Sometimes,an insurer may retain an attorney to defend the insured in a liability case but can conclude later on,based on additional information,that it does not have the obligation to pay any damages that may be assessed against the insured as a result of the third party's claim.It can do so through a(n):

Question

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By providing the reservation of rights notice to the insured,the insurer indicates that it reserves the right,upon acquisition of additional information,to conclude (or seek a later judicial determination)that it does not have the obligation to pay any damages that may be assessed against the insured as a result of the third party's claim.

Sometimes,an Insurer May Retain an Attorney to Defend the Insured