Why The Injury Lawyers can still Offer 100% Compensation

Why The Injury Lawyers can still Offer 100% Compensation

In past years, 100% compensation has been advertised and given to clients of law firms on a no win no fee basis. From 1^st April 2013 this has become somewhat of a thing of the past, as The Legal Aid, Sentencing and Punishment of Offenders Act (or LASPO) has changed the law so that lawyers cannot obtain a success fee and after the event insurance premiums for most cases from the other side.

What is a success fee?

A success fee is something which law firms charge to increase their fees because their client has succeeded. This helps to fund no win no fee claims as some cannot be won. Before 1^st April 2013, this was recovered from the other side; after 1^st April 2013, the law changed and these fees cannot be recovered from the other side and law firms can take up to 25% directly from their client’s compensation to cover this fee.

Why can the Injury Lawyers still give me 100% of my compensation?

Our research suggests that while the law says that lawyers can claim up to 25%, most are charging the maximum of 25%. Therefore, you will only receive 75% of your settlement if your case is with other law firms.

But we can still obtain legal fees from your opponent. This means that we do still get paid for our services, we just get less than we used to. We’re happy to take this hit, and you keep all of your compensation – because at the end of the day, it was you who was negligently injured!

What about insurance costs?

After 1^st April 2013 the law changed so that you cannot receive an after the event insurance premium (ATE) from your opponent. This covers legal costs from the other side and a number of other things.

At The Injury Lawyers, we will self insure the case – so we don’t charge you for a premium. That way we give you 100% of your compensation.

Can I receive 10% more compensation?

Yes, you can. After 1^st April 2013 the law changed so that the general awards for damages were increased by 10% to offset the success fee which law firms can now take from your settlement. As we do not take a success fee, you receive an EXTRA 10% for your claim so you kind of get 110% compensation with us – something which you would not have received before 1^st April!