Why Are Personal Injury Lawsuits So Expensive?

If you want to file a personal injury lawsuit, you are probably looking forward to getting a settlement. You want to get a big enough payout to cover all your losses caused by another person’s recklessness.

The problem is that the lawsuit will most likely cost you a lot of money on top of your other expenses. For example, a routine auto case can cost $125,000. The more complicated the case, the more it will cost you. 

These costs may come as a shock, especially if you were not expecting them to be so high. So, understanding why personal injury lawsuits are so costly can help you manage your expectations and make better choices. 

The following reasons are mainly why personal injury lawsuits will take a chunk out of your pocket.

Your legal costs will make up a big part of why your lawsuit is expensive. Even if your lawyer works on a contingency fee, you must pay them up to 40% of your settlement. 

While this allows you to pursue a legal case without paying upfront, you must consider how much you will lose to legal fees. 

It is also important to remember that paying your lawyer is not the total of your legal costs. You must shell out more for filing fees, admin expenses, and legal research tools. 

Depending on the complexity of your case, these costs will quickly add up.

If your case involves medical malpractice or product liability, you may need to hire an expert to testify. Their testimony will support your claims of negligence by the at-fault party. 

You will have to hire an expert relevant to your case, which means a medical professional, accident reconstruction specialist, or economic expert. 

Expert witnesses tend to charge by the hour, which can cost you upwards of $1,000 every hour. This can cost you thousands of dollars, depending on how often they need to testify.

Your lawsuit will include a discovery process. This means both sides’ legal teams gather and exchange evidence. During the discovery process, witnesses and parties provide testimonies. At this point, you may need a transcriber and court reporter. 

You must also provide your medical records and employment documents to prove your damages. At the very least, you must pay for access to your medical records. The other parts of the process will also involve additional expenses, such as time and labor.

If you want to win your personal injury lawsuit, you need extensive medical evidence. This means getting reports from your doctor, the results of diagnostic tests, and future treatment plans. 

Your doctor or hospital may charge significant fees to produce copies of these reports. If you need an independent medical examination (in case of a dispute), this will cost you even more money.

Technology is not lagging in the court and legal system. In 2024, more courts have begun using visual aid evidence. Lawyers and experts also work together to simulate accident reconstructions digitally. 

These technological advances can strengthen your case but will chase up your expenses. You will likely need to engage experts, especially for simulations, and they do not work for free.

The longer your case is dragged out, the more you must pay. Cases that settle fast, usually within months, incur fewer costs. However, if a case goes to trial or undergoes several appeals, it can take years to resolve. During that time, the expenses will keep piling up. 

Extended litigation means more attorney hours, discovery meetings, and expert witness involvement. It also will not affect only your pocket but that of the defendant as well.

If your case is not settled and proceeds to court, you will enter one of the most expensive phases of your lawsuit. 

Before and during a trial, your lawyer must review all the evidence again. They will have to prepare arguments and prepare witnesses to testify. They will also have to work with expert witnesses. 

The costs for this process include paying for witnesses to be transported. If your lawyer does not work on a contingency fee, you must keep up with daily attorney hours.

If an insurance company represents the defendant, they will have a very strong legal team. Your legal team must match theirs on every level, from preparations to investigations. This will continue to cost you money. 

Moreover, insurance companies often use delaying tactics to pressure plaintiffs into settling and deciding against a trial. This will only extend the case further, costing you more.

When the case is finally resolved, you or the defendant can appeal the verdict. If this happens, additional costs will be incurred. This is because the process will basically have to start from scratch and include appellate court proceedings and new legal arguments.

Fortunately, there are ways to decrease costs while fighting for compensation. If possible, settle the case outside of court. If you file a claim and your lawyer negotiates a fair settlement with the insurer, take it. This will save you a lot of money compared to going on a trial. 

Choose an experienced lawyer. This will ensure a streamlined process, which can also keep costs down. You can ask about negotiating a contingency fee, saving you more. 

Consider alternative dispute resolution methods if there is no chance of a settlement. This may include mediation or arbitration. While these options are not free, they are much more affordable than an official court case.

Looking at these costs may leave you feeling discouraged, but you can use several strategies to pay less even if your case goes to trial. 

Your lawyer can help you make the best decisions for your specific case. They can also help you get a maximum payout from the relevant insurer, which will help you recoup some of your expenses.