If you were injured at work or became ill because of your job, you might be worried that you can’t afford to hire a lawyer to handle your workers’ comp claim. Fortunately, Illinois law makes it affordable to hire an experienced workers’ comp attorney by setting strict limits on how—and how much—these lawyers are paid.
As in most states, workers’ comp lawyers in Illinois are paid on a contingency fee basis. This means that the lawyer isn’t paid unless you receive monetary benefits in a settlement or an order from a workers’ comp judge. Instead of charging you an hourly rate, the lawyer gets a portion of your settlement or your award.
Illinois sets a cap on the percentage of your lawyer’s contingency fee, as well as on the types of benefits that are subject to that fee. The maximum fee is typically 20%. And if your case involves total or partial disability, your attorney generally can’t receive more than 20% of the amount that would legally be due for 364 weeks of permanent total disability. The Commission may approve additional fees, but only after a hearing.
The state also prohibits charging attorneys’ fees on certain types of benefits, like medical expenses or temporary disability compensation that the insurance company hasn’t refused to pay. And when injured workers receive at least the legal minimum compensation for certain types of undisputed injuries, like the loss of a limb or a spinal fracture, their lawyers can’t collect more than a nominal $100 fee. (8 Ill. Comp. Stat. 305/16a (2019).)
Because 20% is relatively low contingency fee, and because worker’s comp cases often involve a lot of work, it’s rare for lawyers to agree to a fee that’s lower than the legal maximum. But if your injuries are relatively minor and your claim can be quickly resolved, you might be able to negotiate with your lawyer for reduced fee.
In addition to attorneys’ fees, there are other costs of pursuing a worker’s comp case, including the fees for expert witnesses (such as doctors who testify at a deposition or hearing) and medical records requests. While your lawyer can try to limit legal costs, they’re usually unavoidable. Without medical evidence and expert testimony, it may be impossible to win your claim.
Most workers’ comp lawyers will not ask you to cover costs up front. Instead, they will pay the expenses and deduct them from your settlement or award. Additionally, many lawyers will forgive the costs if you don’t receive a settlement or award. This isn’t always the case, however, so be sure to ask how costs will be handled before you agree to hire a lawyer.
You should discuss fees and costs with your lawyer at your initial consultation, before signing a fee agreement. If you’re considering a settlement, your lawyer should explain how much in attorneys’ fees and costs will be deducted—and whether the contingency fee will be calculated before or after the costs are subtracted.
You should also ask your attorney about the other deductions that may be taken out of your workers’ comp settlement or award, including amounts for unpaid medical bills, unpaid child support, and reimbursements for Medicare or unemployment benefits you received while the insurance company was denying your claim.
The Illinois Workers’ Compensation Commission must approve your lawyer’s fees. The attorney will file your fee agreement with the Commission. If your case goes to trial, the workers’ comp judge will approve fees and costs in the written decision. If your case settles, legal fees and costs will be included in the settlement paperwork, which the judge must review. Without the Commission’s approval, your lawyer cannot receive a fee. (8 Ill. Comp. Stat. 305/16a (2019).)
