Types of Legal Insurance
There are two types of legal protection insurance. The “before-the-event” type provides protection in case somebody files a case against the policy holder. ATE or “After the event” covers expenses for a case that might have been filed before policy holder signed the policy. Many countries offer only before- the- event option, but in others both options are available.
Individuals that often find legal protection insurance include brokers, medical practitioners, consultants, supervisory officers, etc.. The service is also available for companies.
The expenses covered by both types of policies include payments for barristers, solicitors, fees, court fines, expenses of expert witnesses and costs that might be awarded by the court to winning parties.
Before-the-event legal protection insurance policies are sometimes sold under auto insurance and home insurances packages. Occasionally, they form part of benefits offered to union supporters. One time annual payments are often the method used for paying premiums.
Legal protection insurance covers issues arising from employment, taxes and many other legal issues like drafting of wills, filing divorce, civil and criminal issues, disciplinary hearings, and personal injuries.
Firms and even individual businessmen will find this insurance very useful as labor and tax issues continue to pose problems in the face of frequent changes in labor and tax policies and regulations.
These services ensure that policy holders, whether they up losing or winning, are protected from burdensome legal costs and this enables them to get the best legal services possible.
ATE provides protection to people who do not have before-the-event insurance. It is particularly helpful for people who figured in accidents that resulted in injuries because even if they lose the case, the policy will pay for expenses of the winning party including their own expenses. Solicitors recognizing the convenience this type of insurance provides often advice litigants to get ATE insurance.
The payment of premiums under ATE are sometimes deferred particularly in “no win no fee” arrangements; the premiums are self-insured. The insurance cost usually is included in the damage settlement.
The insurance company will have a list of lawyers from which clients can choose the lawyer who will represent them. In case, the clients do not find anybody they want from the list, then, they will be given free hand in choosing the lawyer. However, it would be beneficial for policy holders to get one from the list as those who are in there are experts who would want to exert all efforts to protect the interest of the client. It’s the interest of insurance companies to give the best kind of services as a winning record always brings in more profits and more business.