February 23, 2022
Whether your client is a business owner or an individual professional, the chance of being involved in a lawsuit is ever-present. It's not surprising, then, that insurers have developed a way to respond to the possibility of being sued: legal expense insurance.
Legal expense insurance comes in two basic types:
1. A Before-the-Event insurance policy (known as Legal Fees Insurance in Québec) provides coverage before the event occurs.
2. After-the-Event insurance (also known as "adverse costs protection" or, more generically, as "litigation insurance").
In Canada, Before-the-Event insurance is more common than After-the-Event insurance. In spite of this, After-the-Even insurance has grown faster than anticipated.
If your client has South Western Group insurance, adding Legal Expense Insurance (LEI) can provide them with affordable and timely legal services should they ever have to defend or pursue a lawsuit for the risks specified in the LEI policy.
The Benefits of Legal Expense Insurance
Any type of business - whether a professional, a contractor, a business owner, or any other type of organization - without legal expense coverage will be exposed to numerous risks. Such individuals and entities are vulnerable to a variety of exposures, including:
● Human rights complaints, employment disputes, contract disputes, and criminal defence
● Landlord-tenant disputes, nuisances/trespasses on the property, and property damage disputes
● Changes to regulations and laws affecting small and medium-sized businesses
● Discipline proceedings, regulatory complaints and investigations, audits of billing profiles and criminal charges involving regulated professionals.
The typical professional, association member, or small-to-medium-sized business lacks in-house legal counsel or affordable legal services that meet their needs. Other insurance products, such as malpractice or professional liability, do not typically cover legal expenses incurred as a result of unanticipated challenges.
Partnering with STERLON to Offer Legal Expense Expertise
With an increasingly litigious society, the need for affordable legal services for unexpected events is growing among Canadian companies, associations, professionals, and individuals.
STERLON was established in 1993 as Canada's only independent monoline company focused exclusively on creating and servicing Legal Expense Insurance programs. With the combined expertise of STERLON, Legal Expense Insurance Specialists, CAN-UK Underwriting Services Ltd., and specialist underwriters, South Western Insurance Group offers legal expense insurance unmatched in Canada. South Western Group is pleased to offer Legal Expense Insurance for professionals and a wide variety of business classes, including but not limited to:
● Small and Medium Canadian Businesses
● Associations e.g. gun owners, police, golfers, etc.
● Regulated Professionals
● Condominium Corporations
● Rental Management companies
● Property Management companies
● Physicians & Surgeons
● Senior Care Homes
● Private & Professional Licensed Firearm owners
● And other identified risks
The Legal Expense Insurance (LEI) provides legal representation and covers the costs of pursuing or defending legal action. A fortuitous event is one that is not anticipated. Examples include, but are not limited to:
● Employment disputes
● Billing Profile investigations
● Disciplinary proceedings
● Regulatory issues
● Human Rights complaints
● Contract disputes,
● Personal Injury (pursuit)
● Criminal charges
● Landlord & Tenant disputes
● Anti-spam and Privacy Legislation disputes
● Licensing issues
● Tax disputes
In general, these types of matters are not covered by other insurance products such as professional liability or malpractice insurance.
With Unlimited Access to Legal Advice, Your Clients Can Rest Easy
SWG's LEI products include a toll-free Legal Advisory service for added peace of mind. STERLON manages customer service, the Telephone Legal Advisory Service, and claims handling. For the purpose of acting for insureds if a claim arises, STERLON maintains a panel of specialist lawyers. Lawyers are available to provide immediate general advice for any business or professional matter during normal business hours, 9 a.m. - 5 p.m. local time. In some cases, lawyers are available 24 hours a day.
Customer service is also available 24 hours a day as well. Telephone Legal Advisory Services are provided by established and accredited service providers.
● Telephone Legal Advice
● Specialist Legal Expense underwriting team
● Canadian Insurer
● Representation by specialist lawyers
● Claims handling by adjusters dedicated solely to Legal Expense claims
● Rapid Service
● Unmatched Canadian expertise
● Tailor-made products
Visit our product page at https://swgins.com/product/legal-expense-insurance.html for more details.
Content is current as of the date of broadcast and is subject to change without notice.