Covers the risk of the unsuccessful litigation. Cover is arranged after the insured becomes aware of the need to litigate. The insurance pays both the party’s own and opponent’s fees and disbursements (e.g. expert reports) if the action is unsuccessful and the insured is ordered to pay them or fails to recover them from his opponent. The insurance is marketed as a conditional fee agreement insurance. Both Sides Insurance, an alternative, is not linked to conditional fees. It pays both sides’ legal fees and disbursements regardless of the outcome of the action. Proposals forms call upon the insured’s legal representative to confirm a minimum 65 per cent chance of success. The successful insured can, at the court’s discretion, recover his AEI premium from the loser.