This can be a considerable amount. There may be repair items that need to be resolved before you move in. If the deal is as-is, this will come out of your pocket. If you do go as-is, make sure you get a thorough inspection. You want a good inspector that will thoroughly inspect the property and honestly report his findings, but no need to over pay.
Policies vary in coverage, deductibles and actual value covered.
Unless there are complications involved in the transaction, it is not necessary to have an attorney close your purchase. If you choose to have an attorney ask their fees up front and compare to title companies. The policy price is pretty standard, its the charges for processing and paper work. Ask for a quote in writing and make sure they guarantee no additional charges. Stay with the big names unless they come highly recommended by a good friend.