OREANDA-NEWS. January 29, 2010. IC ROSNO and the real estate agency MIAN have concluded a cooperation agreement whereby, beginning January 2010, MIAN is to accompany all secondary real-estate market transactions concluded in Moscow with obligatory title insurance in favour of property buyers. Thus, ROSNO guarantees the clients a transaction safety when buying an apartment, reported the press-centre of ROSNO.

Under the title insurance contract, the insurant is MIAN, and the insured beneficiary is the new owner of a real estate object purchased via MIAN. The standard insured period is three years (aggregate limitation of action).

MIAN has become the first Russian real estate company whose secondary real-estate market transactions will get insurance protection. This new title insurance scheme (whereby the insurant is the realtor, and the insured beneficiary is the new owner) enables real estate agencies to provide their clients with reliable guarantees of safety, while not increasing the cost of the agency’s services.

IC ROSNO plans to actively develop this segment, offering the similar cooperation scheme to other companies.

"Today, in the clients’ opinion, a real estate agency shall guarantee not only the high quality of real estate selection process, but its reliability as well. And if, later on, the title is lost to whatever reason, the realtor must guarantee reimbursement of the paid amount and provide legal assistance in prejudicial dispute settlement and in court. Such guarantees may have serious consequences for the realtors’ business. A title insurance policy enables real estate agencies to guarantee full transaction safety to their clients", comments Mr. Vitaly Us, Deputy Head of ROSNO’s Financial Risks Insurance Department.

The legal background of the real estate offered in the market is becoming more sophisticated year by year, and the fraudsters specializing in real estate schemes are increasingly active; at the same time, given the current crisis, such property represents a very attractive, relatively stable and, above all, liquid asset drawing much interest from fraudsters, thus making title insurance protection ever more important.

"MIAN has become the first Russian real estate company to bear responsibility for each transaction, as evidenced by ROSNO insurance policy. As an insurant, MIAN guarantees the new owner a transaction safety and its participation in resolving any arising issues. Today, no other real estate company would be able to offer better transaction safety guarantees", states Ms. Inna Ignatkina, Executive Director of MIAN.

ROSNO has been full direct member of the Russian Guild of Realtors since 2005. The company has been developing title insurance for already as much as 10 years. During this period, ROSNO made numerous insurance compensation payments for over one million roubles each.