Law Practice,
Insurance
Feb. 4, 2022
Consider obligations owed to both clients and insurers
Lawyers may not always sufficiently appreciate their obligations to insurance companies and may assume that their only duties flow to the policyholder. Defense counsel can get into trouble — or risk the rights of the policyholder — by failing to treat insurance companies fairly in these situations.
Insurance often plays a significant role in litigation. This is reflected by the fact that initial disclosures filed in federal court often require information regarding potentially applicable insurance. But even where applicable, insurance is not simply available to satisfy a judgment or settlement. Instead, policies may give insurers the right to control the litigation on behalf of a policyholder defendant. This control can include the right to select defense counse...
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