Final answer:
Title insurance does not operate on a no-fault basis and is not concerned with fault. It provides coverage for defects in a property's title and protects property owners and lenders against financial loss.
Step-by-step explanation:
False. Title insurance does not operate on a no-fault basis.
This type of insurance is designed to protect property owners and lenders against financial loss due to defects in a property's title, such as unresolved liens or disputes over ownership. It provides coverage for any errors or omissions that may exist in the title.
Unlike car insurance, for example, where fault might be determined in an accident, title insurance is not concerned with fault. It focuses on the marketability and ownership of the property.