Most personal injury firms offer a ‘no win no fee’ scheme for their clients, but what does this actually mean and do all solicitors offer the same terms?
‘No win no fee’ simply means that if your claim is unsuccessful, you will not be charged. Some solicitors do ask their client to pay for expenses such as medical reports if the claim fails. However, the most likely scenario is that there will be nothing to pay.
What happens in the event of a win?
Since April of last year, solicitors have been forced by the government to charge their clients a success fee rather than the insurers. The success fee charged is usually 25% of the compensation recovered. In addition, some solicitors charge an insurance premium. They insist the client takes out a policy to pay for expenses if the claim fails and premiums can range from £35 to £1500.
At ASD, I insist on transparency so the client knows exactly what they have to pay and when. If the claim fails, my client never has to pay a penny unless the claim brought to us was a dishonest one. If the claim succeeds, all the client pays is a fixed success fee. There are no premiums to pay or loans to take out, my firm funds the claim and if it fails, we pay the expenses. The success fees we charge are never 25%, but range from 10% to 20%, plus VAT of the compensation recovered.
A clear policy from a local firm, that still offers a home visit by a solicitor.
Richard Meggitt
Solicitor / Director
Accident Solicitors Direct
Sheffield
