Legal expense
Cover for the cost of the dispute itself
Being in the right still costs money to prove. Legal expense insurance covers the legal costs of pursuing and defending disputes, so the decision to act is not decided by the size of the legal bill. Total Risk Managers looks at legal expense risks for licensed brokers across Canada.
Pursue and defend
Can cover bringing a claim as well as answering one
Businesses and individuals
Commercial policies and personal add-ons
Broker only
Submissions reach us through a licensed broker
Appetite
What we look at
These are the legal expense risks to send us:
- Small and medium-sized businesses
- Contract disputes
- Employment disputes
- Tax audit representation
- Property and tenancy disputes
A risk not listed here is not a decline. Send the details and we will tell you.
How the cover works
What legal expense insurance addresses
These coverages can be arranged depending on the dispute types and the policy issued — they are available, not automatic.
Legal costs cover
Lawyers’ fees, court costs and disbursements for covered dispute types.
Defence and pursuit
Can respond whether the insured is bringing the claim or answering it.
Employment matters
Disputes with employees are among the most common uses of the cover in a business context.
Tax audits
Professional representation costs when the tax authority comes asking.
Advice line
Many policies include access to legal advice before a dispute hardens, which is often where the real value sits.
Before you send
What to include in a legal expense submission
A submission that answers these upfront moves faster.
The business
What it does, its size, and how many employees.
The exposure
The kinds of disputes most likely for this operation: contracts, employment, property, tax.
History
Disputes and legal proceedings in the last five years, resolved or ongoing.
Current arrangements
Any legal expense cover in place today and what it includes.
The concern
If a specific worry is driving the enquiry, say what it is; cover responds to future disputes, not ones already underway.
Common questions
Questions brokers ask about legal expense
What does legal expense insurance actually pay for?
The costs of the legal process for covered dispute types: fees, court costs, disbursements — not the damages awarded against an insured, which is what liability insurance is for.
Can it cover a dispute that has already started?
No; like all insurance it responds to what happens after the policy is in place, which is why it is bought before it is needed.
How is this different from liability insurance?
Liability pays what the insured owes someone else; legal expense pays the cost of fighting, including disputes the insured starts.
Who typically buys it?
Businesses facing employment and contract disputes, and individuals through add-ons; in both cases the buyer is purchasing access to justice at a known cost.
Can a broker place this directly?
Submissions are accepted from licensed insurance brokers. If you are a broker, send the details and we will come back to you. If you are not, please speak to your broker.
Have a legal expense risk to place?
Email the details to submissions@totalriskmanagers.com and we will come back to you. Submissions are accepted from licensed insurance brokers.
This page describes coverage in general terms. Cover, limits and conditions vary by policy and by risk. Nothing here changes or replaces the wording of an issued policy. Coverage is arranged through a licensed insurance broker. If you are a broker, contact us. If you are not, please speak to your broker.