1

Claim example Title fraud

Problem: A person refinances a homeowner’s property by forging the homeowners’ signature on a mortgage document. The fraudster then disappears with the funds leaving the homeowner burdened with the responsibility of rectifying the situation and any costs associated with defending their title.

Solution: FCT would compensate the homeowners for actual loss they incurred as a result of the existence of the mortgage.

2

Claim exampleTitle fraud

Problem: A purchaser with an investment property received notice stating that the mortgage was in default and the lender would be taking possession of the property. The insured soughtcounsel as he knew that his mortgage was in good standing. An investigation revealed that the title was fraudulently transferred from the insured homeowner and a mortgage in the amountof $165,000 had been fraudulently registered on the title. Mortgage funds were paid to the fraudulent transferee, who was now no where to be found.

Solution: FCT coordinated and retained counsel on his behalf, and ultimately paid out $12,548.09 in legal fees to removethe mortgage from title and rightfully transfer title back to him.

3

Claim example- For estate planners Municipal issue: Work orders

Problem: Just before closing, a seller received notice of an outstanding work order that was in existence prior to their purchase of the property. The cost of the work required to lift the order was $11,315.00 and the prospective purchaser was ready to walk away from the deal, not wanting the expense or the hassle.

Solution: Not only did FCT pay the $11,315.00 on behalf of the vendor to resolve the work order, but also issued a free policy to the new purchaser and worked with them to resolve the issues in question. The deal went ahead as planned, closing on time to the satisfaction of all involved parties.