Common Myths Surrounding No Win No Fee.

Nowadays you can’t go anywhere without hearing about ‘no win no fee’ claims, but do we really know what it’s all about? Many people have misconceptions about what the phrase really means and this can affect the chances of filing a successful personal injury claim. Understandably, lots of people find the whole system of funding compensation claims to be confusing as they do not understand the legal jargon that goes along with accident claiming. There are many myths and misunderstandings particularly relating to no win no fee agreements and this need to be cleared up.

So what does no win no fee actually mean? Quite literally the phrase means that in the event that your compensation claim is unsuccessful you will not be responsible for paying fees. However, it is very important to remember that fees are not always the only thing to pay in a claim.

There are two types of payment that you need to know about when making a personal injury claim: fees and costs. Fees are basically what your solicitor charges you for their services, for example their hourly rate and costs are any other types of payments made in the pursuit of your claim. Costs would include things such as medical reports, GP records, court costs and after the event insurance. These costs can also be referred to as disbursements.

If you are unsuccessful in your claim then you will not have to pay out any money to anyone. Under the no win no fee scheme your solicitor will not be owed any fees and if it was thought necessary, ATE insurance will have been arranged at the beginning of the claiming process so you will not need to worry about paying the legal costs or fees for your opponent’s solicitor.

In the case that you do make a successful personal injury claim and win your case all of the solicitor’s fees and disbursements are charged to the negligent party’s insurance company. The no win no fee scheme ensures that the solicitor will not deduct any of your damages and you will keep 100% of the compensation you deserve.

Under the no win no fee scheme a solicitor is allowed to charge a success fee if they win the case. In the initial stages of the system this success fee was sometimes deducted from the customer’s damages by some solicitors but this was stopped in 2000. The rules concerning the success fee have now been changed and it is possible to charge this to the opponent.

If you feel that you are eligible to make a claim for compensation following an accident but are worried about the potential costs then you need to seek legal advice. A professional personal injury company will be able to advise you on the best way to pursue your case in order to get the best results.

Tags: compensation claim, disbursements, event insurance, fee agreements, fee scheme, hourly rate, insurance, insurance company, legal jargon, medical reports, misconceptions, misunderstandings, myths, nbsp, opponents, personal injury claim, phrase, solicitor, solicitors