Pursuant to Ohio Revised Code Section 3953.32, title agents now must offer Closing Protection Coverage (CPC) to all parties to a transaction; lender, buyer/borrower and seller.

Closing or settlement of a real estate and/or mortgage loan transaction can be characterized as having two components. One component pertains to the title to the premises and the related title insurance policy. The other component pertains to the handling of funds and documents. A title insurance policy does not cover losses due to the mishandling of funds or documents.  However, Closing Protection Coverage, as outlined below, does provide such protection.

Description of Coverage: Liability under this CPC to a covered party is limited to actual loss of funds and shall in no event be greater than the amount of funds due to, or paid, for the benefit of the covered party.

1) Theft, misappropriation, fraud or any failure of the Licensed Agent, or anyone acting on the Licensed Agent's behalf, to properly handle and disburse funds or documents in connection with such Closing; and

(2) Failure to comply with any applicable written closing instructions, when agreed to by the Licensed Agent

You are covered by a Closing Protection Coverage Form only if specifically addressed to you.  A copy of the Closing Protection Coverage Form is available upon request.  The cost is $35 for the lender; $50 for the seller; and $35 for the buyer/borrower, or $15 if purchased for the buyer/borrower simultaneously with coverage for a lender or a seller.