If you suffered an injury due to someone else’s negligence, you might want compensation for your pain, suffering and related financial losses. A personal injury claim is a legal case you could bring to recover damages from the responsible party.
If you want to take legal action, having a personal injury solicitor handle your case is the best way to secure the compensation you deserve. They know how the legal system works and will help you gather all the evidence you need to mount a strong case.
However, you might worry about the costs of hiring a solicitor, especially without having the certainty you will win the case. But if your claim has merit, you will be offered a no win no fee service. This means your solicitor will not ask you to pay any legal fees unless they win your case.
After the Event insurance (ATE) is an essential part of any no win no fee claim. If you lose the case, ATE insurance will cover all the legal costs incurred. This makes it possible for every victim to pursue compensation without being left with a bill they cannot afford if their claim is unsuccessful.
For a free consultation with a legal adviser, call 0800 678 1410 or enter your details into our online claim form to receive a call back. They can let you know if you may be eligible to make a claim and answer any questions you may have about ATE insurance.
What is after the event (ATE) insurance?
There are legal costs involved in every personal injury claim. Besides solicitor fees, these may include many other expenses such as court fees, medical reports and expert witness fees. Usually, the losing party will have to cover these costs, which may amount to large amounts of money.
This might make you feel reluctant about investing a lot of time and money into pursuing compensation for your pain and suffering. If you lose, you will not only be liable to pay your legal costs but also those of your opponent. But, if your case has merit, you can claim without taking any financial risks.
After the Event insurance is a commercially available insurance policy which provides coverage for all legal costs incurred during claiming. This will cover any disbursements your solicitor incurred while making your claim, as well as the other party’s legal expenses.
The ATE insurance can be purchased by either the claimant or defendant to limit their exposure in the event they lose their case. Nonetheless, it is usually taken out by the claimant before reaching out to the other side. Each insurance company that offers ATE may have special terms and conditions.
Your solicitor will carefully review and negotiate their term policies to arrange the best deal for your unique circumstances. There is no limit to the legal expenses the policy will insure, but the level of coverage will affect the cost of the ATE insurance premium.
For more information about the After the Event insurance policy, you can call 0800 678 1410 for a free consultation with a legal adviser. Or, if you prefer, enter your details into our online claim form to receive a call back.
How does ATE insurance work?
Some people take out Before the Event (BTE) insurance just in case something happens. Unlike BTE, which covers your legal expenses only if purchased before an incident, you can get ATE insurance at any time after an accident has taken place.
Your solicitor will take out the ATE insurance on your behalf, usually before incurring any significant costs. They may get quotes from several different commercial insurance companies and choose the best cover for your needs.
ATE insurance is usually taken out at the beginning of a claim, but it can also be arranged during the litigation process once it becomes clear that the case is becoming complex or risky. However, any costs incurred beforehand will not be covered by the insurance.
If you take out an ATE policy later in the claiming process, the insurer will likely conduct a thorough investigation of your case. As the risks of losing are now higher, the After the Event insurance premium will likely be more expensive than the fixed standard premium paid at the outset.
The best thing about ATE insurance is that it is free and self-insuring if you make an unsuccessful claim. As the ATE premium is considered a disbursement, it will effectively pay for itself, along with other legal charges such as medical reports and court fees.
You only have to pay for the After the Event insurance policy if your case is successful. Once you win compensation for your personal injury, the premium will come out of your damages.
What does ATE insurance cover?
If you want to claim compensation for a personal injury, you are bound to incur legal costs and expenses such as solicitor fees, court charges or expert witness fees. Furthermore, if you lose your claim, you are liable to also pay for any costs your opponent incurred during the process.
This can turn out to be quite expensive and financially risky. However, if you take out the After the Event insurance policy, this will cover all your legal costs and disbursements if:
- Your claim is unsuccessful
- You lose the claim at trial
- You abandon the case after the defendant has incurred costs you are liable to pay
The ATE insurance policy provides cover for all the legal costs that arise from pursuing or defending a claim, such as:
- The other side’s solicitor fees
- Travel expenses
- Filing fees and court costs
- Copying and printing costs
- Expert witness fees
- Paralegal, secretarial and other staff time
- Telephone, fax and postage charges
- Barrister fees
- Police and medical reports
- Counsel’s fees
- Further investigation costs
The ATE insurance can be used in every type of personal injury claim, such as road traffic accidents, accidents at work or slips, trips, and falls in a public place. Your solicitor will use the best ATE policy for your particular needs so you can start a compensation claim without any financial worries.
If you are considering making a compensation claim, call 0800 678 1410 or request a call back to receive a free consultation with a legal adviser. They will be able to let you know whether you could make a claim and be happy to answer any questions you might have about ATE insurance policies.
How much does ATE insurance cost?
ATE is a legal expenses insurance used alongside no win no fee agreements so that victims of a personal injury can claim compensation regardless of their financial situation and without taking any risks.
The cost of the ATE insurance premium depends on the particulars of your case, including the type of claim, how strong it is and how early in the claims process you purchase the policy. Typically, the overall premium is 30% to 40% of the sum insured.
The ATE premium will be lowest for fairly predictable low-value claims such as car accidents, where premiums between £30 and £300 are common. More complicated liability disputes such as medical negligence claims or industrial accidents can have a total ATE insurance cost of over £1,000.
When it comes to ATE, there are several pricing models available, including:
The Staged ATE Premium
With this payment option, the cost of the insurance policy rises as your case proceeds. Typically, you will have to pay around 10% of the total cover at the beginning, and the final amount depends on the stage at which your case concludes.
The Fixed ATE Premium
A fixed premium means that you pay a fixed and final amount for the policy, regardless of how long proceedings last. This may be beneficial if your legal dispute is likely to go to court or last for a long time, but you may spend more than you need to if your claim settles just after proceedings are issued.
A Percentage of Damages
This option is gaining popularity, as the exact cost of your premium is calculated once your claim concludes as a percentage of your damages.
Based on your circumstances, your solicitor will decide which pricing model suits your legal case. However, applying for ATE as soon as possible and choosing when to pay the premium can help you save money. There are three types of payment you can choose from:
In Full, Up Front
This could save you a lot of money, as you cannot run into any extra charges afterwards, but you cannot recover this fee if you lose the claim.
Deposit Up Front, Full Payment Deferred
With this option, you pay around 10-20% of the whole amount at the beginning of your claim. This amount is not refundable, but you pay the rest only if you win compensation.
Full Premium Deferred
This is the preferred and most expensive option, as it requires no upfront payment, and you only need to cover the cost of the ATE premium if you win the claim.
Based on the circumstances of your accident, your solicitor will advise you on which payment method suits you best. For a free consultation with a legal adviser, call 0800 678 1410 or enter your details into our online claim form to receive a call back.
ATE insurance and no win no fee
If you want to make a personal injury claim, hiring a professional injury solicitor to represent you can be costly. Fortunately, most valid claims can be funded by reaching a conditional fee agreement with your solicitor. More commonly known as a no win no fee agreement, this means you do not have to pay your solicitor unless you win compensation.
As a standard part of your no win no fee agreement, your solicitor will take out an ATE insurance policy at the beginning of your claim. This will cover the other side’s costs and any expenses your solicitor incurred while building your case, offering extra financial protection on top of the no win no fee service.
You only have to pay your solicitor’s fees and the cost of the ATE premium if you win your claim. Otherwise, you do not owe a single penny to anybody. For these reasons, no win no fee is the most popular way of funding a personal injury claim.
Furthermore, the cost of the ATE premium is often linked to the solicitor’s track record of successful claims. The better their record, the lower the ATE premium will be, as the insurance company runs a lower probability of paying out on a policy due to an unsuccessful claim.
Is after the event insurance worth it?
If you suffered an injury due to someone else’s negligence and you want to take legal action, it is definitely worthwhile to apply for ATE insurance. This offers several benefits, including:
- If you lose the case, the insurance provider will cover all the legal charges incurred during claiming, both for you and your opponent. This way, you will not be left with out-of-pocket expenses, which may amount to large sums of money.
- Typically, you do not have to pay the ATE insurance premium unless your claim is successful and after you have received compensation for your damages.
- The ATE policy may encourage your opponent to settle the claim out of court. Since insurance companies do not offer ATE coverage unless a case has merit and a fair chance of success, they are likely to lose and pay more if the case goes to trial.
- The ATE policy provides access to justice to everybody, regardless of their financial situation. By minimising the litigation costs and risks, you can fight for the compensation you deserve without feeling pressured into an early settlement.
The purpose of ATE insurance is to guarantee that you will never have the responsibility of having to pay any legal costs if your claim fails. As the costs of claiming can become very expensive, it is definitely worth taking out an insurance policy.