How Much Does a Workers' Compensation Lawyer Charge?

Workers' comp lawyers usually charge only if they win, and most states set limits on the amount of their fees.

By , J.D. University of Missouri School of Law
Updated 3/27/2024

If you've suffered a work-related injury or illness, you might be considering hiring a workers' compensation attorney. An experienced lawyer can help you develop medical evidence that supports your claim, negotiate a favorable settlement, and represent you at your workers' comp hearing or on appeal. In short, hiring a workers' comp lawyer gives you a much better chance of receiving workers' comp benefits.

When to Hire A Workers' Comp Lawyer

You might be able to handle your own workers' comp case if your claim is simple, straightforward, and low value. But it's essential to hire a workers' comp lawyer if any of the following apply to you:

  • Your employer disputes your workers' comp claim.
  • Your claim isn't strongly supported by medical evidence.
  • Your claim is high value or you've suffered permanent or life-altering injuries.
  • You've been offered a settlement and don't know whether to accept it.
  • Your claim has been denied and you need to appeal.

In any of these situations, you'll have a much better chance of winning your case if you hire an attorney to represent you.

Workers' Comp Attorneys' Fees

It's important for you to understand the costs involved with hiring a lawyer. Lawyers generally handle workers' comp cases, like most personal injury cases, on what's called a "contingency fee" basis. That means if you win your case, your attorney receives a percentage of your workers' comp benefits or settlement. If you lose, there's no fee.

By eliminating the need for substantial up-front payments, contingency fee arrangements allow all injured workers, even those with limited financial resources, the chance to receive quality legal representation. They also provide a strong incentive for attorneys to obtain maximum benefits for their clients.

State laws or regulations tightly control attorneys' fees in workers' comp cases. Many states place some sort of cap on the amount an attorney can charge and require approval of the fees by the workers' comp judge or appeals board.

State Rules on Workers' Comp Attorneys' Fees

The laws and regulations dealing with attorneys' fees vary from state to state. Generally, the judge must approve the fee before the lawyer gets paid, taking into account how complicated the case was, the time and work involved, the amount of benefits awarded, and the final result.

Many states set a cap on the percentage and/or total amounts that attorneys can charge. Typically, the maximum percentages range from about 10 to 20%, depending on the complexity of the case. But some states have higher limits or none at all. In general, a case that is settled prior to an administrative hearing will warrant a lower percentage fee than one that requires a hearing or even a trial in circuit court.

In a national survey, injured employees reported that their lawyers received an average of 15% out of their workers' comp settlements or awards. The same survey showed that injured workers who had hired attorneys received an average of 30% more in compensation than those who had pursued their claims without legal help.

Many states prohibit lawyers from charging fees for obtaining routine benefits, such as medical bills or lost wages that the employer or insurer hasn't disputed. Also, states may allow attorneys to ask the judge to order the other side to pay additional fees in certain situations, such as when the employer or insurer has engaged in egregious misconduct, caused unnecessary delays, or refused to pay benefits that have already been awarded. The percentage caps in state laws don't apply to these fees (often called sanctions or penalties), because they don't come out of your compensation.

Can You Negotiate Workers' Comp Attorneys' Fees?

At your initial consultation, your attorney should provide you with a clear explanation of the fees you'll be charged. In states that set a cap on attorneys' fees in workers' comp cases, lawyers generally charge that amount. Still, you're free to ask an attorney to handle your case for less than the maximum allowable amount. But be sure to negotiate the fees before you sign the representation and fee agreements.

Charges for Expenses Related to Your Case

In addition to attorneys' fees, workers' comp cases involve other out-of-pocket costs. Some of these common expenses include:

  • filing fees
  • fees for copies of medical records
  • paying the physicians who conduct independent medical examinations
  • costs of depositions
  • the attorney's travel expenses, and
  • copying and postage costs.

These costs are not covered by the standard fee agreement. Most law firms will pay these expenses as they come up, but you'll probably have to reimburse the firm for the costs if you win your case. Some lawyers charge for expenses even if you lose your case.

Before you sign an agreement with your lawyer about expenses, make sure you understand what the agreement covers, whether the attorney will front the costs, and when you have to pay them back. You should also try to get an estimate of the typical bill for expenses in a case like yours.

Contact an Attorney for a Free Initial Consultation

The workers' comp system is very complicated, and insurance companies do everything they can to lower their costs by denying or reducing benefits. It's no surprise that they prefer when injured employees try to represent themselves.

If you're thinking about filing a workers' comp claim or you've had a claim denied, contact an experienced attorney for a free consultation.

Having an attorney on your side will make it much more likely that you'll get the benefits you deserve. And even after attorneys' fees are deducted from your award or settlement, you'll likely end up with more compensation than if you tried to navigate the system on your own.

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