Bank of America Makes Deal with Title Insurer - Foreclosure Title Issues

The latest issue that I find interesting relates to title insurance and how the title insurance companies stopped issuing title insurance for any bank owned property. In an effort to address this issue, Bank of America agreed with Fidelity National Financial to cover all court costs and settlements related to any lawsuits and Fidelity agreed it would defend new homeowners in court for any claims that arise related to a foreclosure in the chain of title. Apparently, Bank of America is working on similar agreements with other title insurers. I'm not quite sure how this is going to work in the long run for Buyers and housing prices. It still sounds to me like if someone buys a bank owned property they are still buying a home with built in litigation. I can't see how home prices won't be impacted. And the plot thickens!