Used for people or companies that lend money. Protects the Lender's lien priority and protects the lender's interest in the property as security for the outstanding balance under the buyer's mortgage.   A Loan Title Insurance Policy guarantees to the insured Lender that it has a valid enforceable lien on the property. The amount of coverage decreases as the note is paid off. It does not guarantee anything to the property owner and provides him no recourse to the title company should the title prove defective. If the mortgagee policy holder should foreclose, then the policy would become an owner's title insurance policy to it.