No Win No Fee

We’re all thinking the same thing aren’t we?

“I want to make a claim – but I don’t want to end up with a bill if it doesn’t go to plan”

Welcome aboard; because that’s exactly how a claim run on a No Win No fee basis should be conducted.

To quote from one solicitor’s website, “No Win No Fee means you will not be faced with a bill, win or lose, and you will keep 100% of your compensation”.

So, in simple terms, how does it work?

Briefly, the accident circumstances are considered and, if there are reasonable prospects of success, a solicitor sets about putting your claim to the negligent third party or it’s insurers.

If, ultimately, it comes to nothing, the solicitor does not get paid for any work carried out on your behalf, but then you are not out of pocket either.

If, during the course of the attempt to progress your claim, expenses are incurred on your behalf (such as medical reports or court fees) these will be covered by an insurance policy and are not paid by you.

The insurance is taken out by your solicitor at the very outset of your claim. It is called After The Event insurance and protects you from any liability for costs and expenses.

You do not pay for this insurance. The cost of this policy is a few hundred pounds and is paid for by the other side when you win. Cleverly, the premiums are designed to be ’self insured’ so the insurance provider effectively stands the loss if a claim fails.

Oh, and when you win, the other insurer pays your legal costs and expenses.

It really is that simple – but then it was designed that way.

Finally

A No Win No Fee agreement is often properly referred to as a Conditional Fee agreement or CFA. Have your claim progress on a CFA from the outset and be covered by After The Event insurance (ATE) and you can make a claim without ending up with a bill.

Unless you are a duck.