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Although the U.S. has a reputation as a litigious society, in reality judges often encourage parties to a lawsuit to settle. When insurers defend their insureds, settling a case is a reasonable trial strategy to limit court costs and attorney fees. What happens when the plaintiffs reach an agreement with the defendant before trial not to pursue all available assets if they win? When a judgment is rendered against the insured in the trial in which the insurer doesn’t participate, must the insurer provide coverage?


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