ATE – Making sure you don’t bite off more than you can chew

Published: 05/06/2014

With so many changes affecting the personal injury industry over the past twelve months, it is easy to be confused. One of the biggest question marks surrounds After the Event (ATE) insurance, with many critics publicising their belief that clients no longer need it. However we are fearful such advice could leave many clients at risk. Personal injury solicitor, Kevin Smith, explains why:

“Deciding to make a claim following an accident can be difficult. However we have always been of the opinion if you have been injured due to someone else’s carelessness or even recklessness, leaving you injured or out of pocket, then why shouldn’t you be compensated?

“That’s why it’s important that once you decide to pursue a claim you are protected, no matter of the outcome. This is where After The Event Insurance comes in.

“Many people think that, following the recent changes, ATE policies are no longer required, replaced instead by Qualified One Way Costs Shifting (QOCS). Without wanting to bamboozle anyone with a load of legal jargon, QOCS in a nutshell was intended to shield a claimant’s personal liability should their compensation claim be unsuccessful.

“However QOCS has always been controversial but it is now clear that there are a number of exceptions which could leave claimants liable for the full extent of any cost order made against them. This can include court fees, medical report fees and counsel’s fees.

“An ATE policy protects against this so even if your claim is unsuccessful, you will not incur any costs. We therefore advise all clients to take out this insurance and minimise their financial risk.”

Content correct at time of publication