An Intro to Plaintiff Cost Solutions

ARAG’s Plaintiff Cost Solutions (PCS) insurance redefines the traditional approach to property and casualty insurance, offering a unique model where the premium is not due until the successful resolution of an action. This innovative approach levels the playing field for plaintiffs, providing them with access to justice and eliminates the financial barriers that typically hinder plaintiffs from pursuing litigation.

The insurance serves as a critical tool in mitigating the financial risks associated with litigation, ensuring that plaintiffs are shielded from mounting disbursements as well as adverse costs in the event of an unsuccessful case result. Having a PCS insurance policy has the ancillary benefit of signalling to the defendant in an action that there is no financial barrier in proceeding to trial. This may push the defendant to settlement as opposed to trial as the cost barrier to the plaintiff is mitigated.

PCS insurance is still relatively new in Canada but has gained traction over the last decade, particularly among personal injury law firms. In the U.K., where plaintiff cost insurance is more established, failure to instruct a client on the availability of the insurance could lead to negligence claims. In Canada, since so many personal injury law firms are offering plaintiff cost insurance, a plaintiff would be justified in questioning why their lawyer did not advise of the existence of the insurance, particularly when the financial exposure is high.

ARAG’s Plaintiff Cost Solutions (PCS) insurance offers comprehensive coverage for a variety of insurable events, ensuring that plaintiffs are protected across a broad spectrum of legal disputes. This includes cases involving general negligence, occupiers’ liability, municipal liability, and motor vehicle accidents. Additionally, the insurance covers non-auto transportation accidents, bicycle accidents, assault and battery cases, product liability claims, and disputes over short-term or long-term disability benefits. This extensive range of coverage empowers plaintiffs to pursue justice in various legal contexts, knowing they are financially safeguarded.

Plaintiff Cost Solutions insurance is transforming the landscape of litigation by providing plaintiffs with access to justice and protecting them from financial risks. As awareness of the insurance continues to grow, its role in ensuring fair and equitable legal outcomes will become increasingly indispensable.