ARAG defies pandemic challenges to report double-digit growth for 2021


Authored by ARAG

Legal expenses insurance and assistance provider ARAG has reported its twelfth profitable year in succession, during which the company’s premium under management topped £50 million, for the first time.

Despite the significant challenges presented by the ongoing pandemic, ARAG’s performance in 2021 was boosted by the receipt of some outstanding after-the-event (ATE) income following successful outcomes to premium challenge cases in previous years and strong BTE growth, particularly in the commercial legal expenses insurance market.

The company’s overall gross written premium under management increased by some 20 per cent to £51.6 million (2020: £42.8 million) as the business recorded a pre-tax profit in the UK of £1.9 million (2020: £0.5 million).

The company experienced a huge spike in legal advice calls from families and businesses during the first months of the pandemic, but the subsequent influx of employment and contract claims was not as great as anticipated.

“We expected that small businesses closing during the pandemic while others were forced to tighten their belts, would negatively impact our commercial business.” comments Managing Director, Tony Buss. “However, any loss of business has been more than offset by increased awareness and appetite for legal protection products.”

After dipping slightly in 2020, the number of SMEs insured by ARAG has increased by almost 25%. The company also saw significant growth to its family legal protection book where the number of risks that ARAG insures has increased by more than 15%.

“Fortunately, we were very well-prepared when the pandemic struck and our people have adapted superbly, so we were able to focus on delivering for policyholders when they needed it most, allowing us to emerge from the pandemic in a very strong position.”


About ARAG

ARAG UK is a specialist legal insurance provider and is part of the internationally recognised ARAG Group which serves 14 countries worldwide.

Providing several emergency assistance insurance products and an innovative range of Before-the-Event and After-the-Event legal insurance products and services, ARAG UK prides itself on its client-focused approach. This has been recognised by the industry following the results of the Insurance 360 Legal Expenses Insurers Study in which ARAG UK was voted 'best legal insurance provider'. youTalk-insurance sharing ARAG UK insurance news. 

Latest video

ARAG video: Overcoming challenges - 2021 financial results

Tony Buss, Managing Director of ARAG UK, talks about how the company overcame the significant challenges that 2021 presented to grow the business and deliver a very... click here for more