After the Event legal expenses insurance (ATE insurance), one of the many litigation funding options, is about weighing up risk against reward. By protecting you from paying your opponent’s legal fees in the event of an unsuccessful claim, it reduces your risk considerably. Of course, ATE is not completely free, so if your case is successful you may have to use some of your reward to pay the cost of the insurance premium.
Most insurance is Before the Event (BTE), such as home, car and travel insurance which you take out hoping you won’t need. ATE legal expenses insurance cover is needed after the event that’s led to a dispute.
In the event of your claim being unsuccessful, ATE insurance can be used as a litigation funding option to cover court fees, fees for expert records, barristers’ fees and your opponent’s legal costs.
Is commercial legal expenses insurance right for you?
Taking out ATE insurance is a commercial decision: do you want to carry the risk of paying your opponent’s legal fees if your case fails, or do you want to pay your insurance premium if you win?