News & Events 2009
Insurance Age - Composite comments on commercial legal expenses insurance
26/01/09
In an article by Ralph Savage in Insurance Age questioning the safety of Hold Harmless agreements and the reliability of offshore legal expenses insurers to provide financial security in the event of a claim, Composite's John Mullin says
"There is a massive responsibility on brokers. If the claimant had a proper legal expenses policy with certain rights contained in it, such as the right of freedom of choice to use their own solicitor, the claimant could test the underwriter by way of an arbitration clause. This is only if the policy is correct and covers ULR in a proper way.
We know there are a number of documents out there that won't necessarily give that kind of protection or freedom, yet if you're going to have freedom of representative then you have to have adequate premium to pay for it. A lot of BTE policies are really just opportunities for claims."
"There is a massive responsibility on brokers. If the claimant had a proper legal expenses policy with certain rights contained in it, such as the right of freedom of choice to use their own solicitor, the claimant could test the underwriter by way of an arbitration clause. This is only if the policy is correct and covers ULR in a proper way.
We know there are a number of documents out there that won't necessarily give that kind of protection or freedom, yet if you're going to have freedom of representative then you have to have adequate premium to pay for it. A lot of BTE policies are really just opportunities for claims."
