What is the role of the curative period in title insurance agreements?

The role of the curative period in title insurance agreements is to rectify title defects. This period is crucial as it allows the parties involved to resolve any issues with the title before the insurance policy becomes effective. During this time, various problems such as liens, encumbrances, or discrepancies in ownership can be addressed. If these title defects are not cured during the curative period, the title insurance policy might not offer coverage for those specific issues, potentially exposing the buyer or lender to risks.

By focusing on rectifying title defects during this designated time, the parties can ensure a smoother closing process and help protect their interests in the property. This process is essential to maintaining the integrity of the title and providing assurance that the property is free from significant legal issues before it changes hands.