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When Does the Carrier’s Duty to Defend End?

Although it seems reasonable that the carrier’s duty to defend ends when no insurable allegations remain in the suit – this is not necessarily always true. Some courts have a different opinion as to when an insurance carrier’s duty to defend ends. In some cases, the insurer has been required to defend insureds when NO covered allegations remain in the suit simply because there was the possibility a covered allegation may be brought back on appeal. CRAZY! Or is it?

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