Workers' Compensation — No Win No Fee
Workers' compensation is a no-fault insurance system that provides benefits to employees injured on the job. Attorneys in workers' comp cases work on a contingency basis with fees regulated by state law — typically 15% to 25% of the recovery.
How Does Workers' Compensation Work?
Direct Answer: Workers' compensation is a state-mandated no-fault insurance system. Injured employees receive medical benefits and wage replacement regardless of who caused the injury. Attorney fees are typically 15%–20% and must be approved by the workers' comp board — lower than standard contingency fees.
Workers' compensation is a state-mandated insurance programme that requires employers to carry insurance covering employees who suffer work-related injuries or illnesses. It operates as a no-fault system: the employee receives benefits regardless of who caused the injury. In exchange, the employee gives up the right to sue the employer for negligence (the "exclusive remedy" doctrine).
Types of Benefits
- Medical benefits — coverage for all reasonable and necessary medical treatment
- Temporary total disability (TTD) — wage replacement while unable to work, typically ⅔ of the average weekly wage
- Temporary partial disability (TPD) — benefits when you can work but at reduced capacity
- Permanent partial disability (PPD) — compensation for lasting impairment after maximum medical improvement
- Permanent total disability (PTD) — ongoing benefits when you are permanently unable to work
- Death benefits — payments to surviving dependents, plus funeral expenses
Third-Party Claims
While the exclusive remedy doctrine bars negligence claims against your employer, you may have a third-party claim against other responsible parties. For example, if you were injured by defective equipment, you may sue the manufacturer under product liability. If injured in a vehicle accident while working, you may sue the other driver. These third-party claims are handled on standard contingency fees (33⅓%–40%).
Regulated Attorney Fees
Unlike standard personal injury cases, workers' compensation attorney fees are regulated by state law. Most states cap fees at 15% to 25% of the benefits recovered, and the fee must be approved by the workers' compensation judge or board. This ensures that injured workers retain a larger share of their benefits.
Frequently Asked Questions
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Where this applies: Contingency fee rules are set state by state. Check your own state's rules before acting.
Sources for this page
Every rule stated above is based on the primary sources below. Each link goes to the legislation, court rule or regulator itself so you can check it. Last verified 2 August 2026.
- ABA Model Rule 1.5 (Fees)
Model, not law. Each state adopts its own version. Rule 1.5(d) bars contingency fees in most domestic relations matters and in criminal defence.
- Cornell LII — contingency fee
- Federal Rule of Civil Procedure 54(d) (costs to the prevailing party)
A losing plaintiff may be ordered to pay the defendant's taxable costs. There is no US equivalent of QOCS.
Who wrote and checked this page
- Written and published by
- Edward & Amaury Solicitors (Edward & Amaury Ltd, company no. 12195443), regulated by the Solicitors Regulation Authority under no. 800525.
- Legal review
- This page has not yet been through independent legal review. It is written from the primary sources listed below, which you can check directly.
- Review dates
- Last reviewed 2 August 2026. Next review due 2 February 2027.
Fee rules change. California’s medical malpractice fee limits changed on 1 January 2023, and the QOCS rules in England and Wales changed on 6 April 2023. If you spot something out of date, tell us — we publish corrections.