Contingency Fee Litigation

You make payments on your general liability insurance contingent on the fact that you may be sued at any point and will need your insurance to take care of your defense costs. It does not matter if you win or if you lose, any fees that are acquired due to court costs or attorney fees will need to be covered by your general liability insurance.

However, if something occurs during the case in which you are not liable for any fees or not liable for all fees, then you don't have to make that claim against your general liability insurance for those fees. It is good for you to be prepared, though. The reason is because accidents do occur and if an individual can prove that the accident was due to the negligence of your business, then they will be due a settlement.

When a Lawsuit Occurs

You never know when you may be accused of something that is not your fault. It does happen. A person makes a claim against your business because of an injury they sustained. They see a lawyer, the lawyer determines that they have a case, they file a claim against you, and then you are contacting your insurance company to inform them of the lawsuit against you.

Once the case is in front of a judge, the judge may find that there is just not enough evidence against you and will dismiss the case. This is great news for you, but you may still have some costs that need to be paid as a result of the accusation.

Now there are times in which the plaintiff may have a reasonable cause to file a lawsuit against you. If this is the case, your insurance will once again come to the rescue. Your general liability insurance will take care of your legal expenses for you. If you are found liable for the damages that a person sustained because it is found that a negligent act occurred within the business that caused the accident, your general liability insurance will take care of the damages up to your coverage limit.


The amount of the fees can vary based on a number of factors and they can be expensive. The idea is for you to not have to pay the fees out of your pocket since they are high. Even though you own a business, you don't want to have to take the cost of the fees out of your business's earnings. This is because you don't want to have to alter your profit/loss statement over a lawsuit. Luckily, you have contingency fee litigation on your side as a part of your general liability insurance.

You do need to ensure that you set high enough limits for your general liability insurance when you purchase your policy. This is to make sure that you do not have to pay anything out of your pocket except for your insurance premium. And of course how high your limits are will have an impact on how much your premium costs. Nevertheless, the amount you pay in premium payments will most likely not exceed the amount that your insurance would pay for you if found liable in a lawsuit.

So always make sure you are insured because you are offered a number of financial benefits are literally priceless. You can go on with your business as if nothing ever happened. Take into consideration that every business is at risk of dealing with at least one lawsuit because accidents do happen. Don't let an accident get the best of your business - make sure you're familiar with the concept of contingency fee litigation.



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General Liability Insurance

Protecting Businesses Nationwide Since 1999