Title insurance is necessary because it is issued after an examination of the public records. But even the most thorough search cannot absolutely assure that no title defects are present, despite the knowledge and experience of professional title examiners. In addition to matters shown by public records, other title problems may exist that cannot be found in a search.

A few of such title problems that can cause loss of title or create an encumbrance on title are:

False impersonation of the true owner of the property
Forged deeds, releases of wills
Undisclosed or missing heirs
Instruments executed under invalid or expired power of attorney
Mistakes in recording legal documents
Misinterpretations of wills
Deeds by persons of unsound mind
Deeds by minors