Monarch E&S Insurance
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Monarch E&S Insurance
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Contract Litigation Insurance
Our Contract Litigation Insurance (CLI) program is specifically designed to insure your clients against the risk of paying their adversary’s attorneys’ fees in a breach of contract lawsuit.

1. What risk does CLI cover? The risk of paying the other sides (adversary’s) attorneys’ fees in a contract dispute.
Where does the risk originate from in a contract? A prevailing party provision or state statute (law) which provides for the recovery of adversary’s attorney fees.
What is a prevailing party provision (PPP)? A provision in a contract that states that if a lawsuit arises out of the agreement, the winner gets their fees paid by the loser.
What is a statute? A state law which provides that the winner in a contract dispute will get their fees paid by the loser without the need of a prevailing party provision.
How common is the risk? There are over 4.5M cases filed every year and our research shows 50-70% contain a PPP.
What are the different types of CLI policies? PCLI: Plaintiff Contract Litigation Insurance—for Plaintiffs and DCLI: Defendant Contract Litigation Insurance—for Defendants

1. What does the policy cover? The risk of paying the adversary’s attorneys’ fees if the insured loses at trial or summary judgment (SJ).
What is not covered? Cases that end in settlement, default judgment, voluntary dismissal or stipulation.
3. Why are those not covered? In the instances above, there is no court award of attorney’s fees.
4. Does CLI cover cases filed in arbitration? No—cases that are filed in arbitration are not eligible for CLI coverage. If the case is filed in state or federal court and is compelled to arbitration against the insureds opposition, the CLI policy will follow.
When can a litigant apply? After the dispute has been filed and up to the first year of the litigation. As the litigation progresses, the premium can increase and the ability to get coverage can decrease.
How long does the coverage last? The entire length of the lawsuit. When the lawsuit terminates, so does the CLI policy.
What is the primary exclusion? Court sanctioned conduct (“bad boy litigation” tactics).

For all of your Contract Litigation Insurance needs contact us today!



U.S. States Available

  • U.S. States Available:
  • Provider Type:
    Managing General Agency and Excess & Surplus Lines Broker
  • Admitted:
    No States
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  • Carrier Ratings:
  • Commission:
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2540 Foothill Blvd., 101
La Crescenta, CA 91214
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Monarch E&S Insurance has other insurance programs like Artisan Contractors Insurance.