Which of the following entities would typically issue a title insurance policy?

The correct answer is insurance companies because they are specifically licensed and regulated to issue title insurance policies. Title insurance protects property buyers and lenders from financial loss due to defects in a property’s title, such as liens, encumbrances, or other issues that may not have been discovered during the standard title search.

Insurance companies typically conduct thorough title examinations and offer policies that provide coverage against claims made against the title after the property has been purchased. Their involvement ensures that the policies are backed by financial resources and adhere to legal requirements.

Other entities like real estate agents, government agencies, and real estate developers may be involved in various aspects of real estate transactions, but they do not have the authority or capability to issue title insurance. Real estate agents facilitate the sale, government agencies may regulate property laws and records, and real estate developers may create new properties or subdivisions, but none provide title insurance policies. This distinction is crucial for understanding the roles involved in real estate transactions and the importance of title insurance in protecting ownership rights.