After the event insurance covers the cost of making a personal injury claim in the event that your claim is unsuccessful.
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After the Event Insurance
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 specified in the policy. This makes it possible for many claimants 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 470 0472 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.
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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 may be ordered to cover these costs, which can amount to large sums 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 may be liable to pay your legal costs and, in certain circumstances, some or all of your opponent’s. But if your case has merit and you have appropriate insurance in place, you may be able to claim without financial risk.
After the Event insurance is a commercially available insurance policy which can provide coverage for legal costs incurred during claiming, as set out in the policy terms. 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 policy terms to arrange the best deal for your unique circumstances. The level of legal expenses the policy will insure depends on the specific ATE terms, and 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 470 0472 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.
One benefit of ATE insurance is that, if your claim is unsuccessful, you would not usually have to pay the ATE premium yourself, as it is generally only payable if the claim succeeds. In that situation, the premium is typically treated as a disbursement of the claim.
You only have to pay for the After the Event insurance policy if your case is successful, with the premium being taken from your damages, subject to the applicable rules and your funding agreement.
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 an After the Event insurance policy, this may cover 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
An ATE insurance policy can provide cover for many of 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 470 0472 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 some no win no fee agreements so that victims of a personal injury can seek compensation regardless of their financial situation and without financial risk.
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 premium is a percentage of the sum insured, which can range from 30% to 45%.
The level of the ATE premium will depend on factors such as the type and value of the claim and the level of risk assessed by the insurer. Lower-value, more predictable claims may attract lower premiums than complex liability disputes such as medical negligence or industrial accident claims.
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 470 0472 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 personal 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, insurers may take into account factors such as the perceived strength of the case and the experience of the legal representative when setting the ATE premium, as these can affect the likelihood of the policy paying out.
To start your no win no fee claim, speak to an experienced solicitor by calling 0800 470 0472 for a free consultation. Alternatively, enter your details to receive a call back.
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 may be worthwhile to consider applying for ATE insurance, depending on your circumstances and the advice you receive. 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 help protect you against having to pay certain legal costs if your claim fails, in line with the policy terms and any court orders on costs.
As the costs of claiming can become very expensive, it is definitely worth considering taking out an insurance policy.
Friendly legal advisors are available to discuss your personal injury claim today.
- Find out if you have a valid claim
- A risk free, no win no fee service
- We are available 7 days a week
- Experienced personal injury lawyers
*Personal injury claims are provided on a no win no fee basis. If your claim is successful, your solicitor will receive a success fee of up to 25% of your compensation. If any additional costs could be payable, such as taking out legal protection insurance, these would be fully explained upfront by your solicitor before you decide to proceed with your claim. Termination fees may apply based on time spent on your case, or in situations such as: lack of cooperation, deliberately misleading your solicitor, failing to attend scheduled medical or expert examinations, or not appearing at a required court hearing. Please visit our guide to no win no fee claims page for further information.
