Glossary / Claims & duties / Tender of Defense

Tender of Defense

Also known as: tender of defense · tendering defense · defense tender

Claims & duties

A tender of defense is a formal demand that another party or its insurer take over defending you in a claim, usually based on an indemnity agreement or additional insured status.

To tender a defense is to formally ask a party who owes you protection, such as your own insurer or a contractor or vendor whose policy names you as an additional insured, to step in and defend a lawsuit or claim on your behalf. In vendor and subcontract disputes, the party seeking protection tenders the defense to the indemnitor's insurer, which then decides to accept, deny, or defend under a reservation of rights. Tendering promptly and in writing is important, because a late tender can jeopardize both your contractual indemnity rights and your own coverage.

Where you'll see it

ClaimVendor contractPolicy

Why it matters for your business

  • If a contract names you as an additional insured, tendering defense can shift the legal bills to the other party's insurer.
  • A late or missed tender can forfeit your right to a defense you already paid for in the contract.
  • How fast a tender is accepted or denied affects your cash flow and control of the case.
  • A written tender creates a clear record if you later have to fight over who owes the defense.

People also ask

What is a tender of defense?

A tender of defense is a formal request that another party, or that party's insurer, take over and pay for your defense in a lawsuit or claim. It is usually made because a contract requires the other party to indemnify you or names you as an additional insured on its policy. Once you tender, the other side's insurer will accept the defense, deny it, or agree to defend under a reservation of rights.

When should I tender defense to another party's insurer?

Tender as soon as you are named in a claim that a contract makes someone else responsible for, such as work performed by a vendor or subcontractor who named you as an additional insured. Do it in writing and attach the contract and the complaint so the insurer can evaluate its duty quickly. Waiting too long can weaken your indemnity rights and may even prejudice your own coverage, so loop in your broker right away.

Ready to take the next step?

Definitions are educational and may be modified by your specific policy language, endorsements, and state rules. For regulatory guidance, refer to the California Department of Insurance or the NAIC.

Reviewed by Andrei Craciunescu, CA Licensed Insurance Broker #4467994

Last updated: July 2026.