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First Dollar Defense

What is First Dollar Defense?

First Dollar Defense, also known as primary insurance, may refer to an insurance policy that pays out on the first dollar of a covered claim. This type of policy eliminates the need for a deductible, meaning that the policyholder is not required to cover any portion of the claim out of pocket. In other words, the insurance company pays out the full amount of the claim, regardless of the deductible amount.

First Dollar Defense in More Detail

First Dollar Defense is typically used in cases where the policyholder has a high risk of filing a claim, such as a business with a history of frequent claims or a homeowner with a high risk of damage due to natural disasters. The policy may also be used in situations where a deductible would be cost prohibitive for the policyholder.

In addition to eliminating the need for a deductible, First Dollar Defense can also provide additional coverage for expenses that are not typically covered by traditional insurance policies. These may include legal fees, investigative costs, and other out-of‑pocket expenses associated with a claim.

First Dollar Defense can provide policyholders with financial security in the event of a claim, as well as peace of mind knowing that the entire cost of the claim will be paid by the insurance company. It can also be a cost‑effective way to ensure that policyholders are adequately covered in the event of a claim.

Kyle Jeziorski

Kyle Jeziorski

Senior Director

Kyle is the market-facing and client leader at Founder Shield, with eight years invested in the boutique broker and more than a decade in the insurance industry. Before Founder Shield, Kyle worked at Marsh on the FINPRO team focusing on…

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