Legal expenses insurance

Everyone comes into contact with the law sooner or later. As a plaintiff or as a defendant. For example, if you have a dispute about a purchased home or business premises, a construction dispute, or if there are internal problems in your company. Many companies and individuals therefore choose to take out legal expenses insurance. This prevents the costs from becoming too high if the legal dispute escalates. Legal expenses insurance then reimburses the costs of legal assistance.

How does legal expenses insurance work?

Legal expenses insurance is similar in many ways to other insurance policies, such as homeowners insurance. Legal expenses insurance provides coverage in kind (legal assistance from a lawyer employed by the insurer) or the costs of an external lawyer. Importantly, legal expenses insurance often consists of different modules: not all types of disputes are covered without fail. Individuals, for example, must specifically check the ‘housing’ and "employment law" modules if they want to be insured for these. And for companies, legal assistance insurance in intellectual property matters is often not possible. It is also important that if you see a dispute coming and only then take out legal expenses insurance, you are not insured for that dispute.

Free choice of lawyer

Usually a legal dispute is first handled by someone employed by the insurer itself. If it becomes a legal proceeding, you are entitled to free choice of lawyer. That means you have the right to choose your own lawyer to handle the case for you. This may be a lawyer from a firm recommended by the insurer (usually because they have price agreements with them), but it may also be a lawyer of your own choice. Lexys Advocaten can also work for you if you are insured for legal aid: we will then make arrangements for billing with the insurer. Read more about free choice of lawyer with legal expenses insurance.

Second opinion by an attorney

If you disagree with the legal expenses insurer about the feasibility of your case or about the substantive treatment, you can appeal to the dispute resolution system. You may then file a ‘second opinion’ be performed by a lawyer you choose. Read more about the second opinion with legal expenses insurance.