In short
It's a one-time premium paid at closing, and it covers you for as long as you own the home.
Most lenders require it, and your lawyer usually arranges it.
How title insurance works in Ontario
Title insurance is a policy that covers certain losses tied to your ownership of a home. You usually pay a single premium at closing, and an owner's policy generally protects you for as long as you own the property.
There are two kinds. A lender's policy protects the mortgage lender if its mortgage turns out to be invalid or unenforceable. An owner's policy protects you. Many lenders ask for title insurance as a condition of the mortgage, and your lawyer usually arranges both at the same time.
Title insurance isn't legally required in Ontario. Your lawyer can explain what it adds to their own review of title in your purchase.
Your lawyer will explain the policy at closing and give you a copy. Keep it with your other home documents so you can find it if a problem ever comes up years later.
What it can cover
Policies differ, but owner's policies commonly cover title fraud, such as someone forging your signature to sell or mortgage your home, as well as covered problems that a survey would have shown, unpaid municipal work orders, and certain zoning issues with existing structures.
They also typically cover legal costs to defend your ownership against a covered claim. Coverage has a maximum amount, which is set out in the policy.
What it doesn't cover
Title insurance is not a home warranty. It doesn't cover problems you knew about before you bought, things you agreed to, environmental issues, or the normal wear and condition of the house.
Exclusions vary by insurer, so read the policy summary your lawyer gives you.
It also won't fix a problem that a home inspection would have caught, like a leaky roof, failing foundation or old wiring. Those are condition issues, not title issues.
Title fraud and Ontario's backstop
Ontario also has a Land Titles Assurance Fund, run by the province, which can compensate people for certain losses from real estate fraud or errors in the land registry. Claims must generally be made within six years of the loss.
Title insurance is usually faster and simpler to use, because you deal directly with your insurer instead of applying to a provincial hearings process.
Common questions about title insurance
Is title insurance mandatory in Ontario?
No, title insurance is not required by law in Ontario. In practice, many mortgage lenders require a lender's policy as a condition of the loan, and most buyers take an owner's policy at the same time through their lawyer. Ask your lawyer what each policy covers in your purchase.
Does title insurance protect against title fraud?
Most owner's title insurance policies in Ontario cover covered losses from title fraud, such as a forged sale or mortgage registered against your home. The insurer typically pays the legal costs to restore your title and covered losses, up to the policy limit. Check your policy wording for the exact coverage and exclusions.
How long does title insurance last?
An owner's title insurance policy generally lasts for as long as you own the home, for a one-time premium paid at closing. A lender's policy protects the lender and is tied to the mortgage. If you refinance, the new lender may want its own policy.
What does title insurance not cover?
Title insurance doesn't cover problems you knew about when you bought, environmental contamination, or the physical condition of the home. It isn't a home warranty or a substitute for a home inspection. Each policy lists its own exclusions, so review them with your lawyer.
Sources
General information for Ontario, updated October 2026. Not legal, tax or mortgage advice. Rules change, so confirm with your lawyer, lender or the source above before you rely on it.