Insurance covering legal expenses may assist you in pursuing any losses, which you have incurred, through an accident, which was not your fault.

It is often prohibitively expensive to take legal action. Many people cannot afford to make a claim for compensation after suffering an accident, being unfairly dismissed or being overcharged by a tradesman.

Legal expenses insurance (LEI) will enable you to pursue such a claim.

House or car insurance is usually sold with LEI as an add-on. Normally a small additional charge of about 15 to 20 pounds is made, although occasionally the cover is free. Stand alone policies may also be purchased, but it may be difficult to find.

The amount you can claim on a legal expenses policy is normally limited to between 50,000 pounds and 100,000 pounds.

What is “before the event” LEI and “after the event” LEI? LEI is available in two forms…..either before the event or after the event.

The majority of legal expenses insurance covers you for what might happen leading up to the event. It usually includes the fees charged by solicitors and expert witnesses, as well as legal costs and court fees awarded to the plaintiff.

On the other hand, after the event insurance insures you against your case being lost.

So what is excluded from the cover? No two policies are the same, but typical exclusions include defamation, divorce or custody matters, disputes with builders regarding major improvements to your home and small claims.

We would recommend that you take out both car and household legal expenses cover (LEI). Household LEI often covers employment disputes, like unfair dismissal, personal injury, property disputes and disputes about services or goods bought or hired.

The LEI cover, included in your car insurance policy, normally covers the costs you have accrued through an accident which was not your fault.

Your policy will normally cover you for claiming compensation relating to damage to your car, injury and uninsured losses like car hire or your policy excess.

So what types of legal protection are available? There are three main types as follows.

Family legal expense insurance. A legal dispute can arise unexpectedly with problems ranging from a dispute with your employer to someone trespassng on your property. The cost of settling such a dispute can be expensive whether you win or lose. With Legal Aid now only available to a small number of people, the cost of professional advice can soon mount up. A family policy provides you with protection against a wide variety of potential disputes including employment problems, personal injuries and contract disputes.

Landlords legal expense insurance. For most people buying a property to let is a major investment. However, if you are unlucky enough to get a difficult tenant you may find yourself unable to collect rent or prevent serious damage to your property or its contents.

Motoring legal expense insurance. Any legal dispute, especially when related to a motor accident, can be highly stressful and very expensive. Even if you are comprehensively insured, you may not have the resources to pursue damages for any personal injury, or recover your excess from the party responsible, despite having a legal right to claim these back.

In all of these cases having Legal Expenses Insurance will give you peace of mind.