| Dear Sir,
I recently met with an accident in the UK. I was then approached by a Claims company and told me that they can get me compensation for the accident as it was not my fault. I agreed and they said they will take care of my claim on a No Win No Fee basis and get me 100% compensation for my claim. I agreed and then the case was done through a solicitor firm recommended by the Claim Company. I only had minor neck injury and the case settled for 2000 pounds. But then I only received £1500 pounds as compensation as the solicitor took 25% of my compensation as success fee. I had to pay the Claim Company also a fee of £250 pounds. Do you think I was paid the right compensation? Is it the normal standard for accident claims in the UK? |
| Thanks for your query.
From the information provided I must say that most probably you were underpaid. As you mentioned if they offered you 100% compensation then they must have paid you the entire compensation of £2000 without deducting 25% from that amount. Regarding the payment to the claim company they are right to charge you if they did explain this to you beforehand and you agreed to it.
Normal practise in the UK was for the Claims companies to get a referral fee from the solicitor firm until this was banned in April 2013. Now it is an offence to pay or accept referral free to a third party of Claims Company for personal injury claim services.
While Solicitors are allowed to take up to 25% of your compensation with proper written agreement entered prior to starting the claim process. The market is very competitive now and there are large numbers of solicitors who will not take anything from your compensation and give you 100% compensation. This would mean £££ savings for you.
I would advise you to check thoroughly all the paper work whether the Claims Company or Solicitor informed you about this 25 % reduction as their success fee before you started the proceedings with them. If they did promise you 100% compensation then you must contact them for a refund and they should pay you. You must also check if the claims company agreed a fee in writing with you before providing you any assistance and if not they must refund you.
Joby Kuttikkat
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