There is, unfortunately, an inherent risk associated with the raising of court proceedings, in particular for those pursuing personal injury claims, however, such risk can be eliminated by way of a policy of insurance known as after the event (ATE) insurance. Such insurance is taken out after an event, such as an accident which has caused an injury, and removes the financial risk associated with pursuing a claim for compensation. The policy covers the policyholder for disbursements (for example, medical reports), as well as any costs should they lose their case. If the policy holder does lose the case, then the insurance company will pay the opponent’s legal costs and expenses, as well as the policyholder’ own disbursements.
When acting in a “no win, no fee” basis more often than not, the solicitor acting will insist on an ATE policy being in place.
The premium payments, especially in a “no win, no fee” arrangement, may be deferred until the conclusion of the case and is only payable in the event of success. The cost of ATE insurance is, however, never recoverable as part of an award of expenses.
For more information on the After the Event insurance policy or to find out if you do have a claim for compensation on a “no win, no fee” basis please complete our PI online form or contact one of our solicitors.