Legal Expenses and Tax Investigation Insurance

Our legal expenses insurance is beneficial to all business owners who require that extra level of protection that isn’t provided by an indemnity or liability policy. The LEI policy is particularly beneficial to contractors who are concerned about IR35 tax investigations, as the policy will respond to provide cover for legal costs incurred by a tax investigation.

The policy will also cover loss of earnings and expenses for self-employed professionals should they be called-up for jury service.

The legal expenses insurance policy starts from £75.00 per annum, which we think represents good value for money considering the level of cover and peace of mind that you receive.

Legal expenses insurance offers cover for disputes and claims that professional indemnity and liabilities insurance policies do not cover, including:

Employment disputes
• ACAS early conciliation
• Employment tribunals response
• Pre-hearing review/Employment status disputes
• Employment tribunal hearing
• County or High Court proceedings

Employment compensation awards
• Awards of compensation
• Settlement of a dispute
• Tribunal fees

Property and landlord and tenant disputes
• Property disputes
• Disputes with your landlord
• Disputes with your tenant
• Eviction

Criminal defence
• Interview under caution
• Prosecution defence
• Motor offences

Tax protection
• Aspect enquiry
• Full enquiry, including IR35 tax investigation
• National Insurance and PAYE disputes
• Current tax year enquiry
• VAT disputes

Regulatory compliance
• Enforcement notice
• Statutory licence appeals
• Data protection defence
• Data protection compensation

Court attendance costs
• Jury service
• Witness attendance allowance

Employment extra protection
• Pension trustee defence
• Wrongful arrest
• Personal injury
• Discrimination defence

Identity theft
• Unauthorised use of your personal data
• Contracts entered into by a third party, in your name or on your behalf, without your permission

Contract disputes
• Contracts for goods and services
• Contracts for construction and repairs

Some of these issues can leave you with significant costs to pay if you are not insured.

The legal expenses insurance policy will not cover the following:

• Claims where there is no reasonable prospect of success.
• Any costs incurred to us agreeing to them being incurred.
• Pre-existing circumstances.
• Your failure to reinstate an employee if ordered to by an employment tribunal.

The legal expenses insurance policy also offers you a contract review, which is only available when purchased with the Legal Expenses insurance policy. If you are in any doubt as to the validity of your contract, especially in light of private sector IR35 legislation, a contact review might help.

The contract review will provide you with a clear explanation of your status in the eyes of the HMRC.

Professional indemnity insurance (PI) will provide cover for business professionals who provide business services, advice or designs to clients and will cover against claims of negligent work.

Public liability insurance (PL) is designed to protect your business against third party claims for injuries or property damage.

Employers liability insurance (EL) will cover the cost of defending or settling a claim against you from an employee who has suffered injury or disease as a result of the work they do for you.

It is important to be aware that as a self-employed business owner, a claim can be made against you personally with unlimited personal liability, therefore Directors and Officers insurance is a valuable insurance policy which will cover you in this instance, which is provided as part of our Business Combined Liabilities insurance product.

Cyber insurance, also known as cyber liability insurance, will cover your business in the event of a malicious attack on your computer systems and your data.

Personal accident insurance can provide cover for your loss of earnings while you are unable to work due to a work-related accident or illness caused by your work.

Commercial crime insurance can be beneficial to anyone who ones or runs a business, no matter how large that business is. Theft and other crime can have catastrophic consequences for a business and potentially to those who are connected to that business, such as suppliers and employees.