Your Guide To Costs And Attorney Fees For Personal Injury Cases

One of the leading reasons people avoid hiring an attorney after an injury is because of the perceived cost. When you throw that on top of the medical bills, lost wages, and other expenses related to your injury, it’s no surprise people hold off on talking with a lawyer. But the reality is, a personal injury attorney will only charge you if a settlement is reached, and they’re most likely able to secure a significantly larger settlement than what is offered by insurance (if any at all). 

Personal injury attorneys typically work on a contingency fee, meaning they will only get paid if they win / secure a settlement on your behalf. If they secure a settlement, it is common for a 33% – 40% fee to be applied to the total settlement. Oftentimes there is a slight percentage increase if the case needs to go to court. 

While a majority of personal injury attorneys work off of this contingency fee basis, there are other types of attorney fees such as hourly or flat fee. Hiring the right personal injury attorney can make a significant difference in the success of your case; therefore, by understanding the costs and fees associated with hiring an attorney, you can make an informed decision about seeking legal representation and work towards the best possible outcome for your case. Keep reading to learn more about attorney fees and how to find a great personal injury attorney at the best price.

Types of Attorney Fees

Attorney fees are very important to consider when it comes to legal representation. Understanding the different types of attorney fees can help you make an informed decision when choosing legal representation and ensure that you are aware of all costs associated with your case.

There is not a singular way for attorneys to charge fees when handling a case. Instead, attorneys charge their clients differently depending on a few factors, such as the type of case and how long your lawyer expects the case to last. Generally, attorney fees can be broken into three types of attorney fees:

1. Hourly Rates

Similarly to many other working professionals, lawyers can charge their clients by the hour. The average hourly rate for an attorney in the United States ranges from $200 to $400 an hour. According to a 2021 survey by the Alabama State Bar Association, the average hourly rate for attorneys in Alabama is $238 per hour; according to the Tennessee Bar Association, the average hourly rate for attorneys in Tennessee ranges from $175 to $300 per hour; according to the Florida Bar Association, the average hourly rate for attorneys in Florida ranges from $250 to $500 per hour.

Personal injury lawyers, however, don’t usually charge by the hour, but there are some exceptions to this rule. For example, they might work out a modified contingency fee with their client that includes some type of hourly charge.

It’s important to note that hourly rates can vary depending on the specific attorney and your case. Some attorneys may charge more or less than the average hourly rate, depending on their experience and the details of your case. This is why it’s extremely important to do you research ahead of time in order to best understand any type of attorney fees that follow your case.

2. Flat Fee

Flat fee attorney charges refer to a billing method where an attorney charges a fixed fee for a specific legal service or representation. The fee is agreed upon upfront and does not depend on the number of hours the attorney spends working on the case. This type of arrangement is common in criminal cases, estate planning, and will drafting; however, personal injury attorneys rarely use flat fees.

Flat fee charges can be beneficial for clients as they provide transparency and predictability in terms of legal costs because clients know exactly how much they will be paying for the legal representation. It also incentivizes the attorney to work efficiently and effectively, as they are not billing by the hour. Flat fee charges are commonly used for legal services that have a predictable scope of work, such as drafting a contract, reviewing a lease agreement, or creating a will. For more complex legal matters, such as personal injury cases or litigation, attorneys may still bill on an hourly basis or contingency fee basis.

It’s important to discuss billing options and fees with your attorney during the initial consultation to understand the costs involved and ensure that you are happy with the billing method.

3. Contingency Fee

A contingency fee is a fee you pay to your attorney that’s contingent on the result of your case. If your attorney fails to produce a recovery on your case, then you do not pay them anything. Attorneys often use these fees when they expect the case to result in a recovery. More specifically, a contingency fee is a percentage of the amount recovered in the case, and the percentage may vary depending on the attorney and the complexity of the case. In personal injury cases, the contingency fee is typically around 33% to 40% of the total amount recovered.

When a personal injury attorney charges contingency fees, you pay a fraction of your settlement or award after you receive it. This agreement is often beneficial to both the client and the lawyer representing the case.

Sometimes, a personal injury lawyer may charge modified contingency fees, which consists of a flat contingency fee plus an hourly rate. The flat fee would be lower than what you’d pay on a non-modified contingency fee. The attorney also usually charges a reduced hourly fee from their typical rate. However, more often than not, attorneys will not include this flat fee if they work on a contingency fee basis.

Typical Fees for Personal Injury Cases

You Don’t Have to Pay Upfront Fees with a Contingency Fee Agreement

The best thing about contingency is you don’t have to pay anything upfront. Under this type of agreement, a lawyer will represent their client with no upfront costs.The lawyer’s fee is fully contingent on the outcome of the case. If the case is successful, and the client receives compensation, the lawyer takes a percentage of the compensation as their fee, and, if the case is unsuccessful, the lawyer does not receive any payment for their services.

Contingency fee payments are beneficial for clients who do not have the financial resources to pay for legal services upfront. An upfront fee can be financially risky for clients who do not have the guarantee of a successful outcome. Additionally, contingency fees can provide a financial incentive for lawyers to work hard on the case and obtain the best possible outcome for their client.

Injury Attorney Costs vs. Injury Attorney Fees

Injury attorney costs and injury attorney fees are two different types of expenses that may be associated with a personal injury case. Fees cover the actual services provided by the lawyer, and anything extreme, or outside of the personal injury lawyer’s services, is considered a cost. Injury attorney costs are expenses that the attorney incurs while working on the case, and these costs can be significant and can add up quickly, particularly in complex cases.

Lawyers incur many of the following costs during a personal injury case:

• Medical record fees
• Travel costs
• Court filing fees
• Costs for serving subpoenas
• Fees for expert witnesses
• Mediation costs
• Legal software subscriptions
• Shipping and postage
• Photocopying

These costs will also come out of your settlement or recovery. In other words, if you win your case, you’ll pay them out of your award amount. If you lose your case, you will not reimburse your attorney for these costs.

You need to understand both injury attorney costs and injury attorney fees when considering whether to pursue a personal injury case. Most personal injury attorneys will cover the costs of the case upfront and then recover those costs from any compensation awarded to the client if the case is successful. Despite this, you should still discuss the specifics of the costs and fees with the attorney before hiring them to make sure you understand the financial implications of pursuing your case.

Timing Affects Your Share of the Award

It’s important to ask your lawyer about the timing of the contingency fee payment during your initial consultation because the timing of attorney fees determines your ultimate share of the award. More specifically, whether the attorney will take the contingency fee before you pay attorney expenses or after. 

You must, however, pay some fees to your attorney. If your attorney takes the contingency fee before you pay their expenses, your share of the award will be lower. If your attorney takes the contingency fee after you pay costs, your share will be higher. Therefore, paying the contingency after expenses is a better deal for you. You’ll end up with a higher share of your award than if you paid the contingency fee before taking out your attorney’s expenses.

How to Keep Your Personal Injury Case Costs Down

Time is money when it comes to personal injury cases. After all, you can’t control the contingency fee you have to pay, but you have some control in the expenses your attorney acquires. In some cases, you may have some control over the contingency fee. This is especially true if you and your attorney agree on a modified contingency fee. In that case, you can negotiate the hourly rate. Otherwise, the only way to keep your injury attorney fees down is to decrease the time it takes to win your case. Here are a few ways to do just that:

Get Organized

Lawsuits are based on evidence, and any reasonable attorney will gather the majority of the evidence before agreeing to represent you. Obtaining medical records and other protected legal documents takes time and often costs money.

If you, however, gather all of that evidence for your attorney, they will incur fewer expenses, saving you money in the long run. A personal injury lawyer might even charge a lower contingency fee if you seem prepared and helpful.

Hire an Experienced Attorney

Hiring a young, inexperienced lawyer may be tempting because they charge a lower contingency fee; yet, an inexperienced lawyer charges less because they just are not, yet, as good as their more experienced counterparts. If you work with an experienced lawyer, your case is more likely to win, giving you a higher likelihood of having a successful case.

Wettermark Keith has a successful track record of winning our clients massive recovery amounts in their personal injury cases. In fact, we won one of our clients $34.5 million, one of the largest recoveries ever earned by a railroad worker in history.

How to Increase Your Settlement

Act As Soon As Possible

After an injury takes place, it should go without saying that you have a lot on your mind. The last thing you’re thinking about is collecting records, evaluating your budget, and finding legal representation for your case. It is, however, essential that you work on those things as soon as possible.

Every state has a law called a “statute of limitations.” This law basically just sets a limit for how much time you have to file a lawsuit. Whether you’re filing a claim in Alabama, Florida, or Tennessee, you need to do your research to apply within the state’s regulated statute of limitations for your kind of injury. Your case is time-barred, which means that you won’t be able to recover anything from the party responsible for your injuries if you miss the deadline. It is critical to act fast to maximize your personal injury compensation by contacting Wettermark Keith as soon as possible.

Ask For Punitive Damages

Another way to potentially end up with more money in your pocket after a successful claim is to optimize your award amount by asking for punitive damages. Punitive damages are a type of compensation awarded to a victim in a lawsuit, on top of any actual damages awarded, such as compensatory damages. Punitive damages are meant to punish the defendant for their behavior and deter them and others from engaging in similar conduct in the future.

Punitive damages aren’t required or allowed in all cases, but they can be requested by attorneys or ordered by judges. Usually, this happens when a defendant deliberately injures someone due to carelessness. If your attorney can prove this, you can receive a large sum on top of your settlement or award.

Wettermark Keith: Personal Injury Attorneys

Wettermark Keith, with offices located throughout Alabama, Tennessee and now Florida, has an excellent reputation as one of the most accomplished personal injury firms in the country. Wettermark Keith’s reach is not only regional, but it also includes a diverse range of practice areas, including personal injury cases. Our firm operates on a contingency fee basis, meaning you pay nothing out of pocket. Any legal fees and associated costs will be collected from your winnings at the conclusion of the case. If your attorney is not able to obtain a verdict or settlement for your injury, you will not be charged any legal fees for their efforts.

At Wettermark Keith, we believe in taking cases personally. Our purpose is to practice with care and compassion – to tell our clients’ stories and make their voices heard. We do this by building strong relationships based on constant communication and an unwavering dedication to truth and trust. Winning cases isn’t our goal – caring for you is. Winning is just how we show it. To us, it’s personal.