First-Dollar Defense

Insurance is full of complex terms to understand and when you secure coverage for your startup or company, starting with first-dollar defense.

Written by Mike McLean Published August 12, 2024

A feature of insurance that has $0 deductible or $0 retention applicable towards defense costs even if there aren’t any indemnity costs on a claim. (Note: there may still be applicable deductibles/retentions on indemnity costs/payments). Example: on a policy with “first dollar defense” if an insurer spends $100,000 defending a claim that results in no indemnity payments, the insured would not be required to pay any out of pocket costs for defense. Embroker’s digital products are NOT First Dollar Defense policies. 

More Resources for Your Company

First-dollar defense is just one element of any policy. Check out these other resources available to navigate the insurance process. Whether you’re a startup or proven tech company, these deep dives and data analyses can help you understand insurance and your industry in new ways.

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