What is the primary purpose of title insurance underwriting?

The primary purpose of title insurance underwriting is to evaluate the risks associated with issuing a title insurance policy. Underwriting involves a thorough examination of the property's title to identify any potential defects, liens, encumbrances, or claims that may affect the ownership and transfer of the property. By assessing these risks, underwriters can determine whether to issue a policy and on what terms. This process ensures that future property owners are protected against losses resulting from title issues that may arise after the purchase, providing peace of mind for both buyers and lenders involved in real estate transactions.

The other options focus on aspects that are not directly related to the underwriting process. Determining market value is more associated with appraisals, identifying potential buyers is a function of real estate marketing or brokerage, and setting closing dates is based on negotiation and logistics rather than the risk evaluation inherent in underwriting.