AmTrust Launches “Fixed Limit” After the Event Insurance Product

AmTrust Europe Limited, an insurance entity of AmTrust International, has announced the launch of a Fixed Limit ‘After the Event’ (ATE) insurance product for lower value commercial and civil legal claims. The new product was created in response to a perception of ATE insurance – which is used by individuals, businesses and insolvency practitioners to cover their legal expenses if a claim is unsuccessful – being available only for high value disputes.

AmTrust is now making Commercial ATE insurance available for cases where the quantum and costs are more closely aligned – helping to tackle the issue caused by a lack of proportionality and supporting Access to Justice by providing an ATE Insurance solution for lower quantum claims today, whilst considering the prospective future Fixed Recoverable Costs Regime.

“When discussing a new potential matter with litigators, naturally the focus is on the prospect of success. From an underwriting perspective this is a key consideration, but the first questions will always focus on case economics. Are the costs of pursuing the case to a worst-case scenario, going to trial, proportionate to the realistic quantum?” said James Jobling, Legal Expenses Development Manager at AmTrust International.

ATE insurance tackles this challenge through an innovative underwriting approach to proportionality and a preferential premium rating, therefore, increasing the potential for claimants to be able to obtain After the Event Insurance for lower value claims.”

The new policy is available for civil and commercial disputes, and it offers fixed limit indemnity options up to £300,000. There is no requirement for a law firm or barrister to be acting on a Conditional Fee Agreement. The premium is based on two stages and is contingent upon the success of the claim.

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