17/10/2012
Understanding Motor Legal Expenses Insurance
Navigating the aftermath of a road traffic collision can be a stressful experience, especially when financial implications come into play. If you've been involved in an accident that wasn't your fault, you might find yourself facing costs that your standard motor insurance policy simply won't cover. This is where motor legal expenses insurance steps in, acting as a crucial safety net to ensure you don't lose out financially. It's designed to cover the legal costs associated with pursuing claims for a range of issues, from recovering your policy excess and lost earnings to making a personal injury compensation claim. Without this vital protection, you could find yourself having to fund a solicitor out of your own pocket, or worse, miss out on rightful compensation altogether.
The average cost for this essential cover when bundled with your car insurance can be substantial, often sitting around the £251 mark. However, there are more affordable and comprehensive options available. For instance, a policy like Legal Care Plus offers extensive benefits for a fraction of that price, typically costing just £15. What's more, Legal Care Plus extends its protection to cover up to five policyholders residing at the same address under a single policy, making it an exceptionally cost-effective solution for families or households.
What Exactly is Legal Expenses Insurance?
Legal expenses insurance, often referred to as 'legal protection insurance' or 'before-the-event' (BTE) insurance, is a type of insurance that covers the costs of legal proceedings. This can include legal advice, the fees of solicitors and barristers, court fees, and potentially even the costs of the other side if you lose your case (subject to policy terms and conditions). It provides policyholders with the financial means to pursue legal action or defend themselves against legal claims, without the burden of exorbitant legal fees.
The primary aim of this insurance is to make justice accessible. Many individuals are deterred from pursuing valid legal claims or defending themselves due to the fear of high legal costs. Legal expenses insurance removes this barrier, empowering individuals to seek the legal recourse they are entitled to.
Key Benefits of Motor Legal Expenses Insurance
Motor legal expenses insurance offers a wide array of benefits designed to protect you in various motoring-related situations. Let's delve into the specifics:
Uninsured Loss Recovery
This is arguably the most significant benefit. If you're involved in an accident that wasn't your fault, you might have incurred various costs that your primary insurance doesn't cover. This includes:
- Policy Excess: The amount you pay towards a claim on your motor insurance.
- Loss of Earnings: If you're unable to work due to the accident.
- Personal Injury Compensation: For injuries sustained in the accident.
- Vehicle Hire Costs: If you need a replacement vehicle while yours is being repaired.
- Other Out-of-Pocket Expenses: Such as the cost of a taxi if your car is unusable.
Motor legal expenses insurance provides cover for up to £100,000 in legal expenses to help you recover these uninsured losses. This means a specialist solicitor can be appointed to pursue the at-fault party's insurer on your behalf, at no cost to you.
Legal Defence
Facing motoring prosecutions can be a daunting prospect. Whether it's for speeding, dangerous driving, or any other alleged motoring offence, legal defence cover is invaluable. This aspect of the insurance can cover legal costs if you receive a summons for an alleged motoring offence involving your vehicle, typically up to £25,000. This ensures you have professional legal representation to defend your driving licence and freedom.
Disputes with Garages
Disagreements with garages over vehicle purchase, sale, servicing, or repair work are not uncommon. If you find yourself in such a dispute, motor legal expenses insurance can provide the necessary support. It covers legal costs if you need a solicitor to help resolve the issue, ensuring you receive fair treatment and satisfactory outcomes.
Credit Hire & Repairs
Getting back on the road quickly after an accident is a priority. Some policies, like Legal Care Plus, can arrange for a replacement vehicle (credit hire) and quality repairs. The crucial advantage here is that by using these services, you can avoid making a claim on your own motor insurance policy, thereby saving your policy excess. The hire and repair costs are then recovered from the at-fault party's insurance company.
24/7 Legal Advice Helpline
Beyond accident-related claims, many comprehensive legal expenses policies offer a 24/7 legal advice helpline. This is a significant benefit, providing access to qualified legal professionals for advice on a wide range of personal legal matters in the UK. This can include issues related to wills, probate, employment disputes, family matters, and conveyancing. This round-the-clock access to expert advice can be invaluable for resolving everyday legal concerns.
Travel Costs
For those who travel across Europe, specific cover can be provided for travel costs relating to legal proceedings if an accident occurred on the continent. This can be up to £1,000, offering peace of mind for international road users.
Legal Care Plus: A Closer Look
Legal Care Plus stands out as a comprehensive and affordable motor legal expenses insurance policy. Let's break down its key features:
| Feature | Cover Details |
|---|---|
| Uninsured Loss Recovery | Up to £100,000 for accidents not your fault (policy excess, loss of earnings, personal injury). |
| Legal Defence | Up to £25,000 for motoring offence prosecutions. |
| Vehicle Disputes | Up to £10,000 for disputes on purchase, sale, service, or repair. |
| 24/7 Legal Advice Helpline | UK personal legal matters (wills, probate, employment, family, conveyancing). |
| Multicover | Covers up to 5 people at the same address on one policy. |
The policy operates on the principle that there must be a 51% or greater chance that your case will be successful for cover to be provided. It's also important to note that legal costs for incidents that occurred prior to purchasing the insurance will not be covered.
How Much Does Legal Care Plus Cost?
As mentioned earlier, Legal Care Plus is exceptionally affordable, typically costing just £15. This low cost, combined with its extensive coverage and multicover option, makes it a highly attractive proposition for drivers seeking robust legal protection.
How Do I Add Motor Legal Expenses?
If you are a customer of a specific provider, such as Hastings Direct, adding motor legal expenses is straightforward. You can usually do this by contacting them directly via phone. For example, Hastings Direct customers can call 0333 005 1162 to add this cover. The policy, often provided by reputable insurers like Allianz Legal Protection (a trading name of Allianz Insurance plc), can offer substantial legal cover, up to £100,000, for accidents where you were not at fault.
Frequently Asked Questions
Q1: What is motor legal expenses insurance?
A1: It's insurance that covers the legal costs you might incur if you're involved in a road traffic accident that wasn't your fault, helping you to recover uninsured losses and pursue claims.
Q2: How much does Legal Care Plus typically cost?
A2: Legal Care Plus is very affordable, usually costing around £15 per policy.
Q3: Does motor legal expenses insurance cover me if I'm prosecuted for a driving offence?
A3: Yes, many policies, including RAC's Motor Legal Expenses Insurance, provide cover for legal defence costs if you're facing prosecution for a motoring offence.
Q4: Can I get legal advice on non-motoring matters with this insurance?
A4: Yes, comprehensive policies like Legal Care Plus often include a 24/7 legal advice helpline that covers personal legal matters such as wills, employment, and family law.
Q5: What happens if the accident happened before I bought the insurance?
A5: Legal expenses insurance typically does not cover incidents that occurred prior to the policy's inception date. It's essential to have the cover in place before any incident occurs.
Q6: Can one policy cover multiple people?
A6: Yes, policies like Legal Care Plus offer 'Multicover', meaning up to five people living at the same address can be covered under a single policy.
In conclusion, motor legal expenses insurance is an invaluable addition to your car insurance. It provides essential financial protection and access to legal expertise, ensuring you're not left out of pocket or without representation when facing motoring-related legal challenges. Considering policies like Legal Care Plus can offer significant benefits at a remarkably low cost, providing peace of mind on the road and beyond.
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