Why do I need Legal Expenses insurance?

Legal Expenses Cover

The idea of Legal Expenses cover may seem a bit scary, especially if you are just starting out as a contractor. After all, we’re sure you don’t intend on getting embroiled in any legal battles!

But, intentions aside, being a contractor does carry risks and it can be unexpectedly easy to find yourself in the middle of an unforeseen dispute — whether because of something you’ve done, or even because of something a client has done.

How can a Legal Expenses policy help?

A Legal Expenses policy will pay legal costs including solicitors’ fees, barristers’ fees, court costs, attendance costs, expenses for expert witnesses, accountants fees, costs of pursuing a case against a third party and any employment compensation awards.This also covers an appeal or defence of an appeal.

In the case of Kingsbridge’s Legal Expenses cover, this amounts to up to £100,000.

What are the benefits of a Legal Expenses policy?

The main benefit of this kind of policy is, of course, peace of mind. It’s exactly the kind of insurance policy everyone hopes they will never have to use, but it’s good to have it there just in case. The cost of a legal case could really do damage to your finances otherwise.

There are specific benefits to our policy that will really help you should you find yourself in a legal dispute relating to your work as a contractor.

Tax protection

This includes IR35 protection and covers you for tax enquiries, VAT disputes and employer compliance disputes. As IR35 is a complex area, this gives you peace of mind that you are covered should any issues arise.

Personal injury

Should you or any of your family members be involved in an accident resulting in injury, this part of the policy covers your costs and expenses when seeking compensation.

Jury attendance cover

Jury service can be a pain when you are self employed as it can result in a big loss of income. This covers you for that loss of income for both jury duty and if you should have to attend court or a tribunal. Happily, this means you can perform your civic duty without worrying about how you’ll pay your bills.

Contract dispute cover

This part of your cover helps you when you are in negotiation for any legal rights detailed in a contract.

Statutory licence appeal cover

Should you require a licence from a regulatory authority in order to operate as a contractor in your field, and this licence is revoked, altered or suspended, this cover will assist you with your legal defense in order to stay in business.

Debt recovery

This is the cover that most contractors will consider when first setting up as it protects you against clients who refuse to pay up. Should a client not pay you for your services as stipulated in your contract, this cover will assist you in recovering your debt.

24-hour legal advice helpline

Legal Expenses insurance with Kingsbridge also gives you access to a legal advice helpline where you can get 24/7 advice from a qualified advisor — an extremely helpful service that will stop you running up expenses over minor legal enquiries.

Whether you’d like to discuss taking out Legal Expenses Insurance, or adding it to your existing contractor insurance policy, give our friendly team a call on 01242 808740 or reach out to us on Facebook, Twitter or LinkedIn. You can also find more information about Legal Expenses insurance on our website.

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