After the Event (ATE) Insurance protects litigants in respect of adverse costs awarded against them in the event that their claim is unsuccessful. It is usually the responsibility of the unsuccessful party in the litigation to have to pay a significant proportion of the winner’s costs, as well as their own. ATE Insurance offers a safeguard against all or part of that risk.
Standard ATE cover will meet the other side’s costs, and sometimes cover can be extended to include an element of the litigant’s costs (e.g. Counsel’s fees) in investigating and pursuing the claim.
Having ATE cover in place enables you to sleep more easily and means your opponent will find it harder to outmuscle you.
Please note that it is not possible to obtain ATE without having appointed a Solicitor.
ULP have over 15 years’ experience and expertise in this field - we provide the highest level of professionalism.
We assist in optimising proposals/submissions to Insurers, and we use our expertise and relationships to your advantage.
We can really help improve the odds of securing one or more Quotations.
The good news is that an ATE premium (the cost) is usually only payable if you win and when you win (if you lose there is nothing to pay).
Plus, premiums are normally variable, meaning the sooner/earlier you win, the less you will have to pay (so an early settlement may make commercial sense).
But - and there’s no beating about the bush - ATE is usually expensive because most litigation is risky, especially if your Opponent is disinclined to settle with you. The longer a case runs, the riskier it becomes (in terms of the consequences of losing). If you win late in the day or in Court, the premium/cost will invariably be very expensive.
As a ‘ballpark’ - and based on many years’ experience - the cost of ATE as a global average tends to be between 20% and 30% of the amount of cover purchased.
You could limit your budget as to the premium; we could seek as much cover as your budget will allow (and, if you share in the risk, an Insurer may charge less).
If you are seeking a cost benefit analysis of your litigation, why not use our Consultancy Service.
Not every case or litigant meets the right requirements for ATE. Our test will help you to see if it is worth applying for ATE.
Your Solicitor needs to complete our Proposal Form and return it to us along with supporting documentation.
We review your application to help gain a full understanding of your requirements and ensure that is it presented to Insurers in the best possible light.
We will assess your case in relation to each Insurers' individual requirements and your application will be submitted to as many Insurers as appropriate.
We aim to revert to you with the Insurers’ Quotations and responses within two to three weeks.
If you accept an offer from an Insurer, we will get that Insurer to issue you with your ATE Policy. Then it’s good luck with winning your litigation!
In order for us to seek quotations/offers for you, please ask your Solicitor to complete a Proposal Form on your behalf and return it to us.
We charge an Application Fee of £250 (no VAT) for providing our broking service for each Proposal submitted to us.
By all means take our test to gauge whether it is worth applying.
We have compiled a list of frequently asked questions and answers. But if your question is not listed, do call or email us.
The ideal time to purchase ATE insurance is around the time when legal proceedings need to be issued. The sooner you take out the insurance the sooner you will be covered for costs. It is important to know that it is very unlikely that you will be able to obtain ATE insurance if the trial date is within 6 months of your ATE application.
A Conditional Fee Agreement (CFA) is an agreement made between a Solicitor and their Client, whereby the Solicitor’s costs are only paid if and when the litigation wins. This is more commonly known as a ‘no win no fee’.
Insurers are more inclined to offer insurance to a litigant whose Solicitor is acting under a CFA, as it suggests the Solicitor believes in the case such that he/she will take on the risk of not getting paid.
Our Proposal Form is accepted by all the Insurers we approach, so your Solicitor will be saving a lot of time by coming to us. We normally spend many hours working on a case whether or not a Policy is taken out. If your Solicitor was to do the equivalent work themselves, they might not know where to go, could take much longer and this could also drive up the fees they charge you!
Claimants seeking monetary compensation could be offered a contingent and deferred premium. This means that there is no premium due until you win, and the premium is payable only if you win your litigation. If you do not win, then there will be no premium due.
Your Solicitor will be able to guide you on this, but as a minimum the indemnity limit will need to equal the amount of adverse costs you could face having to pay if you lose.
You can try, but ATE is designed for Claimants. That said however, we may still be able to assist if your case has strong merits. However, the premium will be due upfront, because a contingent and deferred premium will not be available for defendant cases.
Yes, but you will need to pay the premium upfront. A contingent and deferred premium option will not be available in this situation.
We can approach many/most of the Insurers operating in the market, but our knowledge and experience will dictate who is worth approaching on each and every case that we are instructed on.
As Insurance Brokers and not Solicitors, we stick to what we know and shy away from recommending Firms. If you are having trouble finding a Solicitor, please refer to www.lawsociety.org.uk and click on ‛Find a Solicitor’.