What is Legal Expense Insurance (LEI)?
Legal Expense Insurance (LEI) is a unique insurance product that helps individuals and business owners defend or pursue their legal rights if they have a dispute with another party. With the LEI coverage, policyholders have access to general legal advice and guidance, as well as financial security knowing their legal costs will be covered should they face an insured legal issue. The LEC drivXP and LEC livXP policies:
- Provide financial coverage in a variety of potential legal events, including contract disputes, legal defence, and more.
- Empower policyholders to pursue or defend their legal rights.
- Provide unlimited access to a general Legal Advice Helpline (1-877-788-8777).
What do ‘legal costs’ include?
Legal costs include lawyers’ fees, charges for disbursements, and the opponent’s legal costs should you lose your case and be required to pay them.
Will my LEI policy cover ‘any’ legal dispute?
Our policies are designed to provide legal guidance and expense coverage for a wide range of common legal issues. The coverage provided under your particular policy is detailed in the policy wording; be sure to read it carefully. Our telephone Legal Advice Helpline, however, will offer advice on any legal matter. For example, if you have a question that is not covered your policy, LEC drivXP and LEC livXP policyholders can receive general legal advice and guidance.
How do I purchase a higher limit of indemnity?
You can stack your limits by purchasing more than one LEC policy.
If I have a legal issue before my policy starts, will it be covered?
Matters you are aware of before the start of your policy are not covered.
What does ‘reasonable prospects’ mean?
It is not in anyone’s best interests to support a frivolous lawsuits or a claim which has little chance of success. In civil claims, the appointed lawyer must agree that the claim is more than likely to be successful in order for us to proceed. This is what the term “reasonable prospects” means. Reasonable prospects must exist throughout the duration of a civil claim.
If I call the legal advice helpline, does it automatically trigger a claim?
No. When you call the Legal Advice Helpline, our advice lawyers will first discuss your situation with you. If your issue is not covered by the policy, the lawyer will advise you on potential next steps to resolve it. If the advice lawyer believes you are facing a claimable legal event, your file is referred to the insurer’s Claims Department for a determination of coverage. If your legal issue is claimable, a panel lawyer is assigned. The assigned lawyer handles the case until its conclusion.
What happens if my legal costs end up going over my limit of indemnity?
The indemnity limit shown in your policy is the maximum that would be paid out in the event of a claim. You are responsible for any costs over the indemnity limit, and we will inform you if it appears likely that will happen with your claim.
My policy suggests that some issues may be ‘negotiated’ rather than simply pursued or defended in court. Why is this?
It is often more beneficial for both parties to try and reach a settlement rather than go to court, as going to court can be stressful, expensive and time consuming. The majority of legal disputes are, in fact, settled by negotiation. Our goal is to provide the most appropriate solution to your legal dispute, which may well be negotiation as opposed to going to court.
Does my policy cover the defence of criminal charges (ex. a policyholder is criminally charged with assault)?
Our policy will only cover a criminal defence if the alleged criminal act was not willfully committed and was in relation to the policyholder’s work as an employee, or in violation of the Highway Traffic Act.
Does the Tax Protection coverage also apply to US citizens or dual citizens who live and reside in Canada, and are no required to file US income tax?
Your policy is limited to disputes within Canada. Unfortunately, this means that we are unable to assist with any disputes with US tax authorities.
What if I am not happy with the way the appointed lawyer is dealing with my claim?
After reviewing your file, we assign a legal professional with the specific skills, experience and background required for your case. However, if you are unhappy with your appointed lawyer, your Claims Adjuster will work with you and your appointed lawyer to resolve any concerns or issues that arise.
Will I ever meet with the lawyer face to face, or is everything over the phone?
The initial contact with the Legal Advice Helpline and the appointed lawyer will be over the phone. After that, you can meet with your assigned lawyer face to face, if that is what you want to do.
What number do I call for general legal advice?
Please call the Legal Advice Helpline at 1-877-788-8889. This toll-free telephone number can be found on your wallet card or in your LEC drivXP or LEC livXP policy wording booklet.