Do I need legal cover on car insurance?

27/06/2024

Legal cover can be a great peace of mind if you need to pursue costs from a third party after a traffic accident. This can potentially save you thousands in legal fees – So are you covered?

What is legal cover on car insurance?

Depending on your level of cover – your car insurance will protect you against most injuries and damage costs if you’re involved in a traffic accident. What standard car insurance wont typically cover you against is legal costs. Legal costs are usually an issue if you need to go to court following an accident or dispute who’s to blame. Legal cover will allow you to reclaim these costs through your provider if they meet your policy requirements. Always check the policy documents to confirm what the insurer will cover with their policy.

Do I need legal cover?

It is not mandatory to have legal cover in place with your car insurance – but it can be very beneficial to have legal cover in place. Not all claims are straight forward and some can lead to legal cases in order to resolve issues such as liability and compensation. Such cases can result in expensive legal fees depending on the case – so having legal cover in place can allow you to recover these costs through your insurer. Consider the following when deciding if legal cover is right for you.

Will you likely need it?

Sometimes the peace of mind is worth the cost. If having legal cover in place allows you to driver with more confidence then it is certainly worth considering it.

Check your car insurance policy details

Some car insurance policies come with legal cover included. If you don’t have a comprehensive car insurance policy then consider if it is cheaper to upgrade your coverage or take out separate legal cover.

Compare motor legal cover

By comparing multiple providers for the best priced legal cover will give you a better idea of how much you’ll pay.

How much is it to add legal cover to car insurance?

You can typically expect to pay anything between £20 and £30 for adding legal cover to your car insurance. This may be a cheaper option than upgrading your existing policy to a more comprehensive cover which includes legal cover. It’s a good idea to compare which option works out to be the most cost effective for you.

What if motor legal cover is too expensive?

Free motor legal are a UK based organisation that offer free standalone motor legal cover when you become a member. They can offer their members legal representation on a no win, no fee basis. They will only offer assistance to cases which are likely to succeed – free motor legal will also receive commission for this service. This can be a good option for those who may find the additional cost of motor legal cover too expensive through a provider.

What does motor legal cover include?

Legal cover does not pay you compensation for the costs of a motor accident, it covers you for costs incurred pursuing third parties for damages. Many insurers will cover you for up to £100,000 in legal costs but it is recommended to opt for at least £50,000 in legal cover. Sometimes you will also need to defend yourself against damage claims and this can lead to expensive legal fees – having motor legal cover in place can help you recover these legal costs if your case is deemed winnable.

Loss of earnings

If you are injured and can’t work because of a third party.

Excess paid for an accident that was not your fault

If your excess is significant and you aren’t at fault.

Legal defence costs

If you need to defend yourself in court following an accident and are likely to win the case.

Damage

If your car is damaged and you don’t have fully comprehensive insurance – you may seek to recover costs not included by the third party’s insurance.

How does legal cover work?

Legal cover is designed to help you recover legal costs that may result in the aftermath of a traffic accident. It does not pay you compensation for damage and injuries but rather allows you to reclaim the costs of associated legal fees. When you’ve decided to recover costs from a third party that aren’t covered by their insurance, you should do the following.

Call your provider and give them your legal cover policy details
Explain the situation and the costs you want recovered

Your insurer will then contact the third party’s provider and let them know of your intention to recover costs not included in their cover. Your insurer will typically appoint a solicitor to act on your behalf to recover these costs. It is important to note that insurers will only cover cases which are deemed winnable – meaning you are likely to recover the costs if you proceed with the case.

Will my claim be accepted?

If the insurer feels that your case is unlikely to succeed and you will not be able to recover the costs – your claim will likely be rejected. Such cases usually occur when it is not clear who is at fault for an accident and whether the total value of the costs to be recovered are worth pursuing. It is also important to contact your legal cover provider as soon as possible as if too much time has passed since the accident – you may not be able to claim. If you are ordered to pay fines or compensation by the court then you will not be able to use motor legal cover to settle these costs. Check your policy details for a full list of exclusions.

What are the benefits of adding legal cover to car insurance?

Having legal cover in place with your car insurance can make managing claims more simple. By having all your coverage managed by one provider you can easily stay on top of any claims – no matter how complex they may get. Legal cover will not only offer you the ability to recover expensive legal costs but you will also receive legal advice and help with your case. Motor legal cover can be worth adding to your car insurance for greater coverage and peace of mind.

FAQs

Can I claim legal expensive for a case that’s my fault?

Do I need to purchase legal cover sperately?

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This article is intended as generic information only and is not intended to apply to anybody’s specific circumstances, demands or needs. The views expressed are not intended to provide any financial service or to give any recommendation or advice. Products and services are only mentioned for illustrative rather than promotional purposes.