Legal expenses insurance explained How it works

A car crash

Legal expenses insurance may help you pursue any losses from an accident that wasn't your fault

The cost of taking legal action can be prohibitive. Could you afford to claim compensation if you were injured in an accident, unfairly dismissed from work or had a dispute with a tradesman?

You may be able to if you have legal expenses insurance (LEI).

LEI is usually sold as an add-on to car or house insurance, generally for a small extra premium (£15 to £20 a year isn't unusual). Occasionally it’s included free. It is also possible to buy standalone policies, although these are less common. 

There is always a limit to how much can be claimed under the policy – usually £50,000 or £100,000.

Types of LEI

There are two types of LEI – before the event and after the event.

Most LEI is before the event and offers cover for things that might happen. It usually includes the costs of solicitors’ fees, expert witnesses, court fees and any legal costs awarded to the other side.

After the event insurance is taken out after the incident has happened, insuring you against losing the case.

More on this...

Which? works for you