X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

As soon as a claim or lawsuit is asserted against a professional, she should give notice to her insurer. The insurer has three choices following notice. It may accept coverage and appoint counsel to defend the action without asserting any potential defenses. It may disclaim coverage if it believes it will be able to establish as a matter of law that there is no possible factual or legal basis on which it might be obligated to indemnify its insured. In that instance, it will refuse to defend the insured. If it wrongfully refuses to defend, it will ultimately be able to only "litigate the validity of its disclaimer."1 Finally, the insurer can reserve its rights to disclaim coverage at some future date. It must notify the insured of its reasons for reserving its rights and will appoint defense counsel. Depending upon the reservation of rights, the insured may decline appointed counsel and instead retain outside counsel whose reasonable fees must be paid by the insurer.

This content has been archived. It is available exclusively through our partner LexisNexis®.

To view this content, please continue to Lexis Advance®.

Not a Lexis Advance® Subscriber? Subscribe Now

Why am I seeing this?

LexisNexis® is now the exclusive third party online distributor of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® customers will be able to access and use ALM's content by subscribing to the LexisNexis® services via Lexis Advance®. This includes content from the National Law Journal®, The American Lawyer®, Law Technology News®, The New York Law Journal® and Corporate Counsel®, as well as ALM's other newspapers, directories, legal treatises, published and unpublished court opinions, and other sources of legal information.

ALM's content plays a significant role in your work and research, and now through this alliance LexisNexis® will bring you access to an even more comprehensive collection of legal content.

For questions call 1-877-256-2472 or contact us at customercare@alm.com

 
 

ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.