Maximizing Value From Your Personal Injury Attorney Fees

f you were injured in a recent accident, you may be shopping around for legal representation. Personal injury attorney fees can add up quickly, especially if you don’t know how to maximize the value of a payment structure or negotiate a contract.

Accident Hotline connects clients with attorneys around the U.S., covering all practice areas for personal injury cases. Before scheduling your first consultation, we suggest you learn how to navigate the legal costs.

Understanding How Personal Injury Attorney Fees Work

To understand how to maximize value from your personal injury attorney fees, you need to know all the costs you might face. So, what are the costs involved in a personal injury case?

Many attorneys follow a contingency fee structure to secure a percentage of your case’s settlement if you win. The benefit here is that you may not need to pay anything up front, and you often won’t need to pay at all if your case loses.

So, how do contingency fees work?

Let’s say your attorney charges a 40% contingency fee for their services, which is around the industry standard. If your case settles at $10,000, your attorney will bring home $4,000. If your case settles at $1,000,000, your attorney will net $400,000.

This may sound high, but many attorneys lower their contingency fees when they secure higher settlements for their clients. Understanding how contingency fees work and the average rates for your type of case can protect you from high rates.

Beyond the attorney’s contingency fee, you must often pay additional costs to cover court filings, investigation expenses, and more.

Do Any Laws Protect You From High Personal Injury Attorney Fees?

Many states have protective laws against high personal injury attorney fees. If you live in any of the following areas, you have state laws protecting you from high contingency rates:

• California
• Connecticut
• Delaware
• Florida
• Illinois
• Indiana
• Maine
• Massachusetts
• Michigan
• Nevada
• New Hampshire
• New Jersey
• New York
• Oklahoma
• Oregon
• Tennessee
• Utah
• Wisconsin

Connecticut, for example, requires attorneys to follow a sliding scale rule, where they must lower their contingency fee percentage as the settlement award increases. Some attorneys in non-required states still offer a sliding scale clause in their fee structure to protect clients from high costs. You can sometimes negotiate this into your contract to protect your finances.

For example, you may be able to negotiate paying 30% for settlements up to $100,000, 25% for settlements $300,000, and so forth.

Research To Conduct To Maximize Attorney Fee Value

Maximizing value from your personal injury attorney fees is impossible without careful research. Start with the following:

• Compare fees from attorneys in your area: This allows you to find the lowest rates possible from experienced local attorneys. We recommend requesting expense information from local attorneys who practice personal injury law in areas that relate to the nature of your case. Keep in mind that highly reputable and experienced attorneys may charge a bit more.
• Research average settlements for your type of case: Take a look at average settlement numbers for cases similar to yours. Knowing your case value can give you leverage when negotiating fees.

Negotiating Personal Injury Attorney Fees

You can negotiate personal injury attorney fees, just as you can negotiate purchases at a car dealership. With major personal injury cases, attorneys stand to gain major profits and will often adjust their fee structure to sign the client.

You may be able to negotiate the contingency fee down, create a sliding scale agreement, or have some of the other case costs covered in the attorney’s fee structure.

Strategies for Negotiating With an Attorney

Negotiating with an attorney requires care, precision, and research. We recommend the following tips:

• Highlight your financial position: You can highlight your poor financial position by providing medical bills, debts, monthly payments, and current income sources to prove to the attorney your need for affordable legal services.
• Offer a retainer fee: You can offer an upfront retainer fee in return for lower overall contingency rates so the attorney can secure payment now while you enjoy lower fees in the long term.
• Suggest reasonable fee structures: In the fee negotiation process, be sure to suggest reasonable offers that meet your state’s requirements. You can suggest sliding-scale percentages or hourly fee arrangements.

Considering Various Fee Arrangements When Finding Your Attorney

While many attorneys rely on contingency fees, some still charge clients based on the hours of work they put in. Here are the other types of common fee structures you may find when comparing attorneys:

• Hourly rates: These are charged on an hourly basis for the attorney’s work. You may need to pay a portion up front, and you often still must pay in full, even if your case loses.
• Flat fees: These are set amounts that attorneys charge for particular services. Flat fees can come with higher risks since you may still need to pay them if your case loses, though you may pay less in total.

Each fee structure has varying advantages to consider before selecting the right representation.

Final Considerations Before Signing Your Contract

Before signing a contract with an attorney, you must review the financials carefully. The contract will outline the costs you must cover, the services the attorney will provide, and who will pay if your case loses. Review each detail thoroughly and negotiate anything you aren’t happy with to prevent issues later on.

Additional Tips for Keeping Attorney Fees Low Moving Forward

After securing representation, you can continue to keep your personal injury attorney fees down by using the following tips:

• Respond to attorney questions promptly to avoid delays or cost increases.
• Consider settling outside of court, if possible.
• Consider small claims court when filing a lawsuit for lower fees.
• Carefully review all legal bills to avoid accidental charges.

Accident Hotline: Pairing You With the Right Attorney for Your Needs

Now that you know how to maximize value from your personal injury attorney fees, request a free consultation with a lawyer near you by calling Accident Hotline at (844) 343-9609.