It is necessary to review and update insurance policies after transferring real property to reflect the change in ownership. This is important because if the insurance policy is not updated, it may not cover the new owner in the event of property damage or loss. In addition, if the previous owner is still listed on the policy, they may be liable for damages or losses that occur after the transfer of ownership. By updating the insurance policy, the new owner can ensure that they are adequately protected and that they have the appropriate coverage for their needs.