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If you use insurance to finance your legal fees for a claim then in certain circumstances that fact has to be disclosed to the other side you are claiming against.
You could do this voluntarily too if you wish, provided there is nothing in the terms of the cover itself that prevents this.
If insurance cover is disclosed to the other side then the effect of that disclosure is not always entirely predictable. It might be that the other side will be more scared of defending the claim knowing that you have an insurance company backing you, with all its resources. However, the other side of this coin is that it might make them more willing to defend the claim simply because it now means that if they win and defeat your claim there is an insurance company there that will be able to settle their costs bill.