No Win No Fee Explained

The term "No Win No Fee" has become synonymous with personal injury and accident claim organisations over the past few years. But what does the terms actually mean, and how does it work?

What is a Conditional Fee Agreement

A Conditional Fee Agreement (CFA) is the agreement between a law firm and its client. It enables a solicitor to take on a personal injury case, with the understanding that should they lose the case, the client will not pay for their services. This has become known as No Win No Fee.

What happens if I win the case?

If the client is successful in court, their solicitor will be entitled to their standard fee, plus an additional payment, known as a 'success fee', which cannot be greater than 100 per cent of the solicitor's standard fee.

So if I win, who picks up the bill?

If you win a No Win No Fee personal injury case, damages will be awarded by either the losing party's insurers, or the Courts. The other party's insurers will also be required to pay your legal costs, including any uplift of fees and any expenses you may have incurred. Make sure you keep a record of these throughout the duration of the procedure.

If I'm successful in a No Win No Fee claim, will most of my compensations go on lawyers fees?

Our solicitors Conditional Fee Agreement means that they will limit their costs no matter how much work is done on your case. The result is that when you win your case they will never charge more than 25% of the total damages so you keep the vast majority of your compensation.

This is as a result of, in April 2013 the Government slashed the fees that solicitors could recover from the other party by 60%. In order to continuing providing the public with a genuine no win no fee service we've had to include a small percentage of your compensation to cover our costs.

What if I lose, will I have to pay court fees?

In the unlikely event that you lose a No Win No Fee personal injury claim, or it is discontinued, you are protected by After the Event Insurance (ATE). This is a special type on insurance policy available, and it will usually be obtained by your solicitor after you enter into a CFA. AFE is designed to protect you from the risk of legal costs that could potentially be incurred should you be unsuccessful in your No Win No Fee personal injury claim.

What if I can't afford to take out ATE?

Don't worry, if for some reason you are unable to take out ATE, there are other alternatives to help you proceed sensibly with your No Win No Fee personal injury claim.

Legal Expenses Insurance

Before you proceed with your No Win No Fee personal injury claim, you should check with your current insurers whether you are already covered for Legal Expenses Insurance. Often referred to as Before the Event Insurance (BTE), many policies cover this already as part of Household contents or Car Insurance. Additionally, some credit cards also include BTE insurance. It is important you make sure you have BTE insurance when making a No Win No Fee personal injury claim, as it will cover all the costs, whether you win or lose.

A recent report found that 48 per cent of claimants were covered as part of their car insurance policy, 35 per cent as part of their Home Contents insurance, and 17 per cent were covered as part of their travel insurance.

So check before you proceed!!

Contact our experts for a free consultation, and we can quickly tell you whether you have a case or not... and remember you don't pay us a penny if you don't win your case - so what have you got to lose?

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