In an escrow transaction, who is responsible for ordering closing title insurance?

In an escrow transaction, the escrow agent is responsible for ordering closing title insurance. This task typically falls within the duties of the escrow agent, who acts as a neutral third party in the transaction. The escrow agent ensures that the documents and funds are correctly handled, and part of their role involves facilitating the order for title insurance to protect the buyer and the lender from any title defects or claims.

By ordering title insurance, the escrow agent helps ensure that the title is clear and that all necessary precautions are taken to protect the interests of the parties involved in the sale. This is an essential step in the closing process, as title insurance provides financial protection against potential issues related to the ownership of the property that may not be identified during the title search.

Other parties, like the buyer or seller, may have a role in the transaction, such as expressing preferences or negotiating who will pay for the title insurance premium, but the actual responsibility for ordering it lies with the escrow agent. This arrangement underscores the escrow agent’s commitment to impartiality and their responsibility to facilitate the transaction efficiently and fairly for all parties involved.