diff --git a/balancer_conn_wrappers.go b/balancer_conn_wrappers.go
index 5eb87a55203..cb4b6728c22 100644
--- a/balancer_conn_wrappers.go
+++ b/balancer_conn_wrappers.go
@@ -131,11 +131,17 @@ func (ccb *ccBalancerWrapper) watcher() {
 }
 
 func (ccb *ccBalancerWrapper) close() {
+	if ccb == nil {
+		return
+	}
 	ccb.closed.Fire()
 	<-ccb.done.Done()
 }
 
 func (ccb *ccBalancerWrapper) exitIdle() bool {
+	if ccb == nil {
+		return true
+	}
 	if !ccb.hasExitIdle {
 		return false
 	}
@@ -168,6 +174,9 @@ func (ccb *ccBalancerWrapper) updateClientConnState(ccs *balancer.ClientConnStat
 }
 
 func (ccb *ccBalancerWrapper) resolverError(err error) {
+	if ccb == nil {
+		return
+	}
 	ccb.balancerMu.Lock()
 	defer ccb.balancerMu.Unlock()
 	ccb.balancer.ResolverError(err)
diff --git a/clientconn.go b/clientconn.go
index dd12a14f09a..e4819ca76b4 100644
--- a/clientconn.go
+++ b/clientconn.go
@@ -483,9 +483,6 @@ type ClientConn struct {
 	// firstResolveEvent is used to track whether the name resolver sent us at
 	// least one update. RPCs block on this event.
 	firstResolveEvent *grpcsync.Event
-	// TODO: Add a goodResolveEvent to track whether the name resolver sent us a
-	// good update. This will be used to determine if a balancer is configured on
-	// the channel instead of checking for `cc.balancerWrapper != nil`.
 
 	// mu protects the following fields.
 	// TODO: split mu so the same mutex isn't used for everything.
@@ -542,7 +539,7 @@ func (cc *ClientConn) GetState() connectivity.State {
 func (cc *ClientConn) Connect() {
 	cc.mu.Lock()
 	defer cc.mu.Unlock()
-	if cc.balancerWrapper != nil && cc.balancerWrapper.exitIdle() {
+	if cc.balancerWrapper.exitIdle() {
 		return
 	}
 	for ac := range cc.conns {
@@ -627,9 +624,7 @@ func (cc *ClientConn) updateResolverState(s resolver.State, err error) error {
 		// with the new addresses.
 		cc.maybeApplyDefaultServiceConfig(nil)
 
-		if cc.balancerWrapper != nil {
-			cc.balancerWrapper.resolverError(err)
-		}
+		cc.balancerWrapper.resolverError(err)
 
 		// No addresses are valid with err set; return early.
 		cc.mu.Unlock()
@@ -657,18 +652,14 @@ func (cc *ClientConn) updateResolverState(s resolver.State, err error) error {
 			cc.applyServiceConfigAndBalancer(sc, configSelector, s.Addresses)
 		} else {
 			ret = balancer.ErrBadResolverState
-			if cc.balancerWrapper == nil {
-				var err error
-				if s.ServiceConfig.Err != nil {
-					err = status.Errorf(codes.Unavailable, "error parsing service config: %v", s.ServiceConfig.Err)
+			if cc.sc == nil {
+				if cc.dopts.defaultServiceConfig != nil {
+					cc.applyServiceConfigAndBalancer(cc.dopts.defaultServiceConfig, &defaultConfigSelector{cc.dopts.defaultServiceConfig}, s.Addresses)
 				} else {
-					err = status.Errorf(codes.Unavailable, "illegal service config type: %T", s.ServiceConfig.Config)
+					cc.applyFailingLB(s.ServiceConfig)
+					cc.mu.Unlock()
+					return ret
 				}
-				cc.safeConfigSelector.UpdateConfigSelector(&defaultConfigSelector{cc.sc})
-				cc.blockingpicker.updatePicker(base.NewErrPicker(err))
-				cc.csMgr.updateState(connectivity.TransientFailure)
-				cc.mu.Unlock()
-				return ret
 			}
 		}
 	}
@@ -700,6 +691,26 @@ func (cc *ClientConn) updateResolverState(s resolver.State, err error) error {
 	return ret
 }
 
+// applyFailingLB is akin to configuring an LB policy on the channel which
+// always fails RPCs. Here, an actual LB policy is not configured, but an always
+// erroring picker is configured, which returns errors with information about
+// what was invalid in the received service config. A config selector with no
+// service config is configured, and the connectivity state of the channel is
+// set to TransientFailure.
+//
+// Caller must hold cc.mu.
+func (cc *ClientConn) applyFailingLB(sc *serviceconfig.ParseResult) {
+	var err error
+	if sc.Err != nil {
+		err = status.Errorf(codes.Unavailable, "error parsing service config: %v", sc.Err)
+	} else {
+		err = status.Errorf(codes.Unavailable, "illegal service config type: %T", sc.Config)
+	}
+	cc.safeConfigSelector.UpdateConfigSelector(&defaultConfigSelector{nil})
+	cc.blockingpicker.updatePicker(base.NewErrPicker(err))
+	cc.csMgr.updateState(connectivity.TransientFailure)
+}
+
 // switchBalancer starts the switching from current balancer to the balancer
 // with the given name.
 //
@@ -714,14 +725,12 @@ func (cc *ClientConn) switchBalancer(name string) {
 	}
 
 	channelz.Infof(logger, cc.channelzID, "ClientConn switching balancer to %q", name)
-	if cc.balancerWrapper != nil {
-		// Don't hold cc.mu while closing the balancers. The balancers may call
-		// methods that require cc.mu (e.g. cc.NewSubConn()). Holding the mutex
-		// would cause a deadlock in that case.
-		cc.mu.Unlock()
-		cc.balancerWrapper.close()
-		cc.mu.Lock()
-	}
+	// Don't hold cc.mu while closing the balancers. The balancers may call
+	// methods that require cc.mu (e.g. cc.NewSubConn()). Holding the mutex
+	// would cause a deadlock in that case.
+	cc.mu.Unlock()
+	cc.balancerWrapper.close()
+	cc.mu.Lock()
 
 	builder := balancer.Get(name)
 	if builder == nil {