Insurance question
Posted: Thu Jan 31, 2013 7:53 pm
Just looking for peoples view on this
TC has always said it's not worth it - that's good enough for me.
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Insurance question
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Posted: Thu Jan 31, 2013 7:55 pm
Posted: Thu Jan 31, 2013 9:07 pm
Damn... I voted yes as had an accident before, I lost he case although don't think it was 100% my fault, in fact, I'm extremely sure it wasn't completely my fault... I was speeding but she crossed straight across my lane.
Lawyer seemed good but I lost the case... Since reading they links you put up I now think my solicitor was shite.... I shall not take legal cover on renewal... I'm upset... Wouldn't have had the money to pay the fee... Now I know I could've went no win no fee... Why pay the insurance for a half baked lawyer?
Lawyer seemed good but I lost the case... Since reading they links you put up I now think my solicitor was shite.... I shall not take legal cover on renewal... I'm upset... Wouldn't have had the money to pay the fee... Now I know I could've went no win no fee... Why pay the insurance for a half baked lawyer?
Posted: Fri Feb 01, 2013 10:20 am
There are those in the insurance industry who will strongly recommend that you have the LEI for your own protection, and I often get told on renewal that it is strongly recommended that I have legal cover. I just laugh 
Firstly, even though they often say it is free, you still end up paying, and it varies between £10 and £50 per annum.
If you are involved in a crash that is deemed your fault, the whole purpose of your insurance is to cover those third party costs, which can and will include damage as well as injury.
If however the crash is not your fault, and providing there is injury, then under a no win no fee arrangement, "YOU" choose who you want to represent you. Now there are a number of benefits of this.
1. You choose your solicitor which could be by recommendation or location.
2. If you use legal expenses the fees payable are capped, usually £50,000 or £100,00. Under a no win no fee there is no capping.
3. With no win no fee, the solicitor has to do a risk assessment before the case can be accepted in order to be able to get the after the event insurance that protects you in the event the case is lost.
4. This means that when the case is accepted, the no win no fee lawyer is going to fight your corner, because if they lose they get paid nothing, whereas a LEI appointed solicitor will get paid win or lose, and this is particularly relevant in respect of firms who are connected to claims management firms.
5. Most LEI cases are handled by paralegals or legal execs and only supervised by a solicitor.
We recently had a case where the rider was badly injured in south London. The rider sustained a serious brain injury and will never work again, and he also sustained other very nasty injuries.
The insurers passed the case to a law firm in the north of the country.
Not once did this law firm go to see the client, and suggested that they could settle the case quite quickly if they made a part 36 offer (legal term) for £50,000. The claimants partner who was also his litigation friend thought that this offer was derogatory and was not appropriate given the seriousness of the injuries sustained and the fact that he would never work again.
The LEI law firm dragged it out and out, and over a period of 3 years the claimant struggled with living costs and bills and had to borrow from friends and relatives, even though his solicitor could have made an application for an interim payment.
The day before statute of Limitation expired, said law firm issued proceedings in the High Court up north even though it was a London based incident, but proceedings had to be issued to protect the claimant otherwise his claim would have been thrown out.
It transpired that the law firm had spent the £100,000 budget (on what is not known) but had done nothing to get the case progressed.
Cut a long story short, case was taken over by us, the proceedings were transferred to the RCJ in London, an interim payment secured so he could pay back his family and friends and have cash he could pay his own bills.
Remember the original solicitors suggested a settlement figure of £50,000. We obtained £7.5 million, plus got a care management programme put in place.
There is also a professional negligence claim against the original law firm.
This is is just one example of a number where LEI solicitors have screwed up and it is becoming increasingly common.
Just recently a well known law firm suggested that a rider accept £7,500 for the life threatening injuries he sustained when he was hit head on.
We have just settled for about £480,000.
Again, if you use no win no fee law firms, they will fight your corner. LEI appointed solicitors don't give a stuff as they get paid regardless and you just become a number on their conveyor belt.
Firstly, even though they often say it is free, you still end up paying, and it varies between £10 and £50 per annum.
If you are involved in a crash that is deemed your fault, the whole purpose of your insurance is to cover those third party costs, which can and will include damage as well as injury.
If however the crash is not your fault, and providing there is injury, then under a no win no fee arrangement, "YOU" choose who you want to represent you. Now there are a number of benefits of this.
1. You choose your solicitor which could be by recommendation or location.
2. If you use legal expenses the fees payable are capped, usually £50,000 or £100,00. Under a no win no fee there is no capping.
3. With no win no fee, the solicitor has to do a risk assessment before the case can be accepted in order to be able to get the after the event insurance that protects you in the event the case is lost.
4. This means that when the case is accepted, the no win no fee lawyer is going to fight your corner, because if they lose they get paid nothing, whereas a LEI appointed solicitor will get paid win or lose, and this is particularly relevant in respect of firms who are connected to claims management firms.
5. Most LEI cases are handled by paralegals or legal execs and only supervised by a solicitor.
We recently had a case where the rider was badly injured in south London. The rider sustained a serious brain injury and will never work again, and he also sustained other very nasty injuries.
The insurers passed the case to a law firm in the north of the country.
Not once did this law firm go to see the client, and suggested that they could settle the case quite quickly if they made a part 36 offer (legal term) for £50,000. The claimants partner who was also his litigation friend thought that this offer was derogatory and was not appropriate given the seriousness of the injuries sustained and the fact that he would never work again.
The LEI law firm dragged it out and out, and over a period of 3 years the claimant struggled with living costs and bills and had to borrow from friends and relatives, even though his solicitor could have made an application for an interim payment.
The day before statute of Limitation expired, said law firm issued proceedings in the High Court up north even though it was a London based incident, but proceedings had to be issued to protect the claimant otherwise his claim would have been thrown out.
It transpired that the law firm had spent the £100,000 budget (on what is not known) but had done nothing to get the case progressed.
Cut a long story short, case was taken over by us, the proceedings were transferred to the RCJ in London, an interim payment secured so he could pay back his family and friends and have cash he could pay his own bills.
Remember the original solicitors suggested a settlement figure of £50,000. We obtained £7.5 million, plus got a care management programme put in place.
There is also a professional negligence claim against the original law firm.
This is is just one example of a number where LEI solicitors have screwed up and it is becoming increasingly common.
Just recently a well known law firm suggested that a rider accept £7,500 for the life threatening injuries he sustained when he was hit head on.
We have just settled for about £480,000.
Again, if you use no win no fee law firms, they will fight your corner. LEI appointed solicitors don't give a stuff as they get paid regardless and you just become a number on their conveyor belt.
Posted: Fri Feb 01, 2013 11:01 am
Really wish I knew all this prior to my "off"... Quite annoyed now.
Posted: Fri Feb 01, 2013 1:38 pm
Indeed - but in my experience, when they describe it as "free" they won't let you opt out - other than going to insure elsewhere - same with breakdown cover that I already have!T.C. wrote:
Firstly, even though they often say it is free, you still end up paying, and it varies between £10 and £50 per annum.
... which makes me wonder whether there are situations for which it is worthwhile.T.C. wrote: If however the crash is not your fault, and providing there is injury, then under a no win no fee arrangement, "YOU" choose who you want to represent you. Now there are a number of benefits of this.
.
For example, you've parked up, are walking away from your bike and you hear a great crash behind you. With a sickening feeling you turn round to find your bike on the floor in a heap of broken plastic with mr myopic driver having reversed into your pride and joy.
It's 100% the 3rd party's fault but there is no personal injury .... who will fight your corner?
Posted: Fri Feb 01, 2013 3:01 pm
Quite simple. Your insurance (even on TPF&T) can fight your case without having to refer it to solicitors, or simply issue proceedings in court yourself against the third party.D-Rider wrote:... which makes me wonder whether there are situations for which it is worthwhile.T.C. wrote: If however the crash is not your fault, and providing there is injury, then under a no win no fee arrangement, "YOU" choose who you want to represent you. Now there are a number of benefits of this.
.
For example, you've parked up, are walking away from your bike and you hear a great crash behind you. With a sickening feeling you turn round to find your bike on the floor in a heap of broken plastic with mr myopic driver having reversed into your pride and joy.
It's 100% the 3rd party's fault but there is no personal injury .... who will fight your corner?
CAB will usually provide all the appropriate forms and guidance, and actually if it gets to the point that you have to issue proceedings once you have written your letter of claim which is usually passed onto the insurance company, the other side will not usually contest it because they know they are not going to get hit for big legal costs.
In respect of an insurer refusing to let you opt out, I think you will find that by law they are not allowed to prevent you opting out.
Posted: Fri Feb 01, 2013 11:06 pm
I still choose to pay for legal cover because it helped me when I had an off years ago - yes the solicitors appointed were shite but I changed to a better firm that specialised in bike accidents. I understand they can't prevent you from choosing a solicitor.
Posted: Sat Feb 02, 2013 4:42 pm
They are no longer allowed to dictate which law firm represents you. This was decided in the High Court a couple of years ago, and so now if the insurers tell you that you have to use one of their panel firms, you can refuse and they still have to provide financial cover.BikerGran wrote: I understand they can't prevent you from choosing a solicitor.
Insurance....
Posted: Sat Feb 09, 2013 4:59 pm
Hi all,
Thanks for the comments TC, I rang my broker on friday to renew my insurance, they had sent me a cover through axa insurance. I asked to not include the legal cover, as they had included it in the premium, along with an adminstration fee of £20
They told me that they can't delete that from the policy as it is written into the policy by the underwritters
But, to be fair, they did discount the price £25,74 off my renewal price. I argued that I thought legal cover was an option and would of preferred to go with CFA as you suggested.
The guy was adament that he couldn't take it off at all......
Thanks for the comments TC, I rang my broker on friday to renew my insurance, they had sent me a cover through axa insurance. I asked to not include the legal cover, as they had included it in the premium, along with an adminstration fee of £20
They told me that they can't delete that from the policy as it is written into the policy by the underwritters
But, to be fair, they did discount the price £25,74 off my renewal price. I argued that I thought legal cover was an option and would of preferred to go with CFA as you suggested.The guy was adament that he couldn't take it off at all......
Posted: Sat Feb 09, 2013 5:02 pm
Hmmm will mis-selling of legal expenses cover be the "next PPI" ?
Posted: Sun Feb 10, 2013 8:14 am
One vehical for the last ten years. Legal cover at £20/£25 per year.....Don't think so...D-Rider wrote:Hmmm will mis-selling of legal expenses cover be the "next PPI" ?
Posted: Sun Feb 10, 2013 10:16 am
Still more than the PPI I've signed up to!
Posted: Tue Jun 18, 2013 9:07 am
I think its the best way because in no win no fee at least you have save one thing and mostly the firms offering these services have qualified and experienced person and they what to do to win any case because of their experience in law field.Cathcart wrote: Lawyer seemed good but I lost the case... Since reading they links you put up I now think my solicitor was shite.... I shall not take legal cover on renewal... I'm upset... Wouldn't have had the money to pay the fee... Now I know I could've went no win no fee... Why pay the insurance for a half baked lawyer?
Posted: Sun Jun 23, 2013 6:34 pm
I've just taken legal cover, always have. I won't in future.