Costs Associated With Hiring a Car Accident Attorney

In 2019, 12.15 Americans were involved in car crashes. Sadly, not all of them made it out alive. Going through a car crash is an overwhelming experience. Initially, you are more concerned about the safety of yourself and your passengers. 

Hiring a car accident attorney may be the furthest thing from your mind, but it is one of the essential components. Lawyers can reason for you when you are emotional and stressed. They can negotiate favorable insurance policies and have full knowledge of laws to ensure you do not get cheated. Hiring a lawyer comes with its cost. Most times, the compensation and insurance claim you receive with their help cover the cost. Here these costs are explained, so you can ensure you are given the best offer regarding car accident lawsuits.

1. Contingency Fee-Basis

A car accident lawyer usually charges contingency fees rather than an hourly rate. The lawyer’s fee depends on the settlement amount or what the judge or jury awards in the trial. If they cannot win your case, you will not have to pay them.

The contingency fee is negotiable. Before signing a lawyer, you can ask for a lower contingency percentage. If you have solid evidence, viable claims, and apparent damages, then attorneys put less effort into constructing that case and will agree on a lower contingency rate. 

Usually, lawyers charge a 30% to 40% contingency fee.  The fee can be less if they settle without lawsuits and only negotiate with the insurance company. If the case goes to trial, they charge a maximum fee. The contingency fee also varies with your state and the expected time to close the case. A lawyer’s experience and success rate also determine the rate. 

2. Retainer Fees

Some lawyers demand a retainer fee before providing any services.  You pay retainer fees to ensure the lawyer’s availability and representation for the case. The retainer fee can also be a down payment to cover legal expenses. This fee is deductible from the lawyer’s contingency charges. The retainer fee is paid by the settlement the lawyer helps you earn. 

3. Additional Case Expenses

Aside from the lawyer’s fees, there are other external expenses of a car accident case, such as court costs and medical payments. Many law firms expect you to meet these costs. The contract you sign will state this demand if you do not pay the charges. However, some firms initially cover these expenses for you. After winning your compensation, you may have to reimburse the firm. 

Since these are third-party costs, lawyers can negotiate with the other party to get you a better offer. Before signing a lawyer, ensure what external costs they expect you to pay and on which they are willing to negotiate. 

Endnote:

There are many costs associated with hiring a car accident attorney. Many people think the legal fees mentioned above will leave you more cash-strapped. This concept, however, is a misconception. Most lawyers only charge after winning the case. And the payment comes from the settlement the lawyer helps you receive. Hiring a car accident lawyer will help you effectively file a claim and receive suitable compensation without worrying about paying the lawyer’s fee. 

When finding a suitable attorney, it is ideal to conduct research regarding their fees and success rate. Consider both aspects, as a cheaper lawyer may not be the best or worst. Similarly, highly successful lawyers can be outside your price range and too busy to support your claim.