ATE insurance to be included in initial conversations between client and solicitor
The Law Society has announced it will update its practice note on client information requirements, after it found that only 25% of solicitors verbally discussed Legal Expenses Insurance (including After the Event insurance) in initial conversations with clients. The updated guidance by the Legal Ombudsman will detail explicit mention of these insurances as potential funding options, if their legal case has merit.
At Prosperity Insurance, we’re working closely with firms that use our products to better help them explain policies to clients. Here are the key points that clients (and firms) should be aware of:
Protection
A comprehensive ATE policy offers protection against adverse costs, mainly your client’s liability for the other party’s costs, should your client lose the case.
Affordability
For many, an ATE insurance policy makes the pursuit of their case affordable, since the policy covers their solicitor’s costs in pursuing the case. With Prosperity’s ATE policies, all premiums are deferred and self-insured, meaning that the premium isn’t due until (and only payable if) the case wins. If the case loses, clients don’t pay the premium; instead, the Solicitor will claim on the policy on their behalf.
Put simply, this allows clients to pursue their case with minimal jeopardy.
Client confidence
Pursuing a case, even where it has merit, can be an intimidating thought for those who have never experienced a legal dispute. Having the security and protection of an insurance policy can often give clients the confidence they need to appoint a solicitor to represent them and pursue their case.
Access to justice
All of the above contribute to a bigger picture – widening access to justice. By removing financial barriers to pursuing a case, more people can access justice, leading to a fairer and more equitable legal landscape for all.
If you’d like to chat to our team about our After the Event insurance policies, get in touch with us.
