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A new solution for law firms

DBA Insurance offers a way for law firms to take potentially lucrative cases on a contingent fee basis, whilst managing the downside risk.

Damages Based Agreements (DBAs) allow commercial litigators in England & Wales to offer contingency fee arrangements to their clients. This can help to support new business development in what is an increasingly competitive legal market, whilst increasing the law firm’s profitability, given the potential financial rewards available.

While law firms may be attracted to the idea of contingency fee arrangements for the right cases, the risk exposure associated is often a difficult barrier to overcome for the firm’s financial controllers. DBA Insurance provides a solution by enabling the law firm to share the fee risk with the insurance market.


Onsite Training: Booking now 

Does your team need training on DBA insurance and other market developments or a refresher on key issues and recent case law relating to litigation funding? If so, we can provide onsite seminars at your firm, tailored to your area of practice. Our unique market positioning means we can provide your team with a balanced and independent overview of the market and industry developments.

How it works

If the case is lost, the DBA insurer reimburses the law firm for an agreed portion of the fees incurred. This ensures that the law firm receives some fee income, regardless of the outcome of the case.

If the case is successful and the firm recovers its contingency fee, the law firm pays the insurer a premium from the contingency fee collected. The premium is only payable if the case succeeds and generates sufficient fee income to the firm.

The insurance is designed to enable law firms to manage their risk exposure, whilst maximising the profitability of the contingency fee for the law firm. By sharing the risk with insurers, law firms have greater flexibility to offer and grow their alternative fee portfolio in a financially controlled manner.

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