If you suffer serious injuries in a car accident or have a complicated case, you can benefit from hiring a personal injury lawyer to represent you. Since you are already dealing with expenses from the crash, it can give you peace of mind to know that you can hire an attorney for $0 out of pocket by looking for one who operates on a contingency fee basis.
What Does It Mean to Work on a “Contingency Fee Basis”?
If you see a personal injury or car accident lawyer advertise that they work on a “contingency fee basis,” this means the attorney’s fee is contingent or dependent upon the attorney winning the case. The lawyer won’t charge the client anything unless the case results in financial compensation (a settlement or judgment).
Personal injury lawyers who operate on contingency don’t charge any fees up front. If the insurance company refuses to pay the client, the attorney will charge $0 for services already performed. If the car accident case does result in a financial recovery for the victim, the attorney will charge by taking a percentage of the overall amount secured for the client.
What Are the Benefits of a Contingency Fee?
A personal injury attorney who operates on a contingency fee basis in New York protects their clients from financial risk. They absorb 100 percent of the financial side of pursuing a case or filing a lawsuit on the client’s behalf. The client will not have to pay the attorney directly out of pocket, win or lose.
Contingency fees also work to incentivize the lawyer to win the case and secure as much financial compensation as possible for the car accident client. How much the attorney makes in fees directly correlates to the amount collected for the client. This motivates the attorney to fight for maximum compensation – often leading to better case results.
How Much Is the Average Contingency Fee in New York?
The average amount that a New York personal injury lawyer charges as a contingency fee for a car accident case is 33.33 percent, or one-third of the client’s net recovery. This means if a case reaches a $100,000 settlement, the attorney’s fee would be approximately $33,330. However, the fee can increase to around 40 percent if the case has to go to trial or a lawsuit is filed.
In New York, the law requires personal injury lawyers to provide potential clients with written fee agreements before they sign any contracts, so that they can understand exactly how much they will pay the attorney and what amount will be deducted from any potential award.
Other Types of Car Accident Attorney’s Fees
Contingency fee arrangements are by far the most common fee arrangement used by personal injury lawyers in New York when handling car accident cases. However, you may also encounter a lawyer who charges by the hour or charges a flat rate for specific services. Typically, these types of fees are more common for other legal cases, such as family law matters and criminal defense.
Look for a Free Initial Consultation to Learn More
The first step toward hiring the best personal injury lawyer for your car accident case in New York is to schedule a free consultation with a top choice near you. The free consultation is an opportunity for you to ask questions and express your concerns to a lawyer who has in-depth knowledge and experience in this practice area.
You can tell your car accident story, get personalized legal advice and learn more about how an attorney charges for their services during the cost-free case review. From there, you can make informed decisions about the right attorney to hire and what to do next.