Duty to Defend — General Liability

This letter advises the insured that the carrier will provide a defense under the general liability policy while reserving rights on coverage issues.

1. Introduction

Dear {{named_insured}},

We are writing in connection with the lawsuit filed against you by {{claimant_name}}, captioned {{case_caption}}, {{court_name}}, Case No. {{case_number}}, arising from an incident on {{date_of_loss}} at {{loss_location}}.

2. Duty to Defend

After reviewing the allegations in the complaint, we have determined that {{company_name}} has a duty to defend you under your Commercial General Liability policy number {{policy_number}}, effective {{policy_period}}.

We have retained the law firm of {{defense_counsel_firm}}, specifically {{defense_counsel_name}}, to represent you in this matter. Defense counsel will contact you shortly to discuss the case and schedule an initial meeting.

3. Reservation of Rights

While we are providing a defense, we are reserving our rights under the policy with respect to the following coverage issues:

{{reservation_of_rights_issues}}

This reservation of rights means that {{company_name}} is investigating whether coverage applies under the policy for all or part of the claims asserted against you. Our agreement to defend you does not waive any policy terms, conditions, or exclusions that may apply.

4. Your Obligations

Under the terms of your policy, you are required to:

• Cooperate fully with defense counsel and the investigation of this claim
• Forward any communications related to this matter to us immediately
• Refrain from making any admissions of liability or voluntary payments
• Attend depositions, hearings, and trial as required

5. Next Steps

Defense counsel will be in touch with you within the next several business days. If you have questions in the meantime, please contact me at {{adjuster_phone}}.

Sincerely,

{{adjuster_name}} {{adjuster_title}} {{company_name}}