The use of title insurance in Europe has, so far, been limited to a few securitization deals. Some observers do not see its use in a market that they believe already has adequate country-by-country title registration laws. But those who support this product said that a burgeoning pan-European CMBS market creates an ideal opportunity to make a case for title insurance on the continent.
In the U.S., the use of title insurance has gone hand in hand with the CMBS market. When the securitization market was born in the U.S. in the mid-1980s, title insurance was already universally accepted. Europe, however, has a more fragmented approach to title registration that is covered under domestic laws.