Maryland

Lender's Policy

The lender's policy is also known as a "loan policy" and is required for all transactions, purchases and refinances alike, since lenders must also protect against title related defects.

A lender wants to ensure that the loan they are issuing is protected by title insurance and their investment is covered. A lender's policy protects the mortgage holder (the institution that owns the mortgage).

If there is a fault in title that results in a loss, the mortgage holder will be paid back. You will need to order a new lender's policy to refinance your property.

READ MORE: Why lenders require title insurance

Refinance Policy
(minimum premium $168)

Amount of Insurance Cost Factor Plus On Amount Over
Up to $250k $2.65/$1k -- --
$250,001 to $500,000 $662.50 $2.25/$1k $250k
$500,001 to $1 million $1,225.00 $1.90/$1k $500k
$1,000,001 to $5 million $2,175.00 $1.60/$1k $1 million
$5 million to $15 million $6,400.00 $1.30/$1k $5 million
$15 million+ $19,400 $1.00/$1k $15 million
We offer an enhanced lender's title policy upon request.
E-mail info@federaltitle.com to inquire.

Note: When calculating the cost of a policy, please keep in mind we use a tiered rate. So if the price is $600k and a limited lender's title policy is purchased, the cost is calculated by multiplying:

250 x $2.65 = $662.50
250 x $1.90 = $475.00
100 x $1.90 = $190.00

Grand Total = $1,327.50

View purchase rates