Research Into The Construction Of Legal Expenses Insurance Institution

All the modern legal states have the same responsibility, which is how to realize the protection of citizen’s right of lawsuit relief. In the case of exchange of the equal value in economics, lawsuit relief is the exchange between the time, the money, the emotion of the party and the judicial decision of the court. However, not everybody can afford the expenses, which leads to the insufficient of rights. To solve the predicament, our country can introduce the legal expenses insurance.The paper first introduce the whole system of foreign legal expenses insurance, then analysis the documents by the comprehensive application of the methods. Finally, put forward the primary proposal of our nation’s legal expenses insurance system.Currently, lots of parties chose to give up the right of judicial remedy. In consideration of the importance of the legal expenses, it is impractical to abolish the expenses. Therefore, the only effective way to solve the problem is to transfer the expenses by the legal expenses insurance.The introduction induces the whole paper, including the original intention, innovation point, the problems and the shortcomings in the writing process, and introduces the current situation of the legal expenses insurance system at home and abroad.In chapter one, a simple introduction of LEI, including the origin, the concept, the characteristic and the classification, is the theoretical support of the system formation in the following paper. In the LEI system, the insurant insures for the risk that may comes in the litigation, when it happens, the insurance company will undertake the legal expenses. The specificity of the system is that it protects the citizen’s legal rights by means of the traditional insurance. According to different standards, there are many ways of classification, such as addition, exclusive use, before and after the event.In chapter two, the writer analyses the current situation of foreign LEI, and summarizes some useful experience for the system construction in our nation. To be specific, the writer introduces the situation in France, Germany, Sweden, Britain and USA, learning the successful experience, analyzing the problems, and concludes the essential conditions. For example, we need to overcome the adverse selection dilemma, and the government’s vigorously support and advocation, and calculate the legal expense objectively.Chapter three and chapter four is the core of the whole paper. In chapter three, the writer analyses the feasibility and the necessity of the LEI construction in our nation, which is the practical significance of the paper. At present, our nation is able to bring in the system and construct it. Although there may be some barriers, we can overcome them by releasing a series of measures. In chapter four, the writer discuss a detailed design of the system, wishing it can be a model in the specific operations. First, we can use both the government regulation and the benefit coordination, when the public interest litigation containing too many parties, we chose the benefit coordination; when there is a strength gap between the parties, we chose the government regulation. Certainly, when the system becomes mature, the government does not need to regulate strictly, and give the market more freedom. Second, “sideline and monopoly”, it means that the LEI is operated in the current insurance companies and when the market becomes strong, we should set up new companies only operating the LEI. Third, we can make a buffer period by founding some experimental units for the system construction.Chapter five is the summary of the whole paper.All in all, the LET can play an important part in settling the dilemma in legal aid and protecting the public legal rights. At the same time, there is less studies about the system in our nation, the writer wishes to provide some useful advice for it.