Frequently Asked Questions
What is After the Event (“ATE”) insurance?
ATE insurance is another option for transferring the financial risks of a legal dispute. In its simplest form, it is an insurance policy taken out after a dispute has arisen and provides cover against an opponent’s costs. ATE insurance can also be extended to cover own costs.
What is Third Party Funding (“TPF”)?
TPF in basic terms, is where an investor provides finance to an individual or business to fund a legal dispute in return for a share of the proceeds recovered. The arrangement is on a non-recourse basis. Where there is no recovery, the TPF loses the monies they have invested in the legal dispute and has no recourse against the relevant individual or business.
At what point in the legal process can I apply for insurance and/or funding?
An application can be made at any point in the litigation. However, it is important to note that it is more difficult to obtain finance for litigation in the latter stages of a claim. Where finance can be obtained in the latter stages of the legal process, the terms given for such finance are unlikely to be as favourable.
What information should I provide?
We would ask that you complete an application form. A copy of which is available to download in the application guidance section of this website. As well as the application form, you should also submit documents to support your application. We have set out a page on this website providing guidance for making an application. However, if you have any questions in relation to the completion of the application or in general then please do not hesitate to contact us.
How much does third party funding cost? Do I need to make any payments upfront?
There are several factors which could impact the cost of funding but this will be explained to you once terms have been offered by a funder. In relation to TPF, it is very unlikely they will charge fees upfront.
How long do applications take to assess?
The length of time it will take to assess an application depends on several factors including the complexities of the dispute, the volume of supporting documents to be reviewed, the number of parties involved, the review capacity of individual insurers or funders etc.
In all cases, we as your broker, we would aim to respond to your application within 48 hours. Where there is a real need for an application to be expedited, we will do our utmost to fulfil such a request. Once you have instructed us to act for you, we will keep you up to date regularly.
What happens if I lose my claim?
The exact terms of your funding and/or insurance policy will be explained to you prior to you entering in to an agreement/policy in relation to the same. However, the standard position is that where you to lose your legal dispute you would have no liability for the amounts stated in the relevant funding documents.
What happens if I am not happy with your service?
Clients who are not fully satisfied with our services should contact UIG’s Complaints Officer. UIG are also members of the Financial Ombudsman Service (FOS), a free consumer service. Further information is available from our office, or contact FOS directly on 1800 367 287 or visitwww.fos.org.au. We also follow the Insurance Brokers Code of Practice (insert link to Code on Website).