Insurance Law Lesson 94: Tender

ten-dər: offer or present (something) formally. Example: “he tendered his resignation.”

In the insurance context, a “tender” typically refers to the presentation of a lawsuit to a liability carrier with a demand for insurance coverage. (See Lessons 21-22). A letter that includes such a demand is called a “tender letter.” Here some examples of use:

“When in doubt, tender the suit to your insurer and see what they say.”

“This claim could be general liability or professional liability, better tender it under both policies.”

“You can make an oral tender over the phone, but you should also send a tender letter for a better record.”

“Are you entitled to reimbursement for defense costs incurred before the tender letter was sent?”

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