ALTA – American Land Title Association

ALTA stands for American Land Title Association and an ALTA policy is a title insurance policy that protects against damage or losses related to the defects in the transfer of title (which includes all the transfers of title). Basically, the ALTA title insurance policy is issued to protect the lender and ensure that it has an enforceable lien that is also valid.

As with other title insurance policies, an ALTA title insurance policy will protect against problems in the title such as:

• Undisclosed and unrecorded mechanic’s liens
• Misrepresentation and identity theft – someone impersonating the owner
• Acts of forgery on the deed or will
• Easements
• Disputes regarding boundary lines
• Exercise of rights for water and mineral extraction
• Encroachments
• Life estates
• Contested deeds and wills
• The appearance of undisclosed heirs
• Misrepresentation of civil status (i.e. saying one is single when in fact he is married or divorced). The spouse may have an interest in the policy by virtue of their legal union.