A date down endorsement is a change of the effective date of a title insurance policy to a later coverage date. Title insurance protects the owner from any harm or loss from elements not indicated in the property’s title up to the date of closing.
Date down endorsements are used, in most cases, when mortgage loans are being modified or assigned to a third party. For example, a mortgage loan may be modified where the lendee is requesting a change of mortgage payments and a date down endorsement is requested and granted. This then changes the coverage period of the title insurance policy to a later date, such as, on or near the acceptance date of the new mortgage payments. This means that the title owner is not held liable for losses or damages occurring before the new effective date.