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After the Event insurance, or ATE as it may also be known, is a form of insurance policy which covers the expenses and legal costs involved in litigation. It can be used by claimant and defendant, though mainly facilitated by claimants. After the Event insurance is often something purchased by a solicitor on behalf of their clients, as it is there to cover any legal costs that arise following an incident that has already occurred. This form of litigation cover is a relatively new type of insurance cover that protects against what could be substantial costs should a client be proven liable, such as in the event of a personal injury claim, or should the legal action be unsuccessful and there be large legal costs to cover.
After the Event insurance mainly covers the costs of the opponent’s legal fees, however it does also cover the insured party’s disbursements too, such as ATE insurance premium. It may also be extended to cover the costs of the Solicitor themselves. The typical ATE cover will run from the date of Policy inception until the completion of legal proceedings, however it may also include costs incurred before the Policy was taken out – depending on the circumstances and policy type.
This form of insurance is usually only taken out by those who did not have BTE (before the accident) cover in place. If the policyholder is not successful in the case, the insurance company will pay out the legal costs and expenses of the opponent. For those filing a personal injury claim on a ‘no win, no fee’ basis, it is here that a solicitor may require you to take out After the Event insurance. This allows the costs to be covered if the claim is unsuccessful. The cost of the insurance policy itself is also usually applied on the same ‘no win, no fee’ basis.
As well as personal injury claims, ATE insurance typically covers: clinical negligence, commercial and contractual cases, road traffic accidents, financial miss-selling, insolvency and bankruptcy.
The biggest advantage of after the event insurance is the reassurance it brings to those who are involved in litigation. It removes the threat of potentially devastating financial losses and allows the litigant to continue to pursue the case for as long as they need to be to get the appropriate settlement. Not being able to afford legal costs is one of the biggest reasons for claimants and defendants to give up on a case.
When approaching a company regarding ATE insurance, your quote should be provided on a case by case basis. Application will be free and full assistance will be provided throughout the application process to ensure that your case merits are highlighted.
In recent years, After the Event insurance has come under serious scrutiny, however the right legal team will ensure that the correct protocol is followed and that if changes develop with regards to the International Association of Legal Expenses Insurers, your insurance policy and claims process will reflect this.
This article is provided by Guardian Legal, a bespoke Law firm highly specialised in the field of ATE Insurance and can cover all types of litigation. Click here to visit our site and receive the help you need today.