Area of law
Legal Expenses Claims
Legal Expenses Insurance offers businesses (or individuals) protection against the cost of legal services, arising from various situations. Policyholders gain peace of mind that they will be able to access legal support when needed.
HBA offers a sophisticated, service-driven approach to legal expenses claims, recognising that for an insured party, a legal dispute is not just another “line item”; these situations are often significant business and/ or personal crises.
For underwriters who offer cover, the team at HBA is a safe pair of hands for your insureds – you can rest easy knowing HBA’s model is built on providing tangible value through a “pastoral” lens. This ensures the insured feels the full strength of their policy when they need it most.
Where cover is granted, we act to ensure your legal expenses are covered by your insurer within the confines of your insurance policy, across a range of dispute types including:
- Commercial Contractual disputes with both customers and suppliers.
- Privacy Act & Data Protection (cyber crime).
- Appeals against notices under WHS Acts; OH&S Acts; ACCC and similar legislation.
- Landlord-Tenant Property Disputes.
- Statutory Operations licenses (i.e. appeals against suspensions, revocations, or alterations).
- Employment disputes with past or current employees.
- Australian Taxation Office investigations.
Examples of disputes where legal expenses insurance could respond:
- Employment Dispute A former employee commenced a Fair Work dismissal/ general protections claim, alleging the insured breached workplace rights, following termination after a minor workplace injury. The insured maintained the dismissal was unrelated to the injury. The allegation of a causal link was successfully rebutted and the Tribunal determined there was no breach of workplace rights.
- Property Dispute The insured (real estate agent) was accused by a landlord of long‐running mismanagement of trust monies across multiple properties. Most allegations could not be established despite extensive document discovery. A favourable settlement was reached; however, protracted litigation resulted in legal costs exceeding AUD 50,000.
- Contract Dispute (with a customer) The insured (supplier of industrial exhaust fans) supplied units manufactured to agreed designs and standards. After the restaurant customer received council complaints about excessive smoke discharge, the customer alleged the fans were not fit for purpose. Investigation confirmed the equipment met specifications and that discharge issues resulted from installation constraints (previously disclosed) and incorrect customer use.
- Contract Dispute (with a supplier) The insured was contracted to supply and install flooring and engaged a supplier for installation. The supplier negligently applied excessive adhesive; other trades walked on the area (no exclusion zones), causing adhesive to cure and damage the flooring. The insured replaced the flooring at its own cost and sued the supplier for breach of contract, seeking damages in excess of AUD 100,000.
- Statutory Licence The insured (nightclub owner) received a breach notice alleging failure to responsibly serve alcohol after an intoxicated patron was injured during an altercation with security. The insured appealed, demonstrating the patron’s intoxication resulted largely from consuming other patrons’ drinks and that staff intervention occurred only after disorder began. Police withdrew the breach notice and the venue continued trading.
