News reports of million-dollar accident settlements distort people's perceptions of auto accident suits. The vast majority of victims who file successful auto accident claims get only a few thousand dollars--not a few million dollars. If you have been injured in a car accident and are considering hiring an attorney to represent you, make sure you have realistic expectations.
Settlements from Auto Accidents Average $24,000
If you have a debilitating, life-long injury, your auto insurance suit might settle for a six-, seven- or even eight-figure sum. Most settlements, though, are in the tens of thousands of dollars. According to The Law Dictionary, the average auto-related personal injury claim in 2013 settled for $24,000. Your claim may be worth more or less, but this figure provides a reference point for putting most auto-related suits in perspective.
Court Fees Will Be Paid First
Once you are awarded a settlement amount, various fees and charges will be taken from it. The first fees to be deducted are court fees, which may entail anything from charges for copies to payments made to expert witnesses. Some common court fees that can reduce how much you ultimately receive include the following:
- legal transcripts, which may cost between $364 and $413
- testimony from a medical expert witness, which typically costs $555 per hour
- expediting services, which may increase the cost of any aforementioned fees
In order to see just how much these will reduce your settlement, assume that you have an average settlement of $24,000 awarded. If you needed one transcript and a two-hour testimony from a medical expert witness, these fees would total between $1,474 and $1,522.75. Your settlement would be lowered to between $22,477.25 and $22,526.
Your Attorney Will Require 33 or 40 Percent
Most personal injury attorneys work on contingency fee agreements, which make their pay contingent upon winning your case. This way, you do not need to worry about paying them before you receive your compensation. AllLaw says that most lawyers' agreements list the payment at 33 percent of the settlement if the case does not go to court and 40 percent if it does. (These amounts are subtracted after court fees are paid, but before medical bills are paid.)
If your case was settled out of court, you would only have to pay your lawyer 33 percent of your remaining settlement. This is a significant amount, though. In the above example, it would total between $7,417.49 and $7,433.58, and it would reduce what you receive to between $15,059.76 and $15,092.42.
Medical Bills Must Be Paid
Finally, all medical bills associated with your injuries must be paid. While your case is still unsettled, your auto accident attorney will send letters of protection to any medical facilities or professionals who treat you. These letters postpone payment for your treatment until after your case is settled, but they guarantee payment upon settlement. If your lawyer doesn't honor these letters, they could face disciplinary action from the bar and be sued by the medical providers who saw you.
To continue the above example, assume you had medical bills totalling $6,000. This would reduce the amount that you personally receive from your auto-related personal injury case to between $9,059.76 and $9,092.42.
A few thousand dollars shouldn't be ignored. It's worth hiring an auto accident attorney if you need one to win your case. When you contact an attorney, though, you should have realistic expectations about what to expect. Million-dollar settlements are the exception, not the norm. If you have a typical claim, you're more likely to end up with a final figure closer to $9,000 than $9 million.
For more information, contact a professional attorney, such as those at Gelman Gelman Wiskow & McCarthy LLC.
Share
