Which items typically fall under specific exceptions in title insurance?

The items that typically fall under specific exceptions in title insurance include taxes and easements. Title insurance is designed to protect property owners and lenders against loss from defects in the title to a property, but it has specific exceptions that are commonly included in the policy.

Taxes are often noted as an exception because outstanding property taxes or liens against the property can affect ownership and should be settled prior to or upon the sale of the property. This includes not only current assessments but also any prior taxes that have not been paid.

Easements, which give others certain rights over the property (such as utility companies or neighboring property owners), also fall under exceptions because they can restrict the use of the land and impact the owner's full rights over the property. Title insurance generally does not cover these easements unless specifically included.

In contrast, government restrictions relate to regulations that can affect land use, while updates to zoning laws represent changes in how land can be used but are not directly tied to the title itself. General market fluctuations pertain to the economic environment affecting real estate values but do not impact the title, making them unrelated to title insurance exceptions. This distinction underscores why taxes and easements are correctly recognized as specific exceptions in title insurance policies.