Unlike the Legal Defence costs which form part of and are included in Liability Insurance policies, this cover is offered to cover a variety of other specified Legal Expenses.
It is usually offered as a package, providing cover for Employment Disputes, Property Damage & Nuisance against third parties, In-depth HMRC Investigations, Disputes with Customs & Excise and Contract Disputes where the amount in dispute exceeds a specified figure. The Employment Disputes cover is the principal benefit and assuming the claim is valid, will usually cover any award made against your Organisation by an Industrial Tribunal (Fines and penalties are excluded).
The cover is usually backed by a Legal Helpline and it will be a requirement that their advice is sought and followed at all times for a claim to succeed.
Bespoke policies can be arranged for other types of Legal Expenses for example – Statutory License Protection, Collection of Rent Arrears or other Debt Recovery.