November 15th, 2024 |

• General

By Attorney Mike Bertling

Reading Time: 2 minutes

The Value of Legal Counsel

When individuals are involved in a personal injury accident, they need to decide whether to retain an attorney. It is well-known that an attorney will charge a contingent fee for their services. Typically, the attorney will take one-third of any amount recovered as a fee. A calculation can be done to determine how much a person would net from a recovery involving an attorney.

However, it is not as simple as that. The benefits of having legal counsel far outweigh the cost. Studies have shown that total recoveries are approximately four times more with an attorney than without. This explains why insurance companies try to keep injured parties from contacting an attorney. The insurance adjuster will be very kind and seem very helpful. They may even forward some initial money to help with expenses. However, their attitude changes once they find out that an attorney is involved. They now know they will not convince the individual to take peanuts for their injury. Their motivation to be helpful no longer exists. This alone should demonstrate the value of retaining counsel. Once counsel an individual retains counsel, the insurance company will pay that much more to resolve the claim.

Maximizing Settlement Offers

It may be necessary to commence litigation to receive fair compensation. Many insurance companies will not offer full value until litigation begins. Insurance companies do not want to offer all of the money they believe they should pay early in the process. They offer less with the hope that the case will settle. As they get further into the process, it eventually becomes clear that this will not occur. They then offer the full amount they have set aside. This will not happen without an attorney.

In my practice, an offer of their full amount typically does not settle the case. My job is to get the insurance company to offer more than they thought they would. There are many ways an attorney can do this. The best way is to demonstrate to the insurance company that the client will go to trial. Again, that is not possible until there is an attorney.

Maximizing Medical Bills and Health Insurance

There is another typically overlooked way an attorney is important. This involves the proper way to receive compensation for medical bills. An injured party will almost immediately begin incurring medical expenses. These medical expenses will continue throughout the recovery process.

Nearly every automobile insurance policy provides medical payment coverage. This coverage pays for medical expenses caused by an accident, regardless of fault. This coverage is typically limited to a total of $10,000.00 or $25,000.00. An attorney can help with this coverage.

A party may have health insurance. Health insurance should be used to pay for the majority of expenses. If there are co-pays or deductibles, the medical payment coverage from the auto policy can be used. These insurance coverages must be used in the proper order.

At the end of the case, when the claim is settled, health insurers or Medicare have a right to be reimbursed from the settlement. There are things that an attorney can do to minimize that reimbursement. A good attorney not only maximizes recovery but also reduces what must come from it.

Conclusion

By seeking professional legal advice, you can navigate the complexities of personal injury claims with greater confidence, clarity, and assurance that the value of retaining an attorney far outweighs the cost.