What’s a “Reservation of Rights” Letter From the Dog Owner’s Insurance — Should I Worry?

Receiving a Reservation of Rights letter feels alarming, but it’s a common procedural step. Here’s what it actually means for your case.

The Short Answer

A Reservation of Rights letter is a notice from the dog owner’s insurance saying they’re investigating your claim but reserve the right to deny coverage if certain facts develop. It doesn’t mean denial is coming — it’s standard practice when policies have exclusions, factual questions, or coverage uncertainty. But it’s a signal that an attorney should be involved, because the carrier is preparing the foundation to potentially walk away from coverage.

Video coming soon — Solomon Radner answers this question

The Detailed Answer

Few documents in dog bite cases are as misunderstood as the Reservation of Rights letter. Insurance companies issue them routinely to preserve their options — not as a denial. But the existence of one is also a meaningful signal that the case needs careful handling.

What the letter says, in plain English

A typical Reservation of Rights letter says something like:

“We have received notice of your claim. We are investigating coverage and the underlying facts. We reserve the right to deny coverage under the policy if our investigation reveals that the loss is not covered, that policy conditions were not met, or that policy exclusions apply. By proceeding with the claim, you do not waive any rights, and neither do we.”

Translation: “We’re investigating. If we find out the policy doesn’t cover this, we may walk away. We’re not committing to coverage yet.”

Common reasons insurers issue Reservation of Rights letters

Breed exclusions — the policy may exclude certain breeds (pit bulls, rottweilers)
Prior bite history — the dog may have had prior incidents not disclosed to the carrier
Business use exclusions — the dog may have been used for business purposes (security, breeding)
Off-premises questions — bites occurring well off the insured property may have coverage limits
Intentional act allegations — if the owner set the dog on someone, most policies exclude intentional acts
Late notice — the owner reported the claim too long after the bite
Policy lapse questions — the policy may have lapsed for non-payment near the bite date

What happens next

The insurer typically continues to investigate. They may:

Interview the dog owner about the dog’s history
Review the policy carefully for applicable exclusions
Check whether premiums were current
Investigate any prior bite claims at the address

Eventually, they either: (1) confirm coverage and negotiate the claim normally, (2) deny coverage in writing (which triggers a separate legal challenge), or (3) offer partial coverage subject to conditions.

When the letter foreshadows denial

Some Reservation of Rights letters are routine investigation. Others are the carrier preparing to walk away. Signs the carrier is leaning toward denial:

The letter specifies a particular policy exclusion the carrier is examining
Questions focus on whether the dog had prior bite history
Questions focus on breed identification
The insurer asks the dog owner to provide a statement under oath
The investigation drags on for months without progress

If any of these signs appear, the carrier may be building toward denial — which means you need to start planning the alternative recovery paths (pursuing the owner personally, exploring other insurance, etc.).

What This Means for Your Case

A Reservation of Rights letter is not bad news, but it IS a signal. If you didn’t have an attorney before, this is the right time to bring one in. An experienced attorney knows how to respond — pushing the carrier to make a coverage decision, gathering evidence to defeat exclusions, and preparing alternative paths if denial comes. Don’t wait to see what happens.

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