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ARAG Group on course for growth in Great Britain

ARAG plc., the British branch subsidiary of the ARAG Group, acquired ATE Limited effective 12 March 2009. Founded in Lincolnshire in 2002, the company acts as an intermediary providing special insurance coverage for the costs of legal disputes.

“The acquisition of ATE Limited enables us to expand our business activities in Great Britain, which were launched in September 2006. The company brings us an additional premium volume of roughly four million British pounds. That places ARAG plc. among the top ten in the British legal insurance segment”, explains Dr. Johannes Kathan, member of the ARAG Group Board responsible for international activities.

ATE Limited has specialized on a range of “After-the-Event” products introduced in Great Britain in 1999. These products cover policyholders against cost risks associated with unfavourable court judgements. If a legal dispute is lost, the policyholder is reimbursed for disbursements, court costs and fees paid to opposing attorneys, for example. Policies can be purchased after legal proceedings have been initiated. Thus these products, which have been available only in England and Wales up to now, supplement the conventional “Before-the-Event” policies that provide coverage for potential damages which may or may not actually occur.

Based in Bristol, ARAG plc. acts as an intermediary. It covers the entire value chain – from product development to sales, marketing and underwriting. Policies are underwritten by BritInsurance, a renowned British insurance group. ARAG plc. is currently active in providing a wide range of products in both the Before and After-the-Event markets. The company’s target group is comprised of insurers, brokers, attorneys, consultants and banks for whom ARAG plc. develops tailor-made legal insurance products.

“We have established a firm foothold in the British market. As a legal insurance specialist, we have attracted two highly reputed partners since the beginning of this year – Chubb Insurance and MMA Insurance – companies who were impressed with the quality of our products and service”, notes Tony Buss, Managing Director of ARAG plc.