters or delete this exception.):
Terms, provisions, conditions, and limitations contained in the contract for deed between _____________________, seller, and ______________________, purchaser, dated _________________ and recorded in Book ______, Page ______.
No guidelines are available for this form at this time.