Prepaid Legal Plans
Have you heard about prepaid legal plans? What about legal insurance? Chances are that if you’ve heard one, you’ve heard of the other. These terms are often used interchangeably, leaving many people to wonder if they’re one in the same. In this article, we’ll explore the definitions of both terms, their meanings, and potential differences to be aware of.
Why Legal Insurance Matters
For most of us, insurance is a way of life. We purchase insurance for our vehicles, properties, businesses, health, and even our lives. Insurance not only protects us in the case of a catastrophic event, it also helps to protect our way of life. Large losses of any kind can affect our ability to provide for ourselves and our family, a risk few people would want to take!
While few of us would drive a car without being properly insured, many people neglect to sign up for legal insurance. Perhaps some of this is due to confusion surrounding what exactly legal insurance is and isn’t. You’ve no doubt heard “prepaid legal plans” used alongside the term legal insurance. It’s the prepaid part that often gives people pause. You might wonder if prepaying for services is such a good idea. However, it’s important to remember that it’s essentially what you do with any insurance plan. Paying insurance premiums provides for protection from loss and risk as well as the ability to tap into services when needed.
How Prepaid Legal Plans Work
Prepaid legal plans are a form of legal insurance. Prepaid legal plans provide comprehensive legal services through the payment of a premium. Just as with health insurance, there are certain services that are covered as part of the plan. These services are provided at no additional cost when you use an in-network attorney or law firm. The premium can be subsidized or paid for in full by an employer or union. Employers sometimes offer what are called Employee Assistance Programs (EAPs) through their benefits package so employees can tap into legal advice and services at an affordable rate.
Prepaid legal plans have grown in popularity as more and more people realize the benefits of having legal services at their fingertips. Law firms and attorneys that are part of legal insurance plans must meet service standards and requirements, giving clients peace of mind and confidence.
So, if you’re thinking about a prepaid legal plan, just remember they’re a type of legal insurance that provides you with reliable legal services when you need them the most. At Akman and Associates, we represent over 35,000 members and help them protect their rights through the delivery of prepaid legal plans.