What provides extra protection for title issues on property conveyed by a warranty deed?

The correct choice is title insurance, which is designed to protect property owners and lenders against potential title issues that may arise after the property has been conveyed through a warranty deed. When a property is sold and transferred with a warranty deed, the seller guarantees that they hold clear title to the property and will defend against any claims that may arise regarding the title. However, past issues such as unpaid liens, undisclosed heirs, or fraudulent claims can still surface, potentially affecting ownership rights.

Title insurance steps in to cover these risks by providing financial protection against losses due to defects in the title that were not identified during the title search. It helps ensure that if a claim arises regarding the ownership of the property, the title insurance company will either resolve the issue or compensate the policyholder for their loss, up to the declared value of the policy.

A title search is an important step in the process of purchasing property as it examines public records to identify any potential issues, but it does not offer protection against problems that may be discovered later. Liability insurance and homeowners insurance cover different types of risks; liability insurance typically protects against claims of injury or damage on the property, while homeowners insurance covers damages to the property itself and personal belongings, but neither addresses title defects.