Most personal injury claimants can acquire After-the-Event (ATE) insurance in pursuit of their tort claim(s). ATE insurance can help mitigate the claimants financial risk of litigation including when:
- Being unsuccessful at trial or a motion.
- Failing to beat a Rule 49 Offer to Settle at trial or a motion.
- Abandonment or withdrawal of the claim.
- The premium itself if the case is unsuccessful.
ATE insurance can provide peace of mind to claimants knowing that they have some protection when they go up against a defendant, which is often times an insurance company.
ATE insurance does not dictate or influence the claimants file in any way but does help to offer the claimants accessibility to a lawsuit they may not have otherwise commenced.
If a claimant has chosen to obtain the ATE insurance and they are unsuccessful at trial they are covered by usually up to $100,000 for any outstanding disbursements or costs awarded against them.
If a claimant has chosen to obtain the ATE insurance and is successful then they are required to pay the premium which varies but is within the range of $1,200 to $2,000 plus 8% H.S.T.
However, if the claimant does not obtain ATE insurance and is unsuccessful, then they may be on the hook to pay for outstanding disbursements and pay costs to the other side if awarded.
If you have been involved in a collision and have any questions about pursuing a lawsuit, we encourage you to contact us for a free consultation, as you may be entitled to receive the help you deserve. Contact us at JEWELL RADIMISIS JORGE LLP and a member of our team will be happy to assist you.