Call us today0800 160 1298
 
 

Litigation Protection

The potential costs involved in resolving a commercial dispute vary greatly depending on whether a claim is successful or unsuccessful. If an action is successful, the costs involved will often be mitigated by a financial award. However, if an action is unsuccessful, the losing party may be ordered to pay the costs of those involved in the action.

Yet the risk and costs of losing a commercial claim needn't prevent an individual or a business from pursuing a claim that has a strong chance of success. There are many insurance products now available that can reduce, or remove, the costs of failing to win a commercial claim.

These products, which come under the broad term of 'After the Event' (ATE) insurance, offer a creative and bespoke method of protecting against the financial risks and liabilities involved in losing litigation.

After the Event Commercial Legal Expenses Insurance

'After the Event' (ATE) insurance provides extra protection against the risks involved in resolving a dispute through the courts. It covers the potential losses and costs incurred if a legal claim is unsuccessful. This means that many common commercial claims, whether they relate to recovering debt, professional negligence, commercial property, insolvency or breach of contract, can be brought without any of the initial costs.

Litigation insurance products such as ATE will often cover an opponent's costs if the claim fails, as well as those of the person pursuing legal action. This kind of insurance is therefore very valuable for any individual or business that wants the peace of mind that they will not be liable for an opponent's costs should their claim fail.

ATE insurance also has the added benefit that the premium is only payable when the case is over and the claim was successful. This is because the premium is expected to be paid from any settlement or damages that are awarded in the insured's favour.

The level of the premium payable on success will often depend on the type of cover sought and the risks involved in bringing a claim. It may be a percentage of the insured amount or of the costs incurred at the end of the case. It is possible to negotiate the terms and premium payable to reflect the particular circumstances of the claim.

Although the fees of an insured person's solicitor are not covered by ATE insurance, it can be possible to offset a solicitor's fees by entering into a no win, no fee or no win, low fee agreement. By doing so, someone who wishes to bring a claim will be safe in the knowledge that they will only have to pay the costs of a commercial claim if they are successful.

Litigation Insurance Experts

Advantage Litigation Services can help you find and apply for the right insurance product in a straightforward and efficient way. We can also help you obtain additional cover should you need it, or apply for cover to be backdated.

Contact our litigation insurance product specialists for a no-obligation assessment of your potential claim and the funding options that are available. Click here to contact us today or call 01252 354434 to see how we can help.

Get in touch

  1. Your Name(*)
    Please let us know your name.
  2. Your Email(*)
    Please let us know your email address.
  3. Company Name(*)
    Please write a subject for your message.
  4. Your Phone Number
    Invalid Input
  5. Message(*)
    Please let us know your message.
  6. Anti-Spam, please enter the characters shown
    Anti-Spam, please enter the characters shown
    Invalid Input

Latest News

  • A large scale contract dispute claim has commenced involving a Hull based energy plant and one of its main contractors. The plant – Energy Works Hull – terminated the contract for MW High Tech Projects as they claim that the contractor had not met the agreed project completion date. Energy Works Hull are seeking £133m in damages to cover the cost of rectifying defects, delay damages and added costs to complete works. In response, MW High Tech Projects is disputing the claim and has subsequently filed a counterclaim for just under £47m, based on provisions they say are in the original contract that provide for payment following a termination for convenience. The two parties are now heading for the High Court with claims and counterclaims stemming from failure to deliver the project, termination of the main contract and assignment of a key... Read More

  • Engineering and construction firm Bechtel now has a court date set to enable its appeal against the award of the HS2 £1bn Old Oak Common station construction partner contract. Read More

  • Whilst Covid-19 may have forced many parts of society to slow down and re-think our approach to all aspects of our lives, recent comments by a number of High Court judges would seem to indicate that this is certainly not happening in civil and commercial litigation. The 3 judges have expressed their disquiet over the ever increasing pervasiveness of hostile and antagonistic approaches to litigation where every point, good or bad, is taken. In the case of Navigator Equities Ltd & Ors v Deripaska from July this year, Mr Justice Andrew Baker said that, in the 30 years in which he had worked in commercial dispute resolution: There has been a significant general increase in hostility and aggressiveness in the conduct of disputes…the taking of any and every point, good or bad, and other failures to display proper independence from the litigating client... Read More