QuestionDo you think whether a lawyer can get more if handling the soft tissue injuries in an auto accident, for example, the medical bills and wage loss $4000? I read the insurance may offer 1-2 times of the medical bills and wage loss. Can the lawyer get more such as 3, 4 or 5 times of the loss? In addition, attorney fee usually comes from 1/3 personal injuries claims or personal injuries claim AND property loss? Thank you for your answer.
AnswerWow. Lou, you hit on some specifics in asking a great question. There are a lot of variables to include here since I want to educate both you AND those who will read our answer once it is posted. Hence, I am going to give you a full walkthrough of (1) how personal injury attorneys fees are computed; (2) tips to save money on fee agreements; (3) reasons to hire an attorney; (4) reasons to go the do it yourself insurance claim settlement route; and (4) some free www.SettlementCentral.Com insurance settlement tips.
First off is my disclaimer of prejudice. Dr. Settlement teaches do it yourself insurance injury claim http://www.settlementcentral.com/page3011.htm settlement techniques. And, as explained below, the attorneys CANNOT get any much higher than a well-prepared pro se claimant on small claims such as this. For sure they cannot “make” their fees by an increased amount in the pocket of the victim.
OK, Lou, having disclosed my own prejudice toward self help personal injury insurance settlements, let me give you an outline of the reasons for both hiring an attorney and the do it yourself approach. After that, I will show you some pages of free information on www.SettlementCentral.Com teaching free insurance settlement techniques. But the very first thing will be to comment upon attorney fees in personal injury claims.
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HOW ARE ATTORNEY FEES COMPUTED IN PERSONAL INJURY INSURANCE CLAIMS?
#1. Property Damage Award Excluded
You asked if property damage is included within the attorney fee in personal injury insurance settlements. The answer is NO.
Of course sometimes we DO hire out to get the property damage award handled properly. For example, in a large diminished value claim, where there is a lot of money at stake, the victim may hire an attorney.
FAQ: Diminished Value http://www.settlementcentral.com/page0454.htm Insurance Claims Explained in Answers by Doctor Settlement, J.D.-Auto Accident Insurance Claim Expert
Diminished Value- http://www.settlementcentral.com/page0455.htm Make an Insurance Claim for a Cash Insurance Settlement
#2. Beware of Attorney Trick Re: computing fees on PIP and Medical Payments
Unless there is a big dispute regarding liability or the first party (i.e. your own company) auto or medical insurance payments for treatment following the accident, attorneys really have no business taking a fee on the so-called “recovery” of such sums.
Usually these payments are considered a “gimmie” wherein the tortfeasor’s company simply repays to the claimant’s auto and health insurers the amounts that they paid out. This is part of the subrogation setup http://www.settlementcentral.com/page0459.htm From Your Personal Injury Award. Of course the exception comes when the attorney really has to fight for recovery of those medical payments, or when you have to expend money on a liability expert in order to prove your claim. In those cases, one would fight to keep some of the money otherwise headed back to your insurers.
Unless there was a big dispute about liability or the medical treatment costs, why should you pay attorneys fees when the tortfeasor’s insurer has to pay these back to your company anyway pursuant to terms of the Intercompany Arbitration Agreement?
TIP: do not sign a fee agreement in which the fee is figured on the “gross” award, since that will include the subrogated amounts that are going to be repaid to your company and you will never see a dime of that money. Instead, make the attorney figure his fees based upon the “net” recovery.
#3. Make Attorney Work Reduce Subrogation Demand.
How about making your attorney write a simple request to reduce the subrogation claim as part of her service? Introduction to Subrogation—Forced Payback to YOUR OWN Insurer http://www.settlementcentral.com/page0459.htm From Your Personal Injury Award
Why can’t you include a simple request in your professional fee agreement so that the attorney has to at least make a minimal effort in reduction of the subrogation demand?
When negotiating fees with your attorney, include in the contract these or similar words:
"The attorney will exercise his best efforts to obtain a reduced subrogation payment, at no additional expense to the client. In the event that arbitration is recommended or required to achieve the desired subrogation reduction, attorney's fees as set forth herein for arbitration or trial work shall apply to the results of the arbitration, whether the case is actually arbitrated or is settled after filing a Demand for Arbitration."
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OK, Lou, now we will talk about hiring an attorney. Let’s go over the general rule of when to hire an attorney and when to try to settle a claim on a do it yourself basis.
REASONS TO HIRE AN ATTORNEY
#1. Very Serious Cases.
This is NOT your situation, Lou, since both liability and damages appear to be straighforward. But for later readers of this answer I am going to list these as cases one would want to take to an attorney.
Some types of serious cases must be handled by an attorney, and the sooner you can make satisfactory arrangements with an attorney, the better.
• Professional Malpractice Cases (i.e. versus a doctor or lawyer)
• Product Liability Cases
• Workers' Compensation or Industrial Insurance Cases
• Disaster Cases - Airplane, Train, etc.
• Irresolvable Liability Disputes with BIG DAMAGES
• Serious Damages at Stake in Complex Cases—for example, over $100,000
#2. Too Lazy to do the Work Yourself
Again, this does not appear to by your case, Lou, since you sought out this forum and had the sense to ask about your claim. But there are many people who undertake to settle their own claims and who have no desire to do the work necessary.
First, a pro se insurance claimant will have to learn about how to settle an insurance claim on a do it yourself basis. A start to that knowledge is to read some of the free insurance tips pages below.
Second, a pro se insurance claimant has to actually gather records and do a demand letter. One cannot simply make a phone call and expect an insurance adjuster to open the floodgates to monetary award. You have to present your evidence and to make a written demand for compensation.
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REASONS WHY MOST PEOPLE CAN AND SHOULD SETTLE THEIR OWN PERSONAL INJURY INSURANCE CLAIMS ON THEIR OWN, WITHOUT AN ATTORNEY
#1. It is Legal and Advantageous to Settle Your Own Insurance Claim
You Do NOT Need a Personal Injury Attorney for http://www.settlementcentral.com/page3013.htm Most Insurance Injury Claims
Do-It-Yourself Personal Injury Claims; Eliminate Attorneys' Fees http://www.settlementcentral.com/page3011.htm Save Thousands of Dollars Settling Your Own Insurance Claim
#2. You Will Save a lot of Money Settling Insurance http://www.settlementcentral.com/page3014.htm Injury Claims Do It Yourself
Take a look at these graphics to get an idea of how much you will save by doing this on your own.
As for these smaller claims, the attorney CANNOT USUALLY DO MUCH BETTER THAN THE PRO SE CLAIMANT for two reasons:
(A) the victim always knows his claim a lot better than the attorney. There is just not enough time for the attorney to get up to speed on all the facts of the claim and when it comes to examples of pain and suffering, the victim is in a lot better position to respond with a factual argument than the attorney.
(B) attorneys settle short on smaller claims (under $15,000). The adjuster knows that the attorney cannot afford to take the claim to a lawsuit and arbitration. He will eat up his fees on any settlement of $15,000 or less since answering interrogatories and participating in depositions and all the client contact will end up with a lot less in his pocket per hour than he would normally get. Hence, the insurance industry KNOWS that he will be forced to settle short.
SCC believes that the greatest benefit of using a do-it-yourself approach to achieve a satisfactory settlement of your claim is that YOU CAN SAVE A LOT MONEY! This is because you can do most everything the attorney will do-and more in most cases-at no cost to you whatsoever.
#3. You Will Also Save Time Settling Insurance http://www.settlementcentral.com/page3015.htm Injury Claims Do It Yourself
Look at this chart, and you will see that hiring an attorney will take as much or more time than doing the insurance settlement on your own.
Whether you hire an attorney or use a do-it-yourself approach, YOU will be required to devote some time to your claim in order to achieve a satisfactory settlement. If you hire an attorney, that attorney will give you certain tasks to perform so the attorney can be prepared to negotiate a settlement on your behalf. There is no way around this!
Remember that you will have to devote a substantial amount of time educating the attorney and the attorney's staff about the facts related to your claim.
#4. Blind Dog Syndrome
A great many insurance injury settlements could be obtained by a blind dog with a note in its mouth. Why waste your money supporting attorneys when you can do-it-yourself? Even if the claim is not so easy that a blind dog could get your settlement, if there is no real challenge to the liability or the medical treatment, why not save money and settle your own insurance injury claim?
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BASIC INFORMATION ON PERSONAL INJURY INSURANCE CLAIM SETTLEMENTS
OK, Lou, now that I have answered your questions, let’s look to www.SettlementCentral.Com free insurance injury claim settlement tips.
Here is a series of pages that you can review. Take what makes sense to you and don't worry about the rest. Just get a flavor of how the system works without spending a ton of time right now.
Overview Tort Law Personal Injury Legal Claims http://www.settlementcentral.com/page3000.htm
Managing Medical Care After Auto Accident: http://www.settlementcentral.com/page0203.htm
Medical Care Documentation-the Key to Successful Personal Injury Insurance Claim Settlements http://www.settlementcentral.com/page0217.htm
Keys to a MAXIMUM INSURANCE INJURY CLAIM SETTLEMENT http://www.settlementcentral.com/page0089.htm
Outline of questions to be expected from insurance claims adjuster http://www.settlementcentral.com/page0190.htm
Detailed listing of questions to be expected from insurance claims adjuster http://www.settlementcentral.com/page0207.htm
By the way, did you know that getting an early settlement is a favorite trick of the insurance adjusters? Please see my website wherein we show Insurance Claim Adjuster Secret Tactics http://www.settlementcentral.com/page0092.htm
Responding to Settlement Offer From Insurance Claims Adjuster http://www.settlementcentral.com/page0244.htm
Do It Yourself Advantages, or do these claims need an attorney? As for an ATTORNEY, this does not seem to be a case that involves any legal issues in dispute nor any large or complex damages. Why should you pay someone one-third to do what you can do yourself? Do-It-Yourself Personal Injury Claims; Eliminate Personal Injury Attorneys' Fees; Save Thousands of Dollars Settling Your Own Insurance Claim http://www.settlementcentral.com/page3011.htm
Without having to join my website, I have given a lot of free information on handling insurance claims without having to join as a member. Read the module at "5 Easy Steps to Do-it-Yourself Insurance Claim Settlement" http://www.settlementcentral.com/page0102.htm
This stuff is not rocket science, but it will take some effort on your part to read and cut and paste letter examples and to communicate. But hundreds of people are doing it each day, and they are getting good results.
What if you get only two-thirds the way to your settlement goal? Well, you can get as big a settlement as you can and then turn it over to an attorney and save a lot of fees. Thus, you could go it alone just to get an insurance settlement offer, and then take that insurance settlement offer to a personal injury attorney, thus exempting the amount of the offer from her fees. Do It Yourself Personal Injury Settlement Offer Reduces Personal Injury Attorney Fees http://www.settlementcentral.com/page0109.htm
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FINAL TOPIC, Lou: Effective communication with insurance claims adjusters. Establish Firm, Professional, and Positive Relationships With the Insurance Injury Claims Adjuster http://www.settlementcentral.com/page0059.htm
Always communicate with the adjuster in writing, showing your own analysis of value. It is OK I guess to have one call or so, but no more. Always have your information and ammunition in writing to give to the adjuster.
Let him know that you are FIRM IN YOUR RESOLVE to get what you are demanding (NOT "asking", since that invites a counter-offer, but instead "demanding" as fair and reasonable compensation) by asking him what the options are to resolve the matter fairly should he not agree to a reasonable claim value. In other words, let him know that you will go through with a court filing if need be.
Remember these tips, do your homework, print out your evidence, show resolve to get your fair settlement, and you will DO JUST FINE.
I trust that my extra time here has produced some information that has been of value to you, and thus I would respectfully request that you take the time to locate the FEEDBACK FORM on this site and leave some feedback for me.
Best Wishes,
Dr. Settlement, J.D. (Juris Doctor)
http://www.SettlementCentral.Com
