The Ministry of Justice has published the results of a survey which indicates that only 25% of the population are aware of the presence of either After the Event or Before the Event insurance products. The report concludes that the reason for this poor awareness is the lack of information in the public domain and at the point of sale. Cover is also generally fragmented and often duplicated. In almost all cases cover comes 'attached' to other insurance products such as car insurance.

Ironically, the research found that the take up of BTE had in fact increased to 59% of the population but most policyholders are either unaware that they have the product or are not familiar with what the policy covers. Awareness amongst lower socio-economic groups was the worst even though this group tends to be the one most needing insurance cover.

The Ministry of Justice recommends relevant bodies take the following steps:

>Agree ways of promoting cover and providing better information at the point of purchase

>Develop methods to encourage policyholders to read their policy documents

>Change the name of legal expenses insurance to something more understandable e.g. 'legal protection'

The report also recommends that employers provide cover for their employees and housing organisations should give policies to their tenants.

The Ministry of Justice confirms it will be speaking to the FSA, ABI, Housing Corporation and employers groups to see how the recommendations can be implemented.

Click here to read the Ministry of Justice report in full [requires Acrobat Reader].