Since the Jackson reforms of 2013, after-the-event (ATE) insurance has been suffering from something of an identity crisis. Some law firms question the value of ATE, believing they can in effect ‘self-insure’ the adverse cost risk, whilst customers question the need for ATE when the law firm is happy to run a case on a conditional fee agreement.
Unlike the Edwin Starr’s 1970’s song ‘War, what is it good for? Absolutely nothing’, I hope you’ll agree that the same cannot be said for ATE insurance, which continues to provide valuable protection for customers and law firms, even post LASPO. The goal posts may have moved, but the need to ensure the client is aware of their risk exposure when bringing a claim for damages is still prevalent.
LASPO! There I’ve said it. I believe everyone has now crawled out of their Jackson proof bunkers and realised that there life out there and there is a continuing need for personal injury lawyers, but it just isn’t quite the same as it was pre April 2013.
Liverpool costs specialists yesterday claimed a “massive breakthrough” in a dispute about the recovery of ATE insurance in RTA portal cases that has seen thousands of cases stayed. The news came as the government announced a two-year moratorium on ending recoverability in insolvency cases.
Well-known legal expenses insurer Abbey Protection is to launch a three-pronged attack on the SME market once its application to become an alternative business structure has been approved, it has revealed.
Following a fantastic 2011, three promotions and a new recruit later ARAG plc has had a speedy start to 2012. ARAG’s sales team is preparing for a growth over the next two years with the appointment of a broker business manager.
The government yesterday offered a limited concession on the Legal Aid, Sentencing and Punishment of Offenders Bill as a coalition of 10 leading after-the-event insurers accused the government of ignoring the industry during the formulation of its policy.
The Law Society, Association of Personal Injury Lawyers and Motor Accident Solicitors Society have agreed a compromise on the Jackson reforms that they are to propose to the government, Legal Futures can report. They have won the support of three key charities.
The Association of Personal Injury Lawyers will next week launch a final attempt to challenge the Jackson reforms by setting out a new negotiating position that drops outright opposition to the changes. However, defendant lawyers rebuffed any suggestion of compromise.
The dispute over Leigh Day & Co’s £105m costs bill in the Trafigura litigation has settled before it could reach the Supreme Court, it has emerged, leaving costs specialists frustrated that the question of the date from which interest on costs runs remains unresolved.