What is legal expense insurance?

Legal expense insurance (LEI) provides policyholders with legal advice, assistance and protection against commercial law cases. It can be implemented for a variation of business disputes which may arise such as issues with employees, suppliers, customers and other stakeholders.

Most traditional policies for legal expenses insurance covers Before the Event (BTE) cover. Unless automatically provided within a packaged insurance policy, add on legal expenses cover is optional to customers and clients would have to ‘opt-in’ for this service.

What does legal expense insurance cover?

Commercial legal expense insurance covers the legal costs a business would typically incur if a claim was made against the policyholder / company. This can provide protection from a range of disputes including:

Cover for the costs incurred by any criminal allegations or charges. This can include the cost of legal representation, witness statements, medical reports and other expenses accrued during the case.

Employment disputes / tribunals

Policies can include cover for employment disputes and employment tribunals including unfair dismissal, redundancy, discrimination, harassment, contractual disputes, pay disputes etc.

Not only can legal expense insurance cover contractual disputes related to employment, but it can also cover you for any disputes with suppliers or customers that may arise. An example of this could be if a party failed to deliver the agreed goods or services or they were deemed to be unsatisfactory.

Should HMRC suspect deliberate fraudulent actions have taken place, an investigation may arise where they look through previous filings. Legal expenses cover can assist with the fees arising from this dispute.

If selected for jury service, your employer must allow you to have time off (unless under some circumstances where the employer can ask to delay your jury services).[1] If you have difficulty getting the reimbursement of your wages which were lost due to the time taken to attend court, you can claim on your legal expense insurance.

Cover for any civil disputes relating to your property which the policy is registered under including damage to the property, trespassing or nuisance.

Included in your cover is access to a 24/7 legal support helpline where our friendly team are on hand to guide you through any queries that arise.

Please ensure you contact us/the insurer in the first instance before seeking alternative support from a lawyer or accountant etc as this may result in your claim being declined.

How do I make a claim on my legal expense insurance policy with Edwards Insurance Brokers?

In the event that you need to make a claim, please contact us on 01564 730 900. This is where our specialist claim team will be able to assist you with your query.

For more information on our claims process we have created a step by step guide on how to make a claim.

How do I find out more information about my legal expense insurance policy?

If you would like more information on what your legal expense insurance policy covers, reach out to a member of our friendly team at Edwards Insurance Brokers.

[1] https://www.gov.uk/jury-service/what-you-can-claim-if-youre-an-employee