insurance claim solicitor london

Damages Based Agreements (DBAs) for Business Interruption Insurance Claims

If you have a Business Interruption Insurance claim and want to discuss the best way forward (including discussing the funding options available to you in your litigation) do not hesitate to contact us. We can offer no win no fee agreements for BII claims.

Have you suffered financial loss in your business due to the pandemic yet your insurer is refusing to payout? If you think you have a case, get in touch with our team of business interruption lawyers. We can assist you to understand the merits of your insurance claim and advise you on the best way to obtain fair compensation. Following our review, we may offer to take on your case on a no win no fee basis such as a Damages Based Agreement (DBA). We factor in your risk-appetite, costs sensitivity and determination and depending on the merits of your case, we are open to considering contingency fee agreements with you (such as DBAs) if your case is of high value.

It is is essential that you seek expert legal advice early in order to prepare your Business Interruption Insurance claim and stand the best chance of success.

What is Business Interruption insurance?

Business interruption insurance covers businesses for loss of income during periods when the business cannot trade as usual due to an unexpected event.

The aim of BI insurance is to put a business back in the same trading position it was in before the unexpected event occurred.

Why use a solicitor instead of a broker to submit your BII Claim?

Our Business Interruption Insurance Claim Solicitors add value by optimising the value of the claim. There may be heads of claim which have been missed or not considered by a non-lawyer such as a broker. It is important to instruct specialist lawyers to present your claim in a way that makes it easy for the insurer to accept and less likely to refuse.

If the insurer refuses any part of the claim, a business will also need a lawyer to pursue litigation, which a broker cannot do. It is very important to consider litigation at the outset when seeking to negotiate a good settlement. Our litigation lawyers are experienced in settlement negotiations to get an optimum award for our clients.

What is a Damages Based Agreement (DBA)?

Damages-based agreements (DBAs) are a form of funding for civil cases. DBAs are agreed between a solicitor and a client. A DBA is a form of “no win, no fee” arrangement between a solicitor and a client.

How does a Damages Based Agreement work?

A damages-based agreement is a contingency fee agreement agreed by a solicitor and a client which provides that a client will make a payment to the representative if the client obtains “a specified financial benefit” (usually damages paid by the losing side or via a settlement sum extracted). The amount of the payment will be determined as a percentage of the compensation received by the client (which will be set out in the DBA and agreed with the client in advance). If the client is unsuccessful in their litigation case, the solicitor will not be paid for the work done under the DBA.

Is my company entitled to Business Interruption insurance?

Specific advice can only be provided by this firm once we have been instructed to review your insurance coverage and other supporting documents. However, the FCA believe that insurers should be liable for paying out for business interruption claims related to the coronavirus pandemic and the subsequent government lockdown restrictions placed on UK businesses.

Most SME insurance policies are focused on property damage (and only have basic cover for BI as a consequence of property damage) so, at least in the majority of cases, insurers are not obliged to pay out in relation to the coronavirus pandemic. 

However, for the remainder of policies that could be argued to include cover. There are policies where it is clear that the insurer has an obligation to pay out on a policy. For these policies, it is incumbent on the insurer to assess and settle these claims quickly. Financial pressures on policyholders should not be exacerbated by slow payment, rather, such claims should be paid as soon as possible.

Instruct the UK’s leading law firm on Damages Based Agreements

We understand the importance of promoting and furthering individual access to justice particularly during these unprecedented and uncertain economic times. Our work on ensuring DBAs are accessible to all has made the national headlines and is the subject of a leading UK Court of Appeal case.

Looking for a solicitor that can offer a DBA?

When you instruct us to resolve your legal problem, your case will be dealt with by highly qualified and experienced lawyers.

The firm is made up of exceptional lawyers who are practising solicitors and barristers supported by high quality paralegals, legal apprentices and other legal support staff. We regularly work in conjunction with leading Queen’s Counsel and junior barristers from chambers predominantly in London near to our own chambers in Middle Temple. The strength of the legal teams available to our clients helps ensure matters are progressed efficiently and the very best results are obtained for our clients.

To find out more about the people likely to assist you please view our individual profiles.

If you have a legal matter and need to discuss the best way forward (including discussing the funding options available to you in your litigation) do not hesitate to contact us.

Instructing our Litigation Lawyers

​We​ ensure that we provide the best possible outcome for our clients by conducting in depth investigation and research into the realistic prospects of a case before selecting the appropriate course of action in order to reduce time and expense. Liability for costs is always an issue in litigation and based on our extensive litigation experience we provide our clients with as much strategic, practical as well as carefully considered legal advice in order to ensure minimum risk in respect of costs. Where appropriate we encourage the use of alternative dispute resolution (such as mediation and without prejudice negotiation) and our lawyer’s negotiation skills are first class. If early settlement at advantageous terms is not possible, we are extremely experienced and capable at navigating our clients through the litigation process.

Optimal Legal Results.

Our litigators deliver advanced legal strategies.

We analyse and work out the legal merits of running your case to trial. We calculate and advise on legal risk factors and the litigation rules in England & Wales. We factor in your risk-appetite, costs sensitivity and determination. Together, we plan the best possible result.

You’ll receive strategic legal advice at your first meeting.


LIMITATION ACT 1980 – WARNING

The Limitation Act 1980 sets out strict statutory deadlines within which you must bring litigation claims. Your legal rights will become irreversibly time-barred if you fail to take legal action (or defend a claim on time). Therefore, you should seek specific legal advice about your legal dispute at the very first opportunity so that you understand the time you have left. Failure to take advice or delay in taking action can be fatal to your prospects of success.