Allianz Legal Protection and Irwin Mitchell Solicitors have developed a bespoke After the Event (ATE) Insurance solution for insolvency practitioners.
The solution developed by Allianz Legal Protection and Irwin Mitchell, entitled Support4Dispute, enables insolvency practitioners to more easily pursue litigation following an administration, liquidation or bankruptcy.
Support4Dispute ATE Insurance provides protection to help Insolvency Practitioners (IPs) manage the adverse cost risk associated with insolvency litigation, with the policy paying opponents costs and disbursements incurred as a result of the legal action being unsuccessful.
A unique feature of the ATE Insurance policy is that the staged premium facility is linked to the amount of damages recovered, and capped, to enable IP’s to retain a greater share of any recovery made. In addition, the ATE Insurance premium is deferred until the case is settled, and only payable on successful cases.
Steve Rowley, business development manager at Allianz Legal Protection, said: “We worked with Irwin Mitchell over several months to jointly develop a product specifically aimed at addressing the risks and issues faced by insolvency practitioners. Using our combined knowledge and expertise we have created a solution that meets the needs of insolvency practitioners, and takes away the cost uncertainty faced when bringing legal action against creditors.”
John Vickery, restructuring and insolvency partner at the Manchester office of law firm Irwin Mitchell, said: “This product has been developed specifically for the IP sector and addresses all of the financial issues relating to why they may be reluctant to pursue litigation claims.
“Quite simply, the Support4Dispute service that we provide takes the gamble out of insolvency litigation and enables IPs to launch legal actions far more easily following an insolvency, without having the risk of having to pay their own legal fees, or a hefty ATE Insurance premium where no actual recovery is made or the opponent’s legal fees if the litigation is unsuccessful.”
Allianz Insurance is one of the largest general insurers in the UK and part of the Allianz SE Group, the largest property and casualty insurer worldwide.