After the title search, the title company issues a title commitment (also called a preliminary title report). It lays out three things: who currently holds title, the requirements that must be met before closing (such as paying off an existing loan), and the exceptions — items the future policy will not cover, like recorded easements. Reviewing the commitment is an important step: it tells you and your lender exactly what condition the title is in and what needs to happen before the company will insure it. Once the requirements are satisfied, the commitment becomes the actual policy.