What is a key function of the "insurer's duty to defend"?

A fundamental aspect of the insurer's duty to defend is to provide a legal defense against claims that are covered under the insurance policy. This duty is often broader than the duty to indemnify, meaning that even if a claim is ultimately found to be not covered, the insurer is still obligated to defend the policyholder against claims that are potentially covered by the policy.

The rationale behind this duty is to ensure that the insured is protected from the financial burden of legal costs when facing a lawsuit. It reflects the principle that insurance should offer comprehensive protection to policyholders, which includes securing legal representation to manage defense efforts effectively.

By understanding this key function, policyholders can better appreciate the role of their insurer in claims processes and the comprehensive support they are entitled to under their policies, provided the claims fall within the policy’s coverage.