By Karim Eshqoor, BBA, LLB, LLM · Barrister & Solicitor (LSO #83032R) · Barbarian Law® · October 2026
Title insurance is a policy, paid for once on closing, that covers losses from certain problems with a property’s title: fraud, defects a search didn’t show, survey and boundary issues, and some work orders and zoning problems that existed at closing. It isn’t mandatory. Lenders usually require a lender’s policy, and buyers often add an owner’s policy at the same time.
Do I have to buy title insurance?
No. Ontario lawyers have to assess the reasonable options for protecting your title and tell you that title insurance is not mandatory and is not the only option (LSO Rules of Professional Conduct, r. 3.2-9.4). Your lender may still require a lender’s policy as a condition of the mortgage.
What does title insurance usually cover?
Policies differ, so the policy itself governs. A typical Ontario residential owner’s policy covers:
- Title fraud, such as a forged sale or mortgage of your home.
- Title defects that weren’t found, or couldn’t be found, by the searches.
- Survey problems a current survey would have shown, such as an encroaching fence or a setback breach.
- Existing municipal work orders, and some zoning non-compliance for structures in place at closing.
- Some arrears left by the previous owner, such as unpaid realty taxes or utility charges.
- The legal cost of defending a covered claim.
What doesn’t it cover?
- Problems you knew about before closing or agreed to in the agreement.
- The physical condition of the house. That’s what a home inspection is for.
- Environmental contamination.
- Zoning or by-law changes made after closing.
- Anything listed as an exception or exclusion in your policy, which your lawyer should review with you.
Owner’s policy or lender’s policy?
A lender’s policy protects the lender, up to the mortgage balance. An owner’s policy protects you, for as long as you own the property. Buying a lender’s policy doesn’t protect you, so if you want coverage for yourself you need the owner’s policy.
What is the alternative to title insurance?
The traditional route: your lawyer’s opinion on title, based on the searches and an up-to-date survey. Title insurance doesn’t replace the lawyer’s work either. The searches, the requisitions and the closing are done the same way with or without a policy. See title requisitions and double closings.
How much does title insurance cost?
It depends on the insurer, the price and the type of property, and it’s a one-time premium paid on closing. At Barbarian Law® the premium is passed through at cost and shown in your written estimate. We receive no commission or fee from any title insurer. Ontario lawyers can’t be paid by an insurer for recommending its product, and have to tell you no commission is being paid (r. 3.2-9.5 and 3.2-9.6).
Residential closings at Barbarian Law®
| Service | Price |
|---|---|
| Purchase, including one mortgage | $1,750 + HST |
| Purchase, cash (no mortgage) | $1,500 + HST |
| Mortgage refinance | $1,500 + HST |
| Title insurance premium | At cost |
Prices exclude HST and disbursements. Hourly work is billed against a written estimate you approve before work begins.
Closing soon? See also what a statement of adjustments is.
Frequently asked questions
Is title insurance mandatory in Ontario?
No, though many lenders require a lender’s policy.
Is title insurance a monthly payment?
No. It’s a one-time premium paid on closing.
Does title insurance replace a lawyer?
No. The lawyer still searches title, raises requisitions and closes the deal.
Does it cover the condition of the house?
No. That’s for a home inspection.
Where Art Meets Corporate Interest.
Ask which options fit your purchase before you waive conditions.
You get the fee and disbursements, title insurance included, in a written estimate before any work starts.
This article is general information about Ontario law, not legal advice, and reading it does not create a lawyer-client relationship. Every situation is different; speak with a lawyer about yours. Coverage depends on the policy issued.
