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Expert Analysis

The Risks Of Not Defending Your Insured

Law360, New York (September 28, 2015, 10:31 AM EDT) -- The first line of the Seventh Circuit's opinion says it all: "This case provides a warning for insurance companies who refuse to defend their insureds." As the court's admonishment suggests, insurers that improperly refuse to defend an insured do so at their own risk and may waive their coverage defenses in the process. Insurers' options remain to either defend under a reservation of rights or initiate a declaratory judgment action....

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