An Insurer’s Duty to Defend the Insured

A key consideration in developing a litigation strategy is whether or not insurance coverage applies to the causes of action at issue, which is important for both parties. For the plaintiff, coverage can mean that he has a greater chance of collecting on his judgment if it is going to be paid from insurance proceeds. For the insured defendant, insurance coverage can provide reassurance that, if any monetary judgment is awarded against him, he will not have to satisfy it from his own assets. Equally important, his policy will also probably stipulate that the insurer will provide him with an attorney and legal defense for any claims covered by the policy.


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