Each of these terms and conditions refer to an set up whereby you pay a limited and fixed month-to-month or every year fee in return for legal services. The concept behind them is to save consumers on higher attorney fees whilst giving valuable services.
That is where the variations lie: what type of service is offered and what will be covered. What exactly are you entitled to in both plans?
Prepaid services cover particular legal services: free of charge phone consultation and guidance, composing of simple trusts and wills, review of sample agreements and composing of letters as your representative. Legal services not provided can get charged at regular lawyer fees, however, you may be eligible for special discounts.
Legal insurance coverage, by contrast, works similar to other insurance policies, like health or car insurance. Although particular legal services are available at times, your insurance provider will generally offer a policy that covers for all those legal services. The policy will probably pay on behalf of you, the policy owner, or reimburse all costs, expenses or fees which you pay for legal services to the policy limitation. For example, your policy may reimburse any kind of fees charged in your court decision or pay your bail money - a service not offered by the majority of pre-paid legal plans.
Your legal insurance coverage is also pegged to some other insurance plans you may already have. In case you run into legal issues involving your other insurance, then a legal insurance plan will protect you against liability or loss. For example, for anyone who is involved in a vehicle accident when your auto-insurance has already be used up and you are consequently sued for recovery of losses, you will find yourself protected by a legal plan insurance. Another difference between 2 plans relates to your choice of lawyer. In the pre-paid legal service, you can select from the restricted number of the lawyers within the network. In comparison, a legal insurance plan gives legal coverage regardless of attorney. You will be free to setup interviews with numerous attorneys and select the ones you think will give the best service for your personal legal requirements.
Lastly, pre-paid legal plans tend to be more accessible for the general public. Legal plans are difficult to come by as just a limited number of insurance providers offer such plans.
