05. How can I make sure I don't have to pay a big bill if I lose?
To protect yourself from a big bill, you can take out insurance to pay for:
- your opponent's legal costs; and
- expenses for both you and your opponent.
Your solicitor should tell you that you should take out insurance. They may offer you insurance, for example, through the Accident Line Protect scheme, which is endorsed by the Law Society. But you are free to arrange insurance yourself if you want to, although it is much easier (and probably cheaper) if your solicitor does it.
If you win you will have to pay the success fee but you should be able to get the part of it relating to risk, and the insurance premium, back from your opponent.
CFA Lite or CFA Simple
A new scheme called CFA Lite or CFA Simple has just been brought in to simplify conditional-fee agreements. Your solicitor can now agree with you that you will receive all your damages and that the solicitor will simply be paid whatever reasonable costs can be recovered from the losing side. But the new rules will still leave you liable to pay your solicitor's charges and fees if you do not co-operate or if you withdraw your case from the solicitor. And the solicitor will be able to recover from you any insurance premium that has been paid and is not recovered from your opponent.