to those claims or causes of action in the plaintiff's complaint which are actually covered under the policy, since a final judgement against the insured would normally be supported by a factual record in the trial court showing exactly why the plaintiff prevailed (or failed to prevail) on each claim or cause of action. Thus, an insurer could have a duty to defend based on mere allegations that show a potential for coverage, but may not have a duty to indemnify if the evidence supporting a final judgement against the insured also takes those claims or causes of action completely outside of the policy's scope of coverage. Conversely, it is also possible that an insurer may have no duty to defend based on the initial allegations of the plaintiff's original complaint, but may have a duty to indemnify based upon the policyholder's proven liability. While the duty to defend and the duty to settle are rare outside of English-speaking North America, the duty to indemnify is universally found in liability insurance policies. To settle reasonable claims In some jurisdictions, there is a third duty, the duty to settle a reasonably clear claim against the insured. This duty is generally triggered only if a reasonable opportunity to settle actually arises, either because the plaintiff makes a settlement offer, or the insurer is aware of information to the effect that the plaintiff would accept a settlement offer. The insurer is neither required to initiate an offer to a plaintiff likely to refuse it, nor required to accept an outrageous offer from a plaintiff who filed a frivolous lawsuit and cannot prevail against the insured under any theory. The duty to settle is of the greatest importance in the scenario where the insured may have some liability exposure (i.e., there is some evidence apparently linking the insured to the causation of the plaintiff's alleged injuries), the plaintiff has evidence of substantial damages which may exceed policy limits, and the plaintiff makes a settlement demand which equals or exceeds policy limits. In that situation, the insurer's interests conflict with the insured's interests, because the insurer has an incentive to not immediately settle. That is, if the insurer refuses to settle and the case then goes to trial, there are only two possible outcomes: (1) the insured loses and the insurer must pay the ensuing judgment against the insured up to the policy limits, or