Auto Insurance Claims: Personal Injury and Prop Damage - Auto Accident, soft tissue injuries, district public defender

Question
Hi Richard -
My wife and 2-year old son were recently (1 month ago) involved in a head-on automobile collision.  The driver of the other vehicle was cited for driving left of center.

My son spent 4-days in intensive care with closed-head injuries and was released.  Outside of some broken bones in his face (which do not require surgery at this time), the long-term ramifications of his injuries are not known.  

My wife was treated and released at two different ER's - the 1st for injuries related to the accident - the 2nd for complications from a prescribed pain medication.  See suffered mainly from soft-tissue injuries from the impact.

I have not yet hired an attorney, but I did speak with an attorney friend of mine about this case - who just retired as a District Public Defender.  He asked me to "let the medical bills pile up" and give him a call when they do.  I would estimate the total medical expenses to be in the $30K-$50K range.

I have 2 questions for you:

1. The insurance adjusters finally contacted us last week - one for the medical-end, one for the property-damage.  The medical claims adjuster wants us to release our medical records - which I do not think I should do at this time.  The property-damage adjuster wants to settle the damage portion of the claim for the totaled car.  Is it OK to do so at this time without jeopardize the personal injury portion of the claim?

2. Would it be wise to hire an attorney on a fee-retainer basis rather than on a contingency?  What kind of hourly fees are the industry norm?

I am reluctant to hire an attorney - as the contingency amounts of 30%-40% scare me.  I have no idea what this claim may be worth.  If it is worth $100K - I would pay $30K-$40K in attorneys fees, and after the medical bills are paid may be left with little.    

I apologize for being long-winded - but wanted to give you as much information as possible.  We would appreciate any advice you might offer at this time.

Thanks,
Everett  

Answer
Hi Everett,

First of all, I hope your wife and son are doing ok.

It's ok to settle the property damage portion of the claim, but be very careful if they request that you sign a release form.  If you have to sign a release form in order to get a check, be sure that the release only covers property damage. Sometimes insurance companies will be sneaky and try to slip in a release of all claims.

As far as an attorney is concerned, you should interview several attornies. Discuss their fee options and what they feel is the value of your claim. Based on what you have told me here, I think that your son has the largest claim due to the broken bones in his face. Most injury claims will settle for somewhere between 3 to 10 times the amount of the medical bills. You should ask any attorney about the timing of releasing any medical info.

I hope this helps
Richard Hixenbaugh