Gautam Chatterjee, the chairman of MahaRERA [Maharashtra Real Estate Regulatory Authority] hinted to make land title insurance mandatory for the registered developers/realtors. This judgment is likely to be passed after the insurance companies showcased their interest to offer title insurance for the real estate projects apart from the other insurance deeds they provide to the common man.
Although, title insurance is compulsory for all registered realtors/developers but the State unit of the Real Estate reform was unable to implement this section due to the absence of insurance players in the market who are of course required to offer such cover. But with multiple insurance companies coming forward to offer land title insurance, MahaRERA chief, Gautam Chatterjee plans to announce the date from when this insurance will become mandatory.
He also said that this insurance will act as an additional layer of protection as many companies expressed their interest to offer such services. Chatterjee also said that the title insurance should be budget-friendly and shall also cover multiple insurance risks. MahaRERA Chairman further said that the Government should also help with the documents and must look after the completion of land title records as the proposed land title bill can play a crucial role.
The land title insurance is an important thing in order to provide protection to home buyers against any loss/damage to the property title. In the absence of a mandatory rule to have a land title insurance, the lawyers are currently responsible for issuing of a title insurance letter although this issued document don’t have any accountability. Gautam Chatterjee, the Chairman is hopeful as he expressed a hope saying that things will change in a program organized at the Institute and Settlement Commissonerate on Saturday at the National Insurance Academy [NIA].