Auto Collisions
Legal Questions and Answers about Auto Collisions
Things You Need to Know
Will Attorney’s Fees Take Up Most of Your Settlement?
When you are injured, if that injury is anything more than a minor one that might motivate you to go to your doctor “to just check it out,” then, you need an attorney to help you obtain fair and reasonable compensation.
You say you’re not a person “to sue.” Okay, great. No lawsuit is being filed yet. The process of recovering compensation typically involves making a claim against the at-fault party’s insurance company. Or the business’ insurance company. No lawsuit ever gets filed until you say so. A voluntary “settlement” is reached over 90% of the time. And then, if the case does not initially “settle” and you want to go to court, usually, after the lawsuit is filed, the case settles. Very few cases actually get into the courtroom.
You say it was “just an accident.” Very true. Except when it’s an auto accident and the at-fault party was intoxicated. Then, it wasn’t an accident. That person chose to go out and drink. It was a choice. Knowing he or she would later driver. No accident. But when it was an accident, you still are entitled to be compensated. If you knock over the jar of jelly in the grocery store, it was an accident, right? But you then go and pay for it. Because it is the right thing to do.
So you consider getting an attorney. But you’re concerned about not getting “enough” because the attorney’s fee might take up most of your settlement.
Nothing could be further from the truth. First, the attorney’s fee is contingent and is based upon the recovery made in the case. That means that if we (us attorneys) do not resolve your case, we get nothing. If we do resolve it, we get a percentage. That percentage can vary from, usually, 30% to 40% of the total “gross” settlement amount.
So let’s look at an example (and appreciate I am just making up these numbers in what might be a typical auto accident case where someone maybe went to the hospital and then to physical therapy or to a chiropractor for a few months, and fully recovered from a muscle injury to their neck (whiplash):
$20,000 recovery of compensation for you by the attorney negotiating
Minus 1/3 attorney’s fee = $6,666.67
Minus unpaid medical bills = $4,000.00
You receive: $9,333.33
Now, let’s take another example when you might want to try to resolve this claim yourself.
First, however, understand that insurance companies are not afraid of you. They will not offer you the same amount as they will offer an attorney to settle your case. The reason is simple: an attorney can file a lawsuit; you cannot. The lawsuit means the insurance company might have to pay more if the case goes to court. So they will offer to settle for a reasonable amount to avoid the possibility of having to pay more later.
You ask then, why doesn’t every lawyer in every case just file the lawsuit? Because you, the client, would most often rather get a reasonable (certain and known amount) resolution soon, then wait a year to go to court, and maybe your case doesn’t get a good result. Going to court is not a guarantee of a good result. There is a risk to both you and the at-fault person. Insurance companies try to eliminate risk.
Here’s the example:
$11,000 recovery of compensation for you when you try to do this yourself
Minus unpaid medical bills = $4,000
You get $7,000
Oh yes, I forgot to tell you: often your attorney will get a discount on your medical bills. You cannot get that discount. Why you ask? Because the attorney works with these hospitals and doctors every day, and often makes referrals to the doctors. The doctors, in turn, wanting continuing referrals, are happy to discount their bills. The hospitals too! Because they know the attorney is protecting their bill.
In the first example above, suppose the attorney gets a $1,000 discount on your bills. You then end up with $10,333.33.
Attorney fees do not take up most of your settlement. You get more than you can possibly ever obtain by yourself.
Injured? Hire an attorney. Hire me.
Can You Afford an Attorney?
When you are injured, and someone else, or some business is at fault, you cannot afford not to get an attorney. Obviously, this is a very self-serving statement from an attorney.
But it is not so different than saying you need a brain surgeon to do your brain surgery. Or a dentist to extract that tooth. Or your mother to make you that great peanut butter and jelly sandwich.
Smart people recognize that professionals make things better, faster, and at less cost when compared to the “do it yourself” option.
I’m going to get to the “afford” question here in a moment.
Attorneys work on a “contingent fee” basis and are paid a percentage of the total recovery they obtain for their clients. If there is no recovery, the attorney receives nothing.
Why then do you need an attorney?
Because the attorney will get more – much more – than you can get as compensation for your injuries.
Why?
Because they can threaten. They can file a lawsuit. You cannot. Going to court is a risk for both sides, but the insurance companies HATE risk. They will thus offer and pay more, much more, when an attorney is involved. Insurance companies do not believe an injured person, not represented by an attorney, will actually get an attorney and then file a lawsuit. They believe this because of statistics. Their statistics, from hundreds of millions of claims show them, overwhelmingly, that a person who undertakes to represent themselves and negotiate with them will not cut-off those negotiations and then hire an attorney.
You may be highly intelligent. But you’re not an attorney. You can’t file a lawsuit and conduct the process properly. An attorney can. Insurers pay more to attorneys.
Can you afford an attorney?
You will get more, much more, with the services of an attorney, than you can possibly ever get by negotiating yourself. In fact, like everything else, the insurance industry has statistics. Their own published statistics reveal that the average person receives three times (3x) more when using an attorney!
So once again, it costs you nothing up front. The fee for an injury attorney is contingent upon recovery for you. No recovery, no fee. What is the fee? It is typically a percentage of the total recovery. Fees usually range from 30% to 40%.
Injured? Hire an attorney. Hire me.
Can You Change Lawyers?
You are hurt. In pain. Can’t move where it hurts. Can’t sleep fully, restfully. Worried about medical bills. Doctor not helping. Stressed. Upset. Car not being fixed. Can’t get to work without an Uber. Maybe not working – more stress because maybe household bills not going to get paid. Can’t get kids to soccer practice or the game. Spouse and kids being supportive but you feel you’re letting them down.
AND YOUR LAWYER isn’t helping? Or not doing anything? Or enough?
Aaaaaaggggghhhhh!
Wait. Hold the phone. How do you know? Much is being done “behind the scenes” by your attorney, assuming they are doing what they should be doing. But you don’t know unless you ask.
Attorneys do not routinely tell clients every single thing they do, or report to them about every single phone call or letter or email they make or receive.
The number one reason people fire their attorney is because of lack of communication. I get it.
The number one reason lawyers don’t communicate with the clients (or communicate enough) is because they don’t have anything significant to tell them, so they don’t call.
The top reasons lawyers don’t have anything significant to tell you is because:
- Insurance companies don’t give them answers in a timely manner
- Car repairs take a long time, particularly nowadays when seemingly EVERY part needed is on back-order
- Getting medical records and bills, needed to evaluate your case, despite having been requested by the attorney’s office, have not been received – because hospital billing and records offices, and doctors, take their time sending those things – and even more infuriating, often lie about getting the request, or send the wrong records or bills.
Non-communication is not usually a valid reason to dump your attorney.
Call him, or her, and politely ask for more communication, more updates, even just a call to tell you they’re working “on it” but don’t have an answer. Ask for an explanation in a non-aggressive manner.
If you are repeatedly put off, if your telephone calls, emails or texts are continually not answered, if you can never speak to the attorney or the legal assistants tell you “someone will get back to you” and they don’t in a reasonable time, then, maybe, maybe, you should consider changing attorneys.
Sometimes I get calls from people upset with their attorney, asking if I’ll take their case. I discuss with them all the above, and I try to restore the relationship. If the potential client is insistent, and in certain circumstances, I will agree to take over their case.
First thing to do however, again, call your attorney and ask questions, and ask for more communication.
Can I Negotiate My Injury Claim Myself?
You can negotiate yourself, but the real question is “Should You?”
If you have a minor injury, one that maybe you went to your doctor once just “to check” you probably can negotiate yourself.
You should not negotiate yourself if you have any appreciable injury.
Why? Because if you are going to make a claim for compensation – which you are legally entitled to receive – you will NEVER GET AS MUCH YOURSELF AS YOU WILL IF YOU USE AN ATTORNEY.
Period. Not debatable. No discussion.
Let me ask you – would you do your own brain surgery? Extract your own tooth?
Do you do your own taxes?
Do you recognize, that while you are certainly highly intelligent, brilliant, beautiful, handsome, skilled in many ways, you cannot do everything and get best results?
Smart people recognize that professionals make things better, faster, and at less cost when compared to the “do it yourself” option.
Attorneys work on a “contingent fee” basis and are paid a percentage of the total recovery they obtain for their clients. If there is no recovery, the attorney receives nothing.
Why then do you need an attorney?
Because the attorney will get more – much more – than you can get as compensation for your injuries.
Why?
Because they can threaten. They can file a lawsuit. You cannot. Going to court is a risk for both sides, but the insurance companies HATE risk. They will thus offer and pay more, much more, when an attorney is involved. Insurance companies do not believe an injured person, not represented by an attorney, will actually get an attorney and then file a lawsuit. They believe this because of statistics. Their statistics, from hundreds of millions of claims show them, overwhelmingly, that a person who undertakes to represent themselves and negotiate with them will not cut-off those negotiations and then hire an attorney.
Again, you are highly intelligent. But you’re not an attorney. You can’t file a lawsuit and conduct the process properly. An attorney can. Insurers pay more to attorneys.
You will get more, much more, with the services of an attorney, than you can possibly ever get by negotiating yourself. In fact, like everything else, the insurance industry has statistics. Their own published statistics reveal that the average person receives three times (3x) more when using an attorney!
So once again, don’t negotiate with an insurance company to recover compensation for your injury. You don’t know what they know, and that lack of knowledge means SIGNIFICANTLY less compensation for you.
Hire an attorney. Hire me.
Ethical Lawyers
Will My Case Go To Court?
You Call I Answer
Am I Guaranteed Compensation If It Is Not My Fault?
Do I Have A Time Limit To File My Accident Claim?
Will Any Attorney Do? – Part I
Will Any Attorney Do? – Part II
Are You A Good Person?
At the Scene
Q. What should I do if I’m injured?
Q. What information do I need?
Q. Should I move my vehicle?
Q. Is it okay to talk about the accident?
Next Steps
Q. Do I need a lawyer?
Using an experienced lawyer can actually increase the amount of money you will be paid to compensate you for the accident, so that even after the lawyer’s fee is paid you will have more money in your pocket than if you attempted to represent yourself. An experienced lawyer knows what you are entitled to receive as compensation. Having an experienced lawyer on your side, representing only you, tells the insurance company that you are serious about protecting your rights. They know better than to misrepresent their obligations or tell you that you have to take whatever they offer. Peace of mind from knowing your interests are being protected allows you to get back to your life with as few delays as possible and with a settlement that fairly compensates you for the accident.