CEO of ARAG on expanding Canadian market | Insurance Business Canada
Legal expenses insurance (LEI) provider, ARAG Group currently operates in 19 countries and has formed a solid footprint in North America following the acquisition of DAS Legal Protection.
Read more: ARAG acquires DAS Legal Protection
The firm now has over a million customers in Canada due to the acquisition with DAS, and has ample opportunity to grow over the next year.
CEO of ARAG, Barbara Haynes (pictured), told Insurance Business: “If you look at where the legal expense market is at this point in Canada it has around $90 million - 10 years ago when we started it was under $10 million. It’s been expanding, and we believe it has the ability to continue to grow.”
“If you compare it with the per capita spend in Europe of legal expense insurance, where it’s more well known, we think it’s ultimately a $500 million market,” Haynes explained.
Both ARAG and DAS provide legal advice through a helpline to provide more access and guidance from lawyers on any legal matter a client may have. The helpline saw increased traffic during the pandemic, handling questions from small business owners and landlords. Haynes noted that “we’ve seen an increase in claims in the area of property disputes because we’re in closer proximities working from home.”
Read next: ARAG Canada, HDI Specialty partner on Canadian legal expense insurance
The company plans to expand its digital and legal capabilities post-pandemic, working closely with its brokers to build awareness around LEI and the value it brings to clients and their insurance portfolios.
“We’re all faced with legal questions or legal disputes,” said Haynes, “there’s a huge raft of opportunities and usefulness in the products and services.”
“Our company in the US focuses on legal expense insurance as an employee benefit,” Haynes added - and looking towards the future “that is something we would like to explore as to whether there’s an appetite in the Canadian market.”