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Courts Differ on Insurer's Right to Recoupment of Defense Costs

November 2, 2010
New York Law Journal


In policies containing a duty to defend, the insurer’s duty is held to be a very broad one, triggered whenever claims are asserted against the insured that are even potentially covered by the policy. However, the determination of whether particular claims are potentially covered is not always clear at the onset of a litigation. At that stage, claimants may not yet have articulated their claims with specificity and the underlying facts may not yet be fully developed.

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