Home
Forms Library
Closing protection letter

Sample closing protection letter 2026

closing protection letter Preview on Page 1

See details

4 out of 5

56 votes

The document is a Closing Protection Letter from a Title Insurance Company, outlining the terms under which the company agrees to reimburse lenders or buyers for actual losses incurred during a real estate transaction due to the issuing agent's failure to comply with closing instructions, acts of theft or fraud. It specifies conditions, exclusions, and limitations of liability, emphasizing that protection is limited to specific circumstances and requires prompt notification of claims.

Here's how it works

01. Edit your closing protection letter online

Type text, add images, blackout confidential details, add comments, highlights and more.

02. Sign it in a few clicks

Draw your signature, type it, upload its image, or use your mobile device as a signature pad.

03. Share your form with others

Send protection letter via email, link, or fax. You can also download it, export it or print it out.

How to use or fill out sample closing protection letter with our platform

Ease of Setup

DocHub User Ratings on G2

Ease of Use

DocHub User Ratings on G2

Click ‘Get Form’ to open the sample closing protection letter in the editor.
Begin by entering the Lender (or Buyer) Name and Address in the designated fields. Ensure accuracy as this information is crucial for identification.
Fill in the Date and Agent ID, followed by the Issuing Agent's Name and Address. This section establishes who is responsible for the transaction.
In the Transaction section, provide details about the Real Estate Transaction. Clearly state any relevant information that pertains to this specific transaction.
Review the Conditions and Exclusions carefully. Make sure you understand what is covered and what is not, as this will affect your protection under this letter.
Finally, sign and date at the bottom of the document where indicated. This confirms your agreement to the terms outlined in the letter.

Start using our platform today to easily fill out your closing protection letter for free!

be ready to get more

Complete this form in 5 minutes or less

Get form

Got questions?

We have answers to the most popular questions from our customers. If you can't find an answer to your question, please contact us.

How to get a closing protection letter?

When a title insurance company agrees to insure the title, the lender will usually require the title company to issue a Closing Protection Letter (CPL) to the lender.

What is on a closing protection letter?

A CPL is an indemnity agreement issued by the title underwriter wherein the title underwriter agrees to indemnify the lender for actual losses which are caused by certain kinds of misconduct, whether by action or inaction, of the title agent in closing the real estate transaction.

Are closing protection letters required in Illinois?

Most laws, including the Illinois law, require title insurers to issue Closing Protection Letters on all transactions, whether closed by their own branches or by agents. There is no additional fee paid by the customer to close with a title agent.

Should I get a closing protection letter?

You should always consider a CPLits a contract that protects your money. The letter will only offer coverage to who is included explicitly in the document, though. If a lender requires a closing protection letter, remember that it will only protect them in the transaction unless expressly stated otherwise.

Do I need a closing protection letter as a buyer?

What is a Closing Protection Letter? The CPL is nothing new. Formerly known as an Insured Closing Letter, many lenders (especially those out of state) required them of title agencies when insuring their loan at closing.