Legal expense insurance
Legal expense insurance is an endorsement you can add to your home and business insurance to protect against unforeseen events beyond your control. It is also possible to purchase a legal expense insurance policy separately.
What disputes are covered by legal expense insurance?
Five types of disputes are covered by this insurance, for both applications or claims, i.e. if you wish to assert your rights or if you are named in a lawsuit caused by a fortuitous event beyond your control.
- Consumer disputes. For example, latent defects when a house is purchased or sold, the purchase of a trip, misleading representation leading to a purchase, the sale of a car between individuals.
- Bodily injury or material damage (assistance or claim). For example, if your child is injured at school on poorly maintained equipment.
- Disputes related to property and housing. For example, disputes between neighbours, demarcation problems, problems with a housing lease for the tenant or the owner.
- Income security issues. For example, difficulties in asserting one’s rights regarding private or public income replacement plans (CNESST, SAAQ, etc.)
- Individual labour disputes involving the insured as an employee, such as wrongful dismissal or harassment at work.
Coverage may vary depending on the insurer. It goes without saying that all cases of a criminal nature are excluded from your legal expense insurance.
What amounts are covered by legal expense insurance?
Depending on the coverage and the company chosen, the annual coverage can be up to $500,000. Some policies will cover a first visit with the lawyer, and the hourly rates covered will depend on the policy chosen.
How much does legal expense insurance cost?
Legal expense insurance is very affordable, especially when compared to the costs of potential litigation. You can take out insurance for a minimal amount depending on the coverage you have chosen. When renewing your home or business insurance policy, don’t forget to ask your broker at J Gérard Fortin to talk to you about legal expense insurance.
Note: You should always contact your legal expense insurance company before taking any action to defend yourself.