Family Legal Expenses Insurance Claims Examples for Rossborough

Transcription

1 Family Legal Expenses Insurance Claims Examples for Rossborough Our Firm Reference Number is Page 1 of 5

2 Personal Injury The policyholder was cycling to work at 8.30am, travelling with the flow of traffic. The road had spaces for parking along the side of the road, and with no warning, a third party driver cut across the policyholder with the intention to park in the space, and a collision occurred. The policyholder did not have time to stop and was hit by the third party driver and thrown across the driver s bonnet in the middle of the road. The policyholder was taken to hospital in an ambulance and treated for a broken clavicle, which was later operated on, and severe bruising on his legs. Having left hospital, the policyholder submitted a claim form under his Family Legal Protection policy. Upon receiving the claim, Arc Legal instructed a panel solicitor to perform a prospects of success assessment on the policyholder s claim. The solicitor determined that there were positive prospects and began proceedings. The solicitors examined all evidence that supported the policyholders claim, including contacting the police for their report and obtaining a medical report for the injuries the policyholder sustained. Having submitted the evidence to the third party insurers, liability was accepted and the policyholder received significant compensation for his injuries. All costs to pursue the case were covered under the Legal Expenses Insurance policy, amounting to 3,670. Following the LASPO Act reforms in 2013, the policyholder would not have been responsible for any solicitor costs where a Legal Expenses Insurance policy was not in place. However, in the event that they purchased an After-the-Event policy, they would not have been able to recover the cost of the premium from the defendant, regardless of whether the case was successful. Furthermore, the solicitor would have been entitled to deduct 25% of the compensation awarded. Under our Legal Expenses policy, policyholders are entitled to retain 100% of all compensation awarded. Consumer Dispute The policyholder submitted a claim to Arc Legal following the laying of a terrace at their home. The policyholder used an architect to design the terrace, who in turn advised the type of stone to be used. The policyholder proceeded to select a builder recommended by the architect. The builders did not disagree with the choice of stone to use on the terrace. The cost of laying the terrace amounted to 30,000 in total. The builders took 8 weeks to complete the work and at the time the policyholder was happy with the terrace. However, 8 months later, the policyholder noticed that the terrace was eroding, and large holes were appearing in the stones. The policyholder had various settlement meetings with the architect, builders and the quarry who provided the stone, but a settlement couldn t be reached as it couldn t be determined who was at fault. Following the submission of the claim form, Arc Legal instructed their panel solicitor to conduct a prospects of success assessment, which were positive. The panel solicitor therefore began legal proceedings. Our Firm Reference Number is Page 2 of 5

3 The case could not be resolved out of court, and a court hearing was set. Due to the number of parties involved, the case was particularly complex and took a number of months to resolve. Eventually, the court found in favour of the policyholder, and the defending parties were ordered to pay 39, to the policyholder in damages. The total cost to pursue the claim was 32,513.12, the majority of which was covered from the other side. In the event that the policyholder pursued this claim without Legal Expenses Insurance, he would have been responsible for any costs that were not recoverable. Employment Dispute The policyholder was an established employee of a leading high street bank, and submitted a claim to Arc Legal for unfair dismissal. In 2003, he was signed off as unfit for work on health grounds and later diagnosed with Chronic Fatigue Syndrome / Myalgic Encephalomyelitis. He tried every treatment available, and in late 2007 underwent a new treatment which resulted in good improvement in his health. In February 2008, he returned to work on a limited basis, whilst still undergoing therapy. His employer offered him a rehabilitative role, which offered limited work to suit his part-time hours. The policyholder found that there wasn t enough work available to fill his time. To fill the down-time, he began to study for his professional exams. His symptoms were still present; however the signs were encouraging after a 6 year absence. He decided to increase his hours in September 2009, which resulted in an initial increase in workload, but by February it was virtually non-existent. He again increased his hours in a bid to generate more work, as he was told that by being present for longer would result in more time sensitive tasks being given to him. Despite the increase in hours, his work did not increase, even though summer interns were working in his department. He was advised by the company doctor to attempt a full time position for 3 months, however he was advised that no such position was available, and that he had been put at risk of redundancy, even after the employers stated that every effort had been made to find him a suitable role. He attempted to find roles elsewhere in the firm, including more junior roles, however without success. He received further correspondence that he would be made redundant in February The policyholder had been corresponding with his own solicitor prior to submitting a claim, and wished to continue so. After lengthy correspondence an agreement was made between Arc Legal and the nonpanel solicitor for the cost to manage the legal proceedings. Discussions began between the non-panel solicitor and the employer, and both parties agreed to private mediation prior to court proceedings. The policyholder was offered 300,000, however this was not considered acceptable by the policyholder s legal counsel. A further offer of 450,000 was rejected, before 500,000 was offered, which was deemed a good settlement by the policyholder s legal counsel. This offer of settlement was accepted. Due to the complex nature of this claim, and the lengthy period of negotiation, the legal fees are particularly high, reaching the limit of indemnity of 50,000. Without Legal Expenses Insurance, it is likely that the policyholder would be required to contribute towards legal costs, where the costs cannot be recovered from the other side. In this example, this could have equated to thousands of pounds. Our Firm Reference Number is Page 3 of 5

4 Property Dispute The policyholder contacted Arc Legal following extensive damage to their ground floor flat, of which they are the freeholder. The top two floors of the building were owned by the developer, and large renovations were taking place. A chandelier from the floor above the policyholder s had fallen from the ceiling, which in turn went through the policyholders ceiling, causing significant damage. The policyholder believed that the chandelier had fallen due to the renovation work being carried out, but the contractors denied this and insisted that the chandelier was faulty. The policyholder therefore wanted to make a claim against the contractor for damages. Arc Legal instructed a panel solicitor to conduct a prospects of success assessment. Prospects were determined to be over 51%, and the panel solicitor began proceedings. The contractors originally denied liability, however after further negotiation a settlement was agreed. The contractor paid the policyholder 13,000 in damages. Under private arrangements, property disputes that take a long time to resolve can soon result in expensive legal costs, sometimes thousands of pounds. Under our Legal Expenses Insurance policy, all legal costs are covered. Tax The policyholder contacted the legal helpline after they submitted their Tax Return and later received a letter from HM Revenue & Customs to advise that they were going to enquire into the return. On this occasion Arc Legal agreed for the policyholder s own accountant to deal with the matter. After discussions with the accountant, HMRC concluded that the Tax Return had been completed satisfactorily, and the enquiry was closed. Arc Legal paid the policyholder s accountant 2, under the insurance policy. Motor Prosecution Defence The policyholder submitted a claim form to Arc Legal following being summoned to appear at Magistrates Court for a speeding offence. The policyholder was stopped by a police officer for driving his motorcycle at speeds between mph, in a 70mph speed zone. Arc Legal instructed a panel solicitor to examine the case. The policyholder was a regular driver, and drove up to 25,000 miles per year as part of his employment as a national Sales Director. Despite the seriousness of this speeding offence, the policyholder otherwise had a clean driving licence. The panel solicitors determined that a plea in mitigation, on the basis that the policyholder required a driving licence for this employment, would likely result in the best possible outcome. The case proceeded to a court hearing, and following the plea in mitigation, the policyholder was a given a 750 fine, a victim charge of 15, 35 court costs fine and a disqualification from driving for 30 days. Considering that the speed limit was broken by a considerable amount, this was a very positive outcome. Our Firm Reference Number is Page 4 of 5

5 In the event that an individual did not have Legal Expenses Insurance, the cost to defend prosecution cases can be significant, often running into thousands of pounds. Probate Disputes The policyholder submitted a claim to Arc Legal following a dispute over his late father s will. Prior to her father s death, the policyholder was supported financially due to her inability to work for health reasons, and was assured that support would be continued if their father died. Following the policyholder s father s death, it transpired that the father s will left everything to his wife, the policyholder s step mother. The policyholder however was adamant that they were entitled to part of her late father s estate. Following a positive prospects of success assessment, Arc Legal instructed their panel solicitor to begin proceedings against the defending party. It later transpired that the policyholder s husband was entitled to 150,000 from his late aunt s estate, so the policyholder s financial position was better than expected. The panel solicitors therefore began negotiating a reduced settlement package. The case was eventually settled out of court. The policyholder was awarded 85,000, a significant result. The total costs were just under 8,000, and without Legal Expenses Insurance, the policyholder would have been required to pay these legal fees themselves. Clinical Negligence The policyholder submitted a claim form to Arc Legal following misdiagnosis of a lung tumour. The policyholder had an x-ray of his chest at his local hospitable, and was advised that there was nothing to be concerned about. About a year later, the policyholder returned to the same hospital and has another x- ray on his chest, and this time the hospital spotted the tumour. Upon examination of the original x-ray, it was clear that the tumour had grown significantly. The policyholder was advised that the tumour was malignant, inoperable and was given a very poor diagnosis. Following a positive prospects of success assessment, Arc Legal instructed their panel solicitor to begin proceedings against the negligent hospital. During the claim process, the policyholder sadly passed away, however the family instructed the panel solicitor to continue with the claim. After long negotiations, the hospital eventually admitted full liability, and offered settlement of 90,000, which was accepted by the policyholder s family. In this instance all legal costs were recovered from the hospital, however in the event that costs were incurred, they would have been covered under the Legal Expenses Insurance policy. Under a private arrangement, an individual may have been required to cover the legal costs themselves. Our Firm Reference Number is Page 5 of 5