Workers’ Compensation Attorney Fees: How It Works

Everyone deserves legal representation. That’s why most workers’ compensation attorneys work on a contingency fee basis, which means that you don’t pay anything unless they resolve your claim.

At Morgan & Morgan, all our attorneys work on this fee structure. This allows us to provide representation to people who might otherwise not be able to afford it, in line with our mission to be For the People.

With a contingency fee, there are no consultation fees or retainer costs. But if your attorney does win your case, what happens next?

Here’s what you should know.

Once your claim is resolved, you’ll receive a general release. This is a document from your employer and/or their insurance company that must be signed to receive your benefits.

After signing this document, you’ll receive a closing statement.  This statement outlines the financial details of your settlement and breaks down the attorney fee and any other expenses that might be deducted from your final settlement amount.

These are some of the line items that might be on your statement.

Attorney Fees

The attorney fee for a workers’ compensation claim is set by each state. There are strict limits to how much your attorney can charge. Depending on the state in which you live and the circumstances of your claim, this fee can be between 10% and 33% of your settlement or benefits. Some states may have a set dollar amount as the cap, instead of a percentage.  

Case Costs

There might be certain expenses involved in the process of filing your claim. These can include the costs of filing paperwork with the court, postage, expert consultations, and more.

Liens

There may be certain debts or expenses that are immediately deducted from the settlement amount, such as unpaid child support. A certain amount of money for your claim is also dedicated to medical expenses. In some cases, money is therefore paid back to funds laid out by your employer’s workers’ compensation healthcare coverage.

Delayed Cost Deposit

There might be some costs associated with filing your claim that haven’t yet processed at the time when you receive the closing statement. To pay you as quickly as possible, your attorney might hold onto a small deposit to pay any last-minute invoices. Whatever isn’t used is released after a set time period, usually 90 days.

Your Settlement

The final benefit amount is then listed! This money is paid directly to you. Depending on the nature of your claim and the state where you live, you might receive a sum for back due benefits awarded. Usually, future benefits are paid on a weekly or bi-weekly schedule.

If you have any questions about your closing statement or any costs associated with your claim, you can always ask your legal team.