For Plaintiff and Contingency Firms
Litigation Cost Insurance for Plaintiff Law Firms
Own the Win, Not the Risk.
Protect the case costs your firm advances on contingency matters — without giving up a share of your recovery. Redan reimburses covered litigation expenses when a matter ends without a recovery, and the premium isn’t due until the case closes.
What is litigation cost insurance?
Litigation cost insurance reimburses a plaintiff law firm for the case costs and disbursements it advances on contingency matters when those cases resolve unfavorably. At Redan, this coverage is called case cost protection.
- 7 years
- of coverage per matter
- $0 upfront
- premium due only after the case resolves
- Non-dilutive
- Redan takes no share of your recovery
- Client-passable
- structured as a litigation expense that may be passed through to clients
Why firms use Redan
- Recover advanced costs if a covered case ends without recovery
- Protect six-figure expert and litigation budget
- Reduce exposure on catastrophic injury and medical malpractice cases
- Protect working capital for new matters
- Avoid financing costs and fee dilution
- Protect litigation expenses financed through credit facilities or funding arrangements
Who it’s for
Which firms does litigation cost insurance suit best
Litigation cost insurance isn’t only for large firms. Plaintiff firms litigating cases with a target settlement value of $100K+ can insure their expenses.
Firms who have historically self-insured
Firms that have always fronted their own case costs and absorbed the full loss whenever a matter didn’t come in now have the option of transferring that risk to Redan.
Firms utilizing lines of credit
Firms drawing on lines of credit to carry case costs while matters work their way toward resolution can protect the expenses financed through those facilities, reducing the firm’s exposure if a covered matter ends without recovery.
Common practice areas
How coverage works
Convert your case costs to covered capital
Litigation cost insurance turns the costs you advance into a protected position. The mechanics are straightforward.
Firm approved once
Redan underwrites your firm, allowing you to elect coverage on eligible matters as they are filed.
Choose coverage level
Select the amount of protection you want for each matter based on anticipated litigation costs.
Premium due at resolution
Coverage begins immediately, but the premium isn’t due until the case closes.
Protected if the case ends without recovery
If a covered matter results in a trial loss, qualifying dismissal, or other covered no-recovery outcome, Redan reimburses the advanced case costs up to the coverage elected.
Insurance ≠ Funding: Different tools for different objectives
Litigation Cost Insurance vs. Legal Funding
Both help firms manage the financial realities of contingency-fee litigation — but they solve different problems.
| Consideration | Legal funding | Litigation Cost Insurance (Redan) |
|---|---|---|
| Primary purpose | Provides capital to fund litigation expenses | Protects litigation expenses already advanced |
| Structure | Capital advance | Insurance coverage |
| Cost model | Financing arrangement | Defined insurance premium |
| Timing of cost | Varies by provider and structure | Premium due after case resolution |
| Recovery participation | Varies by provider and agreement | No participation in recovery |
| When firms use it | When additional capital is needed to fund cases | When firms want to protect capital already committed to cases |
| Outcome if case ends without recovery | Determined by funding agreement | Claim is filed and covered litigation costs are reimbursed |
Can litigation cost insurance work alongside legal funding?
Yes.
Some firms use legal funding to access additional capital for litigation expenses. Others use litigation cost insurance to protect capital they have already invested in their cases.
In many situations, firms use both. Funding can help finance litigation costs, while litigation cost insurance can help protect those same costs if a covered matter ends without recovery.
The result is greater certainty around both internally funded and financed case expenditures.
Watch
How Redan protects trial firms, in 30 seconds
The short version of how case cost protection works — and why firms use it.
Video transcript +
Trial lawyers take on the financial risk their clients cannot. But why put your capital on the line without protection? Redan protects you so you can go all in — no long-term commitment, no upfront cost, just peace of mind. Redan Insurance: case cost protection for the modern trial firm.
Why Redan is different
Redan is purpose-built for plaintiff firms that advance substantial litigation costs and want a more predictable way to manage downside risk.
Built specifically for US plaintiff firms
A program designed around contingency-fee litigation and advanced case costs, not adapted from a generic commercial policy.
Premium due at resolution
No upfront payment. Premiums are owed only after the matter concludes, so it never competes with case capital.
Non-dilutive protection
Your firm keeps 100% of its fee and recovery share.
Up to 7 years of coverage
Protection remains in place throughout the life of the matter.
You remain in control
Coverage levels are elected case by case based on your litigation strategy.
Example: How litigation cost insurance works
A plaintiff firm advances $150,000 in expert fees, discovery expenses, and litigation costs on a medical malpractice matter. The case proceeds through litigation but ultimately ends without a recovery. Because the firm elected $150,000 in coverage, Redan reimburses the covered costs advanced on the matter — helping preserve working capital and offset the financial impact of the loss.
Common questions
Litigation cost insurance: questions firms ask
What is litigation cost insurance? +
It’s a policy that reimburses a plaintiff law firm for the case costs and disbursements it advances on contingency matters when those cases resolve unfavorably. The firm pays a defined premium that isn’t due until the case closes and, unlike legal funding, keeps its full share of any recovery. At Redan, this coverage is called case cost protection.
How much does litigation cost insurance cost? +
There’s no upfront payment — the premium is due only after the case resolves. It’s structured as a compliant case cost, so it can be passed through to the client like other litigation expenses. The premium depends on the case, and Redan walks through it as part of a complimentary case review.
What does litigation cost insurance cover? +
Litigation cost insurance covers the litigation expenses and disbursements a firm advances on covered contingency matters, including expert fees, court costs, discovery expenses, and other case-related expenditures.
Who is litigation cost insurance best suited for? +
Plaintiff and contingency-fee firms that have historically self-insured their own cases — self-funding case costs or relying on lines of credit — and want to protect that working capital.
What happens if we win the case? +
If the case results in a recovery, your firm keeps 100% of its fee and recovery share and only the policy cost is due. Redan does not participate in the outcome of successful cases.
Protect the capital behind your contingency practice
Request a coverage review and see how case cost protection could apply to your firm’s current and future filings.