There are numerous forms of insurance that you can get for your business, covering everything from the building you operate in, to the vehicles that you use to the people themselves so that they can be compensated in the event of an injury. However, one aspect of coverage you should not forget is legal insurance, and it is worth knowing why this is important and worth investing in.

Legal expenses
There are two main types of legal expense cover. The first is what is known as “before the event.” As the name suggests, this means that you have funds in place so that if someone brings a legal action against you (such as a rival company, client or former employee), then you have the protection already in place.

After the event, coverage is what you take when you have already decided to start legal proceedings, and you want some form of protection in the event that you lose and will need to pay the costs of the other side. It is important to note these policies do not cover damages, as this will require a different form of insurance.

In some cases, a person may already have legal cover as part of a package the provider has already given them, included alongside contents and building cover, etc. Where this does become potentially complicated is if a neighbour shares the same provider in a property dispute, as this could result in a conflict of interest. Using a specialist in this interest would help to reduce this, although it is not always possible to completely remove any forms of conflict of interest.

It is also important to consider whether you need to add to what you already have. For example, you may be insured against damage to your car, but you may also want additional legal coverage so that you could further claim for other losses, such as personal injury or the loss of personal possessions in an accident, as these could be more expensive than the damage to the vehicle in the longer term.

There are some legal aspects that are not covered by these kinds of insurance policies, such as defamation proceedings or in cases where you have access to state funding (including criminal trials or childcare proceedings), something that the insurer should inform you about.

On top of this, an insurer needs to look at whether or not they feel pursuing a case is appropriate, and whether the chosen professional representing a client can do so without any potential conflicts of interest, as well as the likelihood of a positive verdict. Other factors that may influence their decision will be the amount of available evidence or any potential legal obstacles.

We can help
At Larcomes we believe in offering the customer service and care you deserve as a client, as well as providing the best possible representation. To find out more or to discuss your legal situation, please contact our team today to see what we can do for you.