Robert, you stated so clearly what I was trying to say. And things may very likely end up that way, but legislation and rules are in place (in Florida anyway) that are meant to prevent that very thing.  Title Insurance is unique, in that the insurer is given the opportunity to search the title, analyze the risk and require corrective action before he insures.  That is a way, far cry, from casualty-type, where we say most people will not have a claim (car wreck) so we can insure just from the numbers.

I just finished a search where 3 individuals were in title as common tenants.  One died and one survivor deeded to the other. The deed out was signed as 'a widow'. The recording of the Death Certificate of one common tenant was deemed sufficient to pass title, rather than probate the dead tenant's estate.  This is a serious flaw in title occuring say - 10 years ago.  How can a computer program (or an individual 6000 miles from the courthouse) keep track of individual state law or even have a clue that this is something to note.  The heirs of this dead guy have a very legitimate claim to title - now owned and insured by third parties.

But, if I as the insurer was able to collect premiums on 99 other transactions - I can afford to pay this one and move on.  So why waste money and time on a search?