Cost is one of the biggest reasons people hesitate to hire a personal injury attorney in Arizona. The fear of large hourly bills on top of medical expenses and lost wages is completely understandable. The good news is that personal injury attorneys in Arizona — including Caruso Injury Law — almost universally work on a contingency fee basis, meaning you pay nothing out of pocket and owe no attorney fee unless your case results in a recovery.

How Contingency Fees Work

Under a contingency fee agreement, your attorney receives a percentage of the settlement or judgment at the conclusion of your case. If you recover nothing, you owe nothing in attorney fees. The typical contingency fee in Arizona personal injury cases is 33% to 40% of the gross recovery, with the percentage sometimes increasing if the case requires litigation or trial.

A common structure is: 33.3% if the case settles before a lawsuit is filed, 40% if a lawsuit is filed and the case settles before trial, and sometimes higher if the case proceeds to a full trial. These percentages are negotiable in some circumstances, and the specific agreement should be clearly spelled out in your retainer contract.

What About Case Costs?

Attorney fees and case costs are different things. In addition to the contingency fee, personal injury cases incur out-of-pocket costs for: obtaining medical records and bills, filing fees if a lawsuit is filed, expert witness fees (accident reconstructionists, medical experts, economic experts), deposition transcript costs, process server fees, and investigative costs.

Most plaintiff's attorneys advance these costs on your behalf and are reimbursed from the settlement proceeds, along with their contingency fee. Make sure your retainer agreement clearly explains how costs are handled — specifically whether costs are deducted before or after the contingency fee is calculated, as this can affect your net recovery.

An Example of How Fees and Costs Work

Suppose your case settles for $100,000. Your attorney's contingency fee is 33% = $33,000. Case costs advanced by the attorney total $3,000. Your net recovery is $100,000 − $33,000 − $3,000 = $64,000. Compare this to an unrepresented claimant who accepts the insurer's first offer of $25,000, keeps all of it, but leaves $39,000 on the table. Studies consistently show represented claimants recover significantly more net of fees than unrepresented ones.

Are There Hidden Fees to Watch Out For?

Reputable personal injury attorneys are transparent about their fees. Be wary of any attorney who is vague about their fee structure, charges processing or administrative fees on top of the contingency percentage, or is unwilling to put the full agreement in a written retainer contract. Ask specifically: Is the contingency percentage calculated on the gross recovery or the net (after costs)? Who advances costs, and what happens if the case is lost?

Frequently Asked Questions

Do I have to pay anything upfront?

No. A true contingency fee arrangement requires zero upfront payment. You should not be asked for a retainer deposit or any initial fee to get started. If an attorney asks for money upfront in a personal injury case, that is a red flag.

What if my case is worth very little — is it still worth hiring an attorney?

It depends on the case. For very minor fender-benders with minimal injury, the economics of a contingency fee may not work for either party. However, many people underestimate their case value — and an initial free consultation can help you understand whether representation makes sense for your specific situation.

Can I negotiate the contingency percentage?

Sometimes. Factors like a clear-liability case with strong damages, multiple defendants with good coverage, or a sophisticated client may support a lower percentage negotiation. It never hurts to ask, though most plaintiff's firms have standard rates that reflect the risk they take on every case.

What happens if I fire my attorney mid-case?

You have the right to change attorneys at any time in Arizona. Your former attorney typically has a lien on any eventual recovery for fees earned on the work already performed, based on a quantum meruit (reasonable value of services) theory. Your new attorney and former attorney would split the contingency fee at case resolution. This should not deter you from seeking new counsel if you are unhappy with your current representation.

Is a free consultation really free?

At Caruso Injury Law, yes — completely. No obligation, no pressure, and the consultation is with the attorney directly, not a paralegal or intake coordinator. We use the consultation to evaluate your case honestly and tell you what we think it is worth, regardless of whether you hire us.

Injured in Arizona? Get a Free Case Review Today

Navigating a personal injury claim alone — especially against a well-funded insurance company — is difficult. Attorney Alec Caruso spent years on the inside defending insurance companies before switching sides to fight for Arizona injury victims. That insider knowledge is what he brings to every case.

Call Caruso Injury Law 24/7 at (602) 247-8600, or request your free case review online. You pay nothing unless we win.

This article was written and reviewed by Alec J. Caruso, Esq., licensed Arizona personal injury attorney.