[sheriffofpaddys]

Title insurance is only required, to protect the lender, when you purchase a house using a mortgage. If you choose to buy with cash, you have no obligation to purchase title insurance, but imo you’d be wise to do so.

Similarly, you are only required to have auto insurance for the damage you may cause to others. The only time you are required to insure the value of your car is when you have a loan since the lender is putting up the money/risk.

There are many great examples of when to purchase insurance and many terrible examples (phone insurance comes to mind). I would argue that much of the problem stems from people not being educated on exactly what coverage levels they’re buying.