Depending on the outcome of a commercial dispute, the potential costs can vary greatly. If a case is successful, any costs involved may be offset by a financial award, whilst if a claim fails, this may result in the losing party being ordered to pay their costs and other sides’ costs. However, those pursuing a claim with a strong chance of success need not be deterred by the risk and costs associated with losing.

A range of insurance products are available, known as ‘After the Event’ (ATE) insurance. This type of insurance offers a deferred and contingent approach to protecting against the financial risks and liabilities of litigation. Deferred means that payment of the premium is only at the end of the case, and contingent means it is only paid upon success. These products can effectively reduce or eliminate the costs of an unsuccessful claim.

Annecto Legal fills the gaps when clients need access to the best legal advice on any commercial dispute. It removes financial uncertainties and unforeseen legal expenses at a low cost.

What is ATE for commercial disputes?

ATE insurance is a type of insurance policy that provides coverage for legal costs and expenses incurred during commercial disputes. In the context of commercial disputes, ATE insurance can be purchased after a dispute has arisen and provides protection against the costs of losing the case.

ATE insurance can be used alongside conditional fee agreements, damages based agreements and third party funding to fund litigation. ATE insurance is typically used to cover the costs of the opposing party’s legal fees and other costs if a business or individual loses a commercial dispute, as well as the client’s own disbursements.

This type of insurance can help mitigate the financial risks associated with pursuing legal action and can provide peace of mind to individuals or businesses involved in commercial disputes. ATE insurance policies are often tailored to specific case types and can cover a range of costs, including court fees, counsel fees, and other legal expenses.

Commercial ATE insurance can provide indemnity for a range of legal disputes, including commercial contract disputes, intellectual property disputes, shareholder disputes, professional negligence, property disputes and many more.

What are the benefits of ATE for commercial disputes?

After the Event (ATE) insurance offers a range of benefits for individuals and businesses involved in commercial disputes, including: 

• Reduced financial risk: ATE insurance can help reduce the financial risk associated with pursuing legal action by covering the cost of legal fees and adverse costs orders in the event of an unsuccessful claim.
• Peace of mind: ATE insurance can provide peace of mind to individuals and businesses involved in commercial disputes, knowing that they are protected against the financial risks of losing the case.
• Access to justice: ATE insurance can help level the playing field for individuals and small businesses who may otherwise be deterred from pursuing legal action due to the costs involved. ATE insurance can also be used as security for costs in some cases.
• Flexibility: ATE insurance policies can be arranged at any stage of the legal process, providing flexibility for individuals and businesses involved in commercial disputes, although it is typically best to secure ATE around the point of issuing a claim.

How can Annecto Legal assist with ATE for commercial disputes?

Annecto Legal help clients realise the value of their commercial litigation claims. The application, quotation stage, costs and premium structures of commercial ATE insurance can be particularly complex. Therefore, we recommend that you contact our team as soon as possible so that we can provide the guidance you require.

We provide our services to a range of clients, including businesses, solicitors, commercial insurance brokers, individuals, insolvency practitioners and liquidators. 

Get in touch with an expert member of our team to find out more about ATE for commercial disputes and which  legal expenses insurance is the right litigation funding choice for you.

Call us today on 0800 612 6587.