The owner's policy remains in effect as long as you or your heirs own the property or are liable for any title warranties made when you sell the property. You may want to keep your policy, even if you transfer the title. You can't transfer your owner's title policy to a new owner. If the new owners want an owner's title policy, they must purchase one. The Texas Title Insurance Guaranty Association pays claims against insolvent title companies and agents.
Most lenders require borrowers to buy new mortgagee title policies when refinancing.
When the new loan pays off the existing loan, the old title policy is no longer in effect. A title company issues new policies in connection with new loans. Title companies must discount the premium if refinancing occurs within seven years of the original loan date. If you receive notice of a previous lien, immediately contact the title company and follow your policy's claim filing procedure. Failure to do so could jeopardize your claim.