What does "cease to defend" refer to in Florida law?

The phrase "cease to defend" in Florida law specifically refers to a scenario where an insurance company stops providing legal defense for an insured party in the context of a liability claim. This often occurs when the insurer believes that the limits of the policy have been exhausted due to claims or litigation costs. In such a case, the insurer may decide that it can no longer cover the legal expenses associated with defending against the claim, hence effectively ceasing to defend the insured.

Understanding this term is crucial for insurance professionals and those involved in legal contexts, as it highlights the limits of coverage and the responsibilities of both the insurer and the insured once those limits are reached. The other options do not accurately reflect this legal concept, as they pertain to entirely different areas of law or service rather than the specific legal implications of insurance defense.