Insurance coverage (and the related litigation) generally involves a dispute between an insurance company (insurer) and its policyholder (insured) regarding whether a loss suffered by the insured is covered by the insurance policy issued by the insurer.

Such coverage disputes may arise after the insured suffers a loss due to theft, fire, or other event—or when an insured (person or business) is served with a lawsuit and requests the insurer defend the insured in the lawsuit, but the insurer denies coverage or only agrees to defend the lawsuit under a reservation of rights (ROR).

Insurance contracts and insurance coverage issues are often complex and an insured is often well-served by promptly discussing these matters with an experienced insurance coverage lawyer.

In South Dakota, insurance coverage disputes typically involve disagreements between the insurer and the insured about whether a particular loss is covered under the terms of the insurance policy. These disputes can occur after an insured event, such as theft or fire, or when a lawsuit is filed against the insured and they seek defense from their insurer. If the insurer denies coverage or agrees to defend under a reservation of rights (ROR), it means the insurer may later assert that the policy does not cover the claims. South Dakota's laws and regulations, along with the specific language of the insurance policy, will govern the outcome of such disputes. Insurance policies are contracts, and South Dakota adheres to contract laws to interpret these policies. The state's courts look at the clear language of the policy and the intent of the parties to determine coverage. It is advisable for individuals or businesses facing insurance coverage issues to consult with an attorney who specializes in insurance law to navigate these complex matters and to ensure that their rights are protected.