How to Decide If You Need a Lawyer to File a Personal Injury Lawsuit

Here are a few things to think about as you make a decision that can affect your life in major ways.

There are more than 1.3 million lawyers in the United States.

That's a lot of lawyers.

It seems like there's plenty of work to keep all of these people in business, but there are some instances when you might be able to handle a legal issue on your own.

Hiring an attorney is a big decision and it should largely be based on how much the outcome of your case is going to affect your life, either in the short- or long term.

Most people don't need to just "have a lawyer" on retainer. There are some people who might — like if you own a business, are a landlord, or have other ongoing legal matters that require attention.

For most, though, you'd look for a lawyer on an as-needed basis, and you might need a different lawyer at different times in your life based on the type of need. The best lawyer for any case is one who specializes in that area of law. Just like you wouldn't ask an eye doctor to deliver your baby, you wouldn't use a personal injury lawyer for a criminal defense, and vice-versa.

Types of lawyers

Every situation is unique, but it helps to have a general idea of the types of lawyers who handle "every day" cases before you decide whether or not you need one and where to look.

You might NOT need a lawyer if...

The potential recovery amount is very small.

If you were in a car accident and the other driver is at fault but not cooperating, but the damage to your car will cost a few hundred dollars (or any amount that's not a huge financial burden to you), it might not be worth hiring a lawyer. Most personal injury lawyers work on a contingency fee basis. That means you don't pay them upfront; they take a percentage of the amount you recover in a settlement or at trial.

Many personal injury lawyers receive around 33% (one-third) of the recovery amount. So, for example, if you recover $1,000 from the accident, you'd pay your lawyer $333 and you would recover $667 in the end. Recovering $667 is better than nothing, for sure, but you'd want to weigh the time and effort associated with hiring a lawyer against whether the insurance company is able to come close to your desired settlement.

In other words, if the insurance company is offering a settlement of $500, if you know the most a lawyer can get would yield $667 (if the lawyer is successful in getting the full settlement), it might not be worth it for a difference of (at most) $167.

You can settle the matter in small claims court.

States have different thresholds for what's eligible as a small claims proceeding. The purpose of the small claims court system is to keep smaller cases out of the judicial system and allow claimants an opportunity to present their own case without needing a lawyer.

Insurance is covering the claim to your satisfaction.

Just because you were in an accident doesn't mean you need to rush out and get a lawyer to sue someone. Sometimes insurance can help get what you need, especially if the accident was minor, the damages are minimal, and there's no dispute about who was at fault.

You should consult with a lawyer if...

There's a liability dispute.

States vary on how a plaintiff can recover damages. There are 4 systems of fault, and the system in your state will determine whether you can recover damages if you had any part of the liability for an accident. Some states will allow a plaintiff who has partial liability to collect partial damages; in other states, that's not permitted.

If the accident involves multiple vehicles, if liability is unclear (or if it is clear to you but the other party doesn't agree), or if there's any question about ownership of property, then you should consult with a lawyer.

In other words, if there's any question about who's at fault or if there might be multiple defendants, a lawyer will be needed to sort things out.

The insurance company's offer seems too low.

Your insurance company has a legal responsibility to defend you after an accident where the other party claims you're liable. The other party will surely try to negotiate as high a settlement as possible. Likewise, if the insurance company is paying for your damages, it will offer the lowest amount that you're likely to accept. If that doesn't seem like enough to cover your expenses, you should consult a lawyer who can negotiate a settlement that's sufficient for your costs.

You (or the other person) suffered serious injuries.

A personal injury settlement isn't just about your costs right now. It should also include any future costs you might incur.

If your injuries are serious and will require ongoing care, therapies, future surgeries or treatments, you should work with a lawyer to determine how much those costs will be. Once you agree to a settlement, you can't then go back and ask for more — it's done. So before you make an agreement, you'll need to estimate how much money you will need in the future.

This also includes lost wages. If you haven't been able to return to work because of your injury, or if you're not working at the capacity and salary you did before the injury, you should consider how much you'll lose in future earnings as part of the settlement or damages.

A lawyer has access to financial and medical experts who have experience in determining your future expenses and what you'd be expected to earn over a period of time in order to figure out a fair amount of compensation for your injury.

On the flip side, if you were involved in an accident where you were uninjured but another person suffered serious injuries, you might wish to begin to think about hiring a lawyer in case they file a claim with a high amount of damages.

You want to claim emotional distress or other non-economic damages.

Insurance will typically cover your economic damages, like medical treatment and lost wages, but it won't cover emotional distress, pain and suffering, or other mental trauma like PTSD or anxiety. It also doesn't cover punitive damages, which are damages that a court might award in especially serious cases where it intends to punish a defendant for especially egregious or malicious behavior.

If your injury was severe enough that you feel you should be compensated for any of these types of damages, your only legal recourse is to file a lawsuit, and you will likely want a lawyer who's experienced in determining how much your emotional distress will be worth in court.

The damages are expensive.

Even if a defendant knows they're at fault for an injury, no one is going to want to fork over a large sum of money without a fight. The higher the amount of your claim, the more strenuously the defendant is going to argue that they were not liable, that your injuries aren't as severe as you think they are, or locate loopholes in the law that can help them avoid a large settlement or payout.

If the amount of money that you would either gain or could stand to lose in a settlement or lawsuit is a sum that would have a substantial impact on your life, you should consider hiring a lawyer.

Remember, it's never too late to hire a lawyer. Even if you've begun to negotiate or you've been made a settlement offer, you can always let the other party know you need to further consider your options, and then find a lawyer to help.

Find a lawyer who is a trained negotiator, is experienced with the area of law involved in your claim, and who knows the statutes in your state. If you don't feel comfortable at your first consultation, it's totally fine to look for someone who better meets and understands your needs.

Here are some resources for finding the lawyer who's right for you:

• Enjuris law firm directory
• How to Choose a Personal Injury Lawyer: Questions to Ask
• How to talk to a lawyer: Hiring an attorney after an accident
• Preparing to Meet with a Personal Injury Attorney

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