In a personal injury lawsuit, a $25,000 settlement isn’t the amount you take home. Before you receive a check, several deductions will come out of that total.
What Deductions are Made from a Personal Injury Settlement?
The first is your attorney’s fee, usually a percentage of the settlement under a contingent fee agreement. Case costs, such as filing fees, expert fees, and records requests, are also deducted, either as part of the fee or in addition to it, depending on the agreement.
Medical liens are often the largest deduction. If your health insurer, Medicare, Medicaid, or a hospital covered your treatment, they generally have a right to be reimbursed from your settlement. An attorney can often negotiate these liens down, which directly affects how much you keep.
Why Every Case Settlement Differs
Because every case involves different medical bills, liens, and fee structures, there’s no single answer to what you’ll net from a $25,000 settlement, and any firm that promises a specific number without reviewing your case isn’t giving you an honest answer.
At Munley Law, we walk clients through exactly what’s being deducted and why before a settlement is finalized, and our fee will never exceed what you receive.