Getting compensation payments upfront before a claim is settled

147 questions have been answered below, why not ask your own?

The regulated personal injury compensation claims sector has literally thousands of companies offering their services.  With this in mind, the consumer should be aware that not all companies are worthy and that not every piece of advertising you see can be counted on as being the level of service that you will receive. Be wary of any claims company or solicitor that offers upfront payments to induce you to place your claim for compensation with them.  Such activities are certainly not allowed within the framework of the current regulations. As we’ve said many times, it’s really important to make sure your claim is placed securely and with a regulated firm such as Direct2Compensation that you know that you can trust.

Interim payments

One question that comes up from time-to-time from claimants (and it’s usually those that are facing pretty serious injuries and lengthy periods of absence from work and lost income that ask this) is about the possibility of getting upfront payments in respect of their claim for personal injury compensation.  Looking at it from that perspective, if you are used to earning a couple of thousand pounds each month and then you earn nothing whilst you are injured, your main concern will be how to pay the bills.

However, unless there is a very serious injury that will require multiple surgeries and therefore making the length of time for that claim to be pursued unusually long, it is very difficult to get any interim payments of compensation.  Interim payments are made by a 3rd party that has already admitted liability.  Therefore they agree that they will be liable to compensate a claimant but are making an interim payment to cover a possible loss of income or for necessary expenses incurred as a result of the injuries and effect that they are having on a claimants day-to-day life.  It is fair to say that if you are making a claim for a relatively minor injury, such as a broken ankle, an interim payment is very unlikely.  It should be remembered of course, that any interim payment made will be a part of the total value of any settlement and will be deducted from any final settlement that is agreed between yourself, your solicitor and the 3rd party.

Beware of inducements

Claims management companies are subject to legal operating restrictions and regulated by Financial Conduct Authority.  We have heard examples of clients that have been charged interest on any ‘upfront’ settlement payments made to them, which when deducted from their final settlement has left them virtually nothing and from other clients that have never gone on to receive their final settlement.

Direct2Compensation never have and never will make a payment to any person in order to secure their claim. If your injuries and losses are such that you warrant an interim payment, we’ll do all that we can to get our solicitors to get the 3rd party to agree to one for you.  However, the key is getting an admission of liability and this can sometimes take time.

147 questions have been answered below, why not ask your own?

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Questions & Answers


  1. Emma

    My settlement cheque for compensation has been sent and received by the solicitors. How long do they have before it has to be paid out? It’s been 4 working days since they received it . Thank you

    Reply
    • Ian Morris

      Once settlement is received by the claimant Solicitor, it will clear in their client account (which means that they cannot access it for their own ends) and then the due balance will be forwarded to the claimant within a short space of time. In your case, I would anticipate that settlement will be with you very soon.

      Reply
  2. Michael

    I was offered an interim payment but I was then told that the client was declining it due to me seeing their psychiatrist first?

    Reply
    • Ian Morris

      It is likely that they simply wish to know what the report of the psychiatrist will hold before deciding on the interim and final settlement awards.

      Reply
  3. Theresa

    If liability is admitted,2 interim payments are paid,then the defendants say it was your fault do you have 2 pay back interims,thanks

    Reply
    • Ian Morris

      If the defendant had uncovered evidence that showed you had mislead the claims process and that your actions had lead to them admitting liability where they would otherwise have denied it, you would have to repay any settlement and could face legal action.

      If however, the defendant has now changed their mind and wishes to withdraw their admission, they will need to provide strong evidence to support such a change and you should discuss that, along with the previously provided interim awards with your Solicitor.

      Reply
  4. Ian Morris

    There is no set rule for such payments, but if the fee was due on the 8th, your Solicitor should be chasing it if it has yet to arrive with them.

    Reply
  5. Matthew

    Hi many thanks. I totally understand. Just got a appointment with orthopedic surgeon now aswell. But solicitor said they didn’t want to say what it could be worth, untill they have the scans etc, but surely must have a little idea of the minimum pay out .

    Reply
    • Ian Morris

      Solicitors are understandably, very wary of giving what could end up being an inaccurate personal injury compensation settlement estimate to a claimant – at least until all scans and medical reporting has been completed. As you can imagine, there can be a vast difference in potential settlement values depending on the outcome of medical investigations, scans, the contents of an experts report & the prognosis that the expert gives. However, your Solicitor may be able to give an ‘off the record’ estimate of a best case and worse case scenario claim settlement value.

      Reply
  6. Matthew

    Hi was in a bus crash company admitted liability. Have had physio and a private medical . Said Ive got 70% movement in lumbar and servical spine, been put forward for a MRI with a orphapedic team, as walking and standing is moderate to serve restricted and in neck. But I have still not been told what my claim may be worth – if anything?!

    Reply
    • Ian Morris

      If you have undergone a medical assessment arranged by your Solicitor, the experts report will be passed to a Barrister to consider and offer advice as to an appropriate level of compensation. Have you spoken with your Solicitor about this?

      Unfortunately, it would not be possible for us – or indeed helpful – to suggest a claim value as we are simply not in sight of the full facts and medical history information. However, it is clear that your claim will certainly have a settlement value that could be substantial.

      Reply
  7. Raine

    I was injured at work and despite changes in the way the visit to that home address are now conducted, my employer does not accept any failure on their part to Adequately protect staff. I have had 2 operations so far to repair the damage to my hand, as a nurse my hands are essential!
    They are offering £4000 as a goodwill gesture but I must sign to say I will take it as full settlement. Is this the right route to take? I requested a counter offer of £20,000 for recompense of list income, expenses and suffering, but they have refused and offered the 4K with terms as written above

    Reply
    • Ian Morris

      Do you have a Solicitor acting for you? If not, we would not recommend that you accept any such offer until you have had qualified specialist advice.

      Reply
  8. Carla

    I have had an interim payment & the solicitor took off there 25% is this correct procedure. I’m still waiting for final settlement figure .

    Reply
    • Ian Morris

      So long as the total deducted at the end of the claims process does not exceed the agreed amount (usually 25%) of the total compensation, then their deduction from the interim award is correct.

      Reply
  9. Angela

    My solicitors as taken 15% off my interm payment before I get my medical why have they done this i tbought that they would do this after the settlement as been accepted is this right?

    Reply
    • Ian Morris

      So long as the total deduction from the interim and final settlement does not exceed the amount you agreed to in your Conditional Fee Agreement then your Solicitor is acting correctly.

      Reply
  10. NOEL

    If a company has admitted Liability in a personal injury claim and I have applied for an interim payment, how long should it take for them to agree or disagree payment?

    Reply
    • Ian Morris

      Even in a case where liability is admitted, a defendant is not obliged to make an interim payment, unless directed to do by in a court judgement. However, in cases where liability is not in dispute, it is usually possible to obtain an interim award. A defendant will usually respond to a request for an interim award within 15 working days and if they then agree to a payment, that should follow fairly quickly afterwards.

      Reply
  11. David williams

    I had a accident at work I am self employed and I work on a regular basis for this company in there yard.. It happened may 2018..ambulance was called taken to hospital.. Ankle was broken in 2 places.. Surgery of metal plates the nxt day.. Not sure it was recorded in accident book.. But would there be records from the hospital ambulance etc.. Still available to verify thanks

    Reply
    • Ian Morris

      We need to speak with you about your accident at work so that we can ascertain whether or not you can pursue a claim for personal injury compensation.

      In terms of evidence to support your claim, if an Ambulance attended the scene of the incident, it is likely that an accident report would have been completed by the company in question and there is of course also going to be ambulance records that confirm that you were treated at the scene and conveyed to Hospital with injury. Therefore, it should not be too problematic to prove that you were injured in the location claimed.

      Whether or not you can pursue a claim will depend on what caused the injury and how it happened. Please call us on 01225430285 so that we can speak with you about your situation in more detail. If you would prefer, we can call you or you can make further contact with us by email (justice@direct2compensation.co.uk) too.

      Reply
  12. Sarah

    So, when the interim payment (s) are deducted from the payout, that’s means the years prior have no compensation, it’s seams to me the compensation starts as the claim is settled.

    Reply
    • Ian Morris

      An interim award will be taken from the total agreed settlement – which covers the claimant from the date of their injury going forwards, with the settlement value reached on the basis of injury severity, prognosis and loss of income.

      Reply
  13. Berty

    Hello I had an accident at work back in may 2018 witch has resulted in a laceration and in me having permanent nerve damage in my right hand between my index and thumb, they accepted liability, prognosis period of 18 months has passed In October 2019 and seen my second hand specialist in February 2020 and he has determined it permanent damage, what is the compensation range for such and injury and should I really still be waiting for settlement after prognosis period passed in last year?

    Reply
    • Ian Morris

      Given the permanent injury you have sustained and the impact that such an injury will have on you (given that your injury is to the hand – a vital body part for independence, dexterity and personal ability), it is not a surprise that your claim has not settled at this time. Although 2 years has passed since your accident, it is not unusual for such a case scenario to see a claim take a long while to settle.

      Reply
  14. candice

    Hi
    My father has recently had a botched cosmetic surgery. The surgeon is desperate to avoid court. His insurers have today offered my father £5000 now as a gesture of good will. They have made it clear that this is not an admittance of liability. They have also stated, as did the surgeon, that all future surgery to rectify the damage will be free and after the final surgery they will re-access the situation and then possibly offer more compensation. If my father accepts this money is he also, in a legal sense, accepting that there is no liability and therefore forfeiting any right to take the surgeon to court in the future ?

    Reply
    • Ian Morris

      Given the fact that there has been an offer of £5000 (not an inconsiderable sum!), it indicates that the ‘defendant’ is of the view that they need to do something. Accepting their offer is likely to render any future legal claim null and void, so it would be unwise to accept that offer (even with the further ‘free’ treatment’ unless it can be guaranteed that it is not taken on a full and final settlement basis.

      The sensible thing to do in this case would be to make formal contact with a Solicitor to discuss the matter as it may well be that their offer would be seen as derisory.

      Reply
  15. Noel

    I made a personal injury claim and the defendant insurers admitted liability within two weeks. I then asked for an interim payment as I have been off work for some time. How long should it take to receive a payment?

    Reply
    • Ian Morris

      Even in cases where liability is admitted, the defendants are not obliged in law to provide an interim settlement, although in most cases they will consider a reasonable interim payment to assist a claimant where they may have out of pocket expenses or loss of income.

      When an interim payment is agreed to by a defendant, it would usually be with the claimant fairly quickly – within 3-6 weeks.

      Reply
  16. Dan

    Hello,
    How is the interim payment calculated?
    Is it a set percentage from the final settlement?

    I ask these questions as I haven’t requested for an interim payment as I am still receiving a full pay packet, and they haven’t supplied me with the final settlement figure.

    I had a low impact car accident[10th Nov 2019], and the 3rd party agreed full liability within the next day, the injuries I had suffered are damage to both knees(which an MRI scan shows the damage and may require surgery) whiplash which is lasting longer than 5months, and lower back pain which has eased a lot but isn’t like it was before the accident.

    I have had a medical provided by my solicitors who states I should recover all injuries by 5months. Which isn’t the case, How much would you recommend I should receive?
    they have offered £2,500.00 which I believe is very low (this was from my solicitors after the medical). I rejected pending MRI from my own private health care.

    Hope you can help answering the questions as I have never done anything like this and its all totally confusing.

    Reply
    • Ian Morris

      As you may appreciate, without having full sight of medical records and the opinion of both a medical expert or expert Counsel, it is not possible to offer specific claim values. However, it would appear that your view of the offer being low is one we would agree with. Therefore, awaiting the outcome of the MRI scan you mention is a prudent move.

      In terms of interim awards, there is no hard and fast method for calculating the amount that can be obtained. An interim award is not something that you can enforce, but instead you can request the same when liability is admitted. In cases where the full extent of an injury or loss is not fully appreciated – such as your situation, a defendant may make an interim payment to assist a claimant who may be in financial hardship as a result of the injuries sustained or may require specific equipment or therapies etc. In most cases, a Solicitor acting for a claimant will discuss the appropriate interim payment ‘offer’ to make to a defendant with the claimant and it would usually be for cost of living expenses or some lost income or expenses.

      The amount of any interim payment will be included in the final settlement value. For example, if a claimant was given an interim award of £1,000 and the final settlement value was £10,000, the final payment would be £9,000 as £1,000 had already be awarded. Interim awards and final settlement values will be subject to the 25% deduction agreed in the Conditional Fee Agreement signed when instructing the Solicitor on a No Win No Fee basis.

      Reply
  17. Michael

    I tore my ACL and meniscus in my left knee on the 20/10/19 in work due to accident. My company has accepted liability and I am currently awaiting a operation for ACL reconstruction and meniscus repair. I am currently on company sick pay which is literally just above SSP so my money situation is bad. Looking forward with the coronavirus at present I think I’m looking at operation and recovery time going past another 12 months minimum. Would I be eligible for any interim payments as I’m used to bringing home £1800 p/m and gonna be a while before I get that again.

    Reply
    • Ian Morris

      Do you have a Solicitor acting for you in your claim for personal injury compensation? If so, they should be enquiring as to the possibility of obtaining an interim award – perhaps some loss of earnings etc. As liability has been admitted, there is a possibility that you could get such payments. However, there is no legal requirement for interim payments to be made.

      If you are not currently represented by a specialist personal injury Solicitor, please call us on 01225430285. Our No Win No Fee service can help you instruct a specialist Solicitor to ensure that your legal rights are upheld and that you are appropriately compensated for your injuries.

      Reply
  18. William

    My accident was over 2 Christmas ago I’ve still not received a interim payment even tho my solicitor has stated they received it and were awaiting it to clear! Should I have received this by now also he is saying that I can’t get my loss of earnings even tho I’ve provided everything! I’m very unhappy with the law company’s service and lack of communication with me

    Reply
    • Ian Morris

      If your Solicitor has received your interim award, there should be little delay in them then forwarding payment to you. Of course, you need to allow payment to clear with them and be processed, but that should not take too long.

      Reply
  19. Frankie

    Hi,

    I have an ongoing personnel injury claim, the injury was in 2016 and I appointed the solicitor in 2017. I ruptured the UCL ligament in my thumb on my dominant hand at a work event, they admitted liability very early on (in 2017). I’ve been offered an interim payment of £10,000 but not yet received it. My question is, are my solicitors supposed to deduct 25% from my interim payment? As I’ve been getting conflicting information from my barrister and my solicitor and now have no idea where I stand with this.

    Also, am I able to request a mediation meeting between the two sides rather than going to court? As liability was admitted at such an early stage, all medical reports have been attained which the defence is not contesting, I’ve been granted the interim payment and recently at a Costs and Case Management Conference both sides stated that this could be dealt with in mediation rather than court. However, I feel that my solicitor seems to be much more focused on going to court than settling this with my best interests in mind, I’m concerned that this may be due to their fee’s being 5x as much if it does go to court. I’m not concerned about my case going to court but rather more concerned with the time frame, this has been ongoing for several years already and the court date is set for April 2021, I feel if this can be resolved now through mediation it should be. Unfortunately I have very little faith or trust in my solicitor due to past mistakes with my case, what would you suggest in my situation? Should I push for mediation or allow it to go to court?

    Many thanks for any help you can offer!

    Reply
    • Ian Morris

      As you will appreciate, it is not possible for us to comment on the actions of your Solicitor in terms of whether or not they are acting in your best interests. Whilst your concerns about the court route are understandable, your Solicitor is most likely to be of the view that you will receive the best outcome by taking that course of action – or at least keeping it on the table.

      If you are not happy with your Solicitors actions and feel that the handling of your claim should be reviewed, you should refer to the complaints policy of your current Solicitor and allow a senior partner within their firm (who has not handled your claim), to review the work undertaken and respond to you.

      With regards to the deduction from your compensation, the Solicitor should not deduct any more than a maximum of 25% of any compensation awarded to you IN TOTAL. That should include the interim award and your final settlement. Should any element of your final settlement include future loss of income or future medical costs, there should be no deduction from that part of your claim.

      Reply
  20. Angela

    I have requested a interim payment and they said I have to attend a medical. I don’t understand why, as they have accepted liability already! Why have they requested this as my injuries are very serious?

    Reply
    • Ian Morris

      The defendant may well have accepted liability – that is them admitting that their insured was negligent and that they are therefore liable to compensate you for your injuries and losses. What they now need to do is to gain an understanding of the severity of your injuries and the longer term prognosis for your recovery or otherwise. The only way to do this is to have an assessment by an independent medical expert. The expert will provide a report that can then be used to reach a fair settlement valuation for your claim. You have nothing to fear by attending a medical, indeed, if you are severely injured, a medical experts report will benefit your claim and your settlement.

      Reply
  21. James

    Hi I have been waiting 2 years so far. I suffered a car crash with, back, bowel and psychological injuries. My claim is still ongoing and am beginning to feel the strain on living of disability benefits since the accident. I have to see further specialists this year and doubt that a settlement will come anytime soon. Would you think an interim payment be made in these circumstances?

    Reply
    • Ian Morris

      Yes, if liability has been admitted in this claim, you could request an interim payment.

      Reply
  22. Trudi

    I have had a personal injury claim that has been settled. This was made 1month after the accident claim. The injury specialist have recieved payment but have not paid me. The claim was made on 27th july 2019 settlement was october . Have emailed solicitor about this was told they would chase up with their accounts department this was 3 weeks ago and still no check recieved as yet. What can i do.

    Reply
    • Ian Morris

      The amount of time you have waited for payment to forwarded to you is excessive and unacceptable. We would recommend that you make a formal complaint to your Solicitor regarding the delay in making payment.

      Reply
    • Chelsea

      I was involved in an accident. i was ran over in 2017 by a minibus, i have global weakness and crps due to the accident, am a driver but my car is manual and am finding it difficult with the pain. can i ask for an interim payment to get an automatic?

      Reply
      • Ian Morris

        If you have an ongoing claim and liability has been admitted, your Solicitor could certainly ask for an interim payment. In order to get a payment of sufficient value for a new vehicle, you would likely need some medical evidence to demonstrate that an automatic vehicle would be a benefit to you.

        Reply
  23. Leeanne

    Hello,
    I have been waiting three years now to settle my case after being injured in a gas explosion. My solicitor contacted me today and asked me to request a £5k interim payment, I said I had no requirement to request the money up front and he then said could I at least agree to £1k upfront. I feel like there’s more to this than they are telling me what are the pros and cons of requesting an interim payment? And why after all this time are they suggesting it now? Thank you

    Reply
    • Ian Morris

      Interim awards are usually requested when a claimant is in dire straights financially and needs some funds to enable them to continue to ‘survive’ before final settlement is made. As to why your Solicitor wants you to request an interim award, we cannot say – but you should question them!

      Reply
  24. Ian

    I have had a interim payment of £15.000 back in 2018. They have admitted liability and the sum offered was £65.000 but I refused it because my solicitor said it is worth between £190.000 – £150.000. Can I ask for another interim payment of £20.000 and will they accept it?

    Reply
    • Ian Morris

      You can of course ask for a further interim award. Whether or not the defendant will agree to it is unclear.

      Reply
  25. Lesley

    Can a interim payment be deducted from my insurance claim, knowing that the other party has admitted liability?

    Reply
    • Ian Morris

      You can request an interim payment if liability is admitted. Should an interim payment be made, it will be included in the total final settlement amount.

      Reply
  26. Aj

    Hi,

    My solicitors have values my personal injury claim between 3200-3800. My medical records and the opinion of an expert has been forwarded to the third party who have offered a total settlement of 4000 which would mean I’d have 2.5 after fee’s etc. My solicitors have not yet made the offer to them. Is this normal? Should I wait as liability has been accepted and are they trying to accept to settle and pay less?

    Reply
    • Ian Morris

      We would always advocate accepting the advice of your instructed Solicitor. Your Solicitor knows the facts of the claim and will be acting in your best interests. In this case, it appears that the defendant has valued your claim settlement as being higher than your Solicitor did – this is a good result! If this is the first offer, your Solicitor may advise you to reject the offer and see if it can be pushed a little higher.

      Reply
  27. RACHEL

    Hi, I’m currently waiting on a settlement that i accepted on the 29th of November 2019, it was with the third party, how long will i have to wait to receive my 75% in my account?

    Reply
    • Ian Morris

      There is not a definitive timescale, but we would anticipate that you will receive your settlement before Christmas.

      Reply
  28. Gavin

    Hi there,
    My solicitor has made an application to the court regarding an interim payment as the other side failed to contact my solicitor by the deadline liability has been admitted also how long would it take to receive funds if the court award me an interim payment? Also what’s the time frame on submitting an application to the court and for them to decide etc thankyou.

    Reply
    • Ian Morris

      In most cases the timescale of a court hearing will depend on the volume of business being conducted in the court. Commonly, it would be 1-2 months to get a listing in court – although that could be quicker or longer!

      Once the courts have decided on an interim award and made an order, receiving payment should be around 3-4 weeks.

      Reply
  29. Michael

    I had an accident at work and after a year of waiting they have accepted liability. I received an offer of £8,000, but my solicitors told be not to accept it as they’re going for a lot more. We have asked for an interim payment and I wonder how long that would take to come through as it is going to be asked for in court, and also how much will it be for?

    Reply
    • Ian Morris

      If your Solicitor is advising you against accepting the initial offer of £8,000 you have made the right choice in following their advice. Regarding the interim award issue, once an agreement has been reached to make such a payment and the amount agreed between your Solicitor, you and the defendant, receiving payment should be a matter of a few weeks.

      Reply
      • Michael

        Hi thanks for the reply they accepted to pay me 7.000 up front on the 20th December, but still waiting for payment, why does it take so long?

        Reply
        • Ian Morris

          The usual period of 3-5 weeks is frustrating. In your case, you would also have to take Christmas and the reduced service offered during the holiday period as a delay in your settlement.

          Reply
  30. Damien

    Hi, I had been offered interim settlement of 5% of the maximum benefit which insurer said would be £10000. So it’s £500 for interim settlement paid now. I understand interim settlement it’s or should be little amount to help with day to day expenses. I was 6 months of work and have a lots of debts to pay now and I don’t feel like £500 would help a lot. Can I refuse or negotiate for let say 10%? I haven’t got solicitor and this is a time to get some involved I think. I’m not accepted anything yet.

    Reply
    • Ian Morris

      You mention that you do not have a Solicitor representing you. Whilst you appear to have reached a point where the defendants have admitted liability in this matter (which is a good achievement), it is now clear that you would benefit from having specialist legal representation to ensure that your rights are protected and enforced in full. Whilst instructing a specialist Solicitor to act for you would see you signing up to a No Win No Fee agreement that would mean you would contribute up to 25% of any award made to you, it would still represent the best way forward given the appropriate professional and qualified representation you would receive.

      You can negotiate on interim and final settlements and you are wise to not accept anything at this stage. Our recommendation would be to ask us to contact you so that we can take some details from you and place your claim with a suitably experienced and qualified expert Solicitor to represent your best interests.

      Reply
  31. Theresa

    If a company admits liability, then your solicitor asks for an interim payment, what if you then lose the case, do you have to give the interim back? Thanks.

    Reply
    • Ian Morris

      An interim payment will not be made unless an admission of liability has been made by the defendant in a claim.

      Reply
  32. Lee

    I went to court 2 weeks ago and won liability against my employer for my injury. The judge ordered that my employer pay a £20000 interim payment until settlement is agreed.
    How long have they got to pay the interim payment to me?

    Reply
    • Ian Morris

      If the Judge in your case did not prescribe a deadline, it would be reasonable to assume that the interim settlement should be awarded within 3-5 weeks of the date of the hearing.

      Reply
  33. Dee

    So I had a personal injury claim that was settled and I had accepted it for £1067. My solicitor sent me a confirmation letter which I signed and returned back. Inside the letter it stated that I will receive the compensation money in 28 days, the letter was signed and sent through on the 8th of August 2019, it is the 8th of October today and I still haven’t received anything, I have also emailed my solicitor asking for further details regarding it weeks ago and still haven’t been responded to, should I be worried?

    Reply
    • Ian Morris

      The most likely issue is that the defendants have been slow in making settlement to your Solicitor and that this is the reason that you have not received your settlement. However, your Solicitor should be keeping you abreast of the situation and advising you appropriately. Have you contacted your Solicitor on the phone to inform them of your worry?

      Reply
  34. Vicki

    My solicitor has agreed a settlement and I will get paid in 2 instalments. Is it fair that my solicitor takes out all her fees owing on the first instalment?

    Reply
    • Ian Morris

      Of course, it is reasonable for a Solicitor to deduct their fees, but in most cases a Solicitor will work with the claimant to ‘share’ the burden of waiting for settlement to arrive.

      Reply
  35. Carel

    How long can it take after court order to pay out the interim payment and on my interim payment, can my solicitor take a deduction from the monies?

    Reply
    • Ian Morris

      In most cases, once an order has been made from the courts, receipt of funds should be fairly speedy. If there is no specified timescale made in the order, we would anticipate you should have the interim award within 3-5 weeks.

      With regards to the deductions from an agreed personal injury settlement, a Solicitor may make a deduction from both the interim award and final settlement. This is fine, as long as the total deduction does not exceed 25% of the total settlement and the cost of any provided ATE cover.

      Reply
  36. EAMONN

    Can a second interim payment be made by defendant without medical records?

    Reply
    • Ian Morris

      It is unusual for a 2nd interim payment to be made, but it can be requested and received.

      Reply
  37. Donna

    I have been told my 3rd party have issued an 1000 interim payment to my solicitor how long before I will receive it

    Reply
    • Ian Morris

      Your Solicitor will forward your interim payment to you as soon as they have received cleared funds from the defendant. In most cases, defendants will have sent any settlement to the Solicitor within 21 working days, so it usually takes around 4 weeks or so to get the payment through. In some cases, it can take longer but it shouldn’t be too long.

      Reply
  38. Michelle

    I received compensation for my son who will be 16 on the 24th of December 2019. Can I cash my sons cheque as it’s in my name?

    Reply
    • Ian Morris

      You need to be aware that the compensation you have received is for your Son and not for you. Whilst you can spend reasonable amounts on items that will be of benefit to your Son, UK law would give you a legal responsibility to ensure that his compensation is available for him when he reaches the age of 18 years.

      Reply
  39. Caroline

    How long does it take to get a interim payment once applied for?

    Reply
    • Ian Morris

      The process of receiving a response to a request for an interim award from a defendant would usually be somewhere between 2-4 weeks. If the response is positive and an agreed interim settlement value is reached, one would expect to receive the interim award within 3-4 weeks of the agreement on the value.

      Reply
  40. jo

    I have succeeded in my claim and the settlement has been paid into my Solicitors bank account. However, I have been waiting nearly 2 weeks for my Solicitor to pass my settlement on to me. How long can my Solicitor keep my money?

    Reply
    • Ian Morris

      If you are sure that your Solicitor has received settlement , you should not have to wait too long to receive your settlement from the Solicitor. In most cases, the settlement should be within you within 21 days of receipt. However, in some circumstances this period can be longer. The amount of time that your Solicitor can take to pass settlement to you should be explained in the term and conditions of the Conditional Fee Agreement that you signed.

      Reply
  41. Gary

    My father has been offered a interim payment and I’m LPA. The Solicitors are holding back the sum of money and are only offering to give him a small amount of it because they say they don’t feel he is in sound mind to take care of his own finances, I feel they are basically saying my LPA does not stand for anything!

    My father would like to do things and wants me to take charge rather than the money just sitting in the Solicitors bank and control or have a say over what he can and can’t do with his money. What if any, are our options?

    Reply
    • Ian Morris

      If you have a legal document confirming your status as a legal power of attorney for your Father, then this document will need to be presented to the Solicitors. If they still refuse to allow release of the award, you could complain to them and seek an independent review from a senior partner within the firm. If that review does not give you a solution you can accept, you could then refer this matter on to the legal ombudsman or indeed, the courts.

      You may wish to seek advice from the Citizens Advice Bureau on this matter too.

      Reply
  42. Dee

    Hello,
    I was involved in an RTC in Feb 2019. I was a passenger and occurred multiple injuries I have been sent a form from the insurance asking to confirm if I will accept the Interim payment offer of £1000. My question is, if I refuse what will this do to my overall claim? Will it affect it in anyway?

    Reply
    • Ian Morris

      Is there any reason why you would wish to refuse the interim award? An interim award is usually an amount that is far smaller than the expected settlement and is made to simply help the claimant cover some out of pocket expenses caused by the incident. Refusing the interim settlement should not impact on your claim but you should certainly discuss this with your Solicitor before you make any final decision.

      Reply
  43. B

    Hi, if im offered an interim payment of £1000 what is my claim actually worth please?

    Reply
    • Ian Morris

      Unfortunately, it is not possible to say what the value of your final settlement will be based upon an interim payment of £1,000.

      Interim payments are usually a small amount and are designed to help with financial pressures felt by someone injured and perhaps unable to earn their usual income.

      Reply
  44. Mark

    Can I get an advance on my personal injury claim?

    Reply
    • Ian Morris

      You cannot obtain an advance on a claim for personal injury compensation. Such payments are not allowed and would contravene regulatory restrictions.

      You can however seek to obtain an interim payment from a defendant should your claim succeed. This would apply once an admission of liability has been obtained by your specialist Solicitor and before the full extent of the claim had been fully agreed.

      Reply
  45. Tracey Hardman

    I’ve been offered 11.500 for injury and anxiety after my solicitor asked for interim payment. Should I take first offer?

    Reply
    • Ian Morris

      Without knowing the full facts of your claim (something we would only know if we had full sight of the file and medical reports etc), it is not possible for us to comment on the appropriate valuation of your claim. However, it is not uncommon for a defendant to make an initial offer at the lower end of the appropriate claim valuation range. As such, you should discuss the offer you have received with your Solicitor, to see if they feel that it is a reasonable offer or whether or not you should reject it and hold out for a better settlement. My gut feeling is that you should reject the offer (unless your Solicitor says otherwise) as you would probably receive a better offer after negotiation.

      Reply
  46. Suzy

    Hi I have just accepted an offer of compensation fully funded by my union, my solicitor has phoned and asked me to sign an authorization to say they can make the Cheque payable to him and he will pay me. Is this normal practice, he says it’s something to do with money laundering?

    Reply
    • Ian Morris

      Yes, that is standard practice and you should not be concerned – as long as you have instructed a bonefide Solicitor. If the Solicitor was instructed via your Union, you need not be concerned.

      Personal Injury Solicitors are obliged to ensure that the money laundering regulations are followed in settlement of the claim. Therefore, the settlement will be paid in to the Solicitors ‘client account’ and then forwarded to you. A client account is not something the Solicitor can access for personal or business gain and offers protection for you as the claimant.

      Reply
      • Suzy

        Great, thank you for taking the time to answer my query, you have put my mind at rest.

        Reply
  47. Tracey

    Hi I have requested interim payment from my sols as awaiting second offer to settle how long does it take to receive?

    Reply
    • Ian Morris

      If the request for an interim settlement is accepted and the amount agreed, it would usually be between 3-5 weeks until the claimant were to receive the agreed sum.

      Reply
  48. Colin

    Hello , I received a letter and cheque for interim payment with deductions as below :
    Defendants offer :
    Less deductions in accordance with our agreement:
    ATE premium:
    Client contribution:
    Rehabilitation:
    All with an amount that’s been deducted
    What does this mean?

    Reply
    • Ian Morris

      Your Solicitor is entitled to deduct any agreed amounts from any settlement that you receive. This should be capped at a total of 25% of any settlement award made to you (exept for any future loss of income or future medical costs) and any ATE premium paid to set up your claim. Claimants used to be able to recover all of their legal costs and ATE premiums, but the Government changed the system at the behest of the Insurance sector to force claimants to pay for ATE premiums and contribute towards their own legal fees. Rehabilitation fees may also need to be recovered from settlement if they are not being paid directly by the defendant.

      Reply
      • Colin

        Thank you for your response,
        So does this mean the all the deductions less the ATE premium amount to the 25% of the settlement? Also with it being an interim payment and my losses haven’t been recovered yet it seems, as the letter i received didn’t specify, do you think there will be further deduction come out of my losses ie loss of earnings, when the final settlement comes in? I understand that the final settlement would already include the interim payment.

        Reply
  49. L legge

    I was injured and have claimed on the afcs.
    I received an interim payment of £6000 and was told this would be reviewed in 12 months. Which takes me to now.
    My injury hasn’t been ‘cured’ as such. Hip injury and I am still doing intense physio.
    I am curious as to whether I will be likely to receive another interim payment as the extend of injury has not be discovered yet as treatment is ongoing.
    Also, how is interim payments calculated? Would I be expected to receive the same when the claim is settled or less (minus the interim of course)?

    Reply
    • Ian Morris

      It is uncommon for more than one interim payment to be made, but it is not impossible to receive a 2nd interim payment (or even additional ones) should it take a long time to fully evaluate an injury and loss to reach a final settlement value. Have a read of our hip injury article for more info on compensation amounts.

      Reply
  50. Eamonn

    Should an interim PAYMENT be agreed is there a limit on that amount while final figure is still to be agreed?

    Reply
    • Ian Morris

      There is no prescribed limit for an interim payment or award in a claim for personal injury compensation. Of course, a defendant will not fund an interim settlement payment that is likely to exceed the total value of the final settlement. In personal injury compensation claims where an interim payment is made, the value of such a payment is usually relatively low and it is common for an interim award to cover an element of agreed loss, such as incurred travel expense or loss of income caused by the accident that lead to the claim.

      Reply
  51. Eamonn

    Once applying for a court date for interim PAYMENT claim, what is the length of time from application to court date?

    Reply
    • Ian Morris

      There is no prescribed timescale for court date provisions. It really depends on the amount of work the court has to deal with and how busy that particular court is.

      Reply
  52. G.B

    After breaking my tooth on a stone found In a shop bought food product, I immediately called to complain. They sent me a jiffy bag to send the sample back to them in and a £10 gift voucher.
    After months of agony and waiting for an NHS dentist to be able to take me and look at the tooth it turns out I need root therapy treatment I have decided from this that I want to press a claim in for the injury.
    Although I cant remember actually receiving the £10 gift card for their shop and even if they did then it most definitely hasn’t been spent. Will the supermarket in question count this as compensation for my injury? If so can I argue that i was in no fit state of mind to understand what I was receiving and therefore the supermarket have taken advantage of me in a vulnerable position?
    Any advice would be greatly appreciated.

    Reply
    • Ian Morris

      The £10 voucher could not be seen as a settlement to any future claim and would not affect your statutory duties to pursue a claim. The £10 voucher is simply an initial act of goodwill and a gesture of apology for your situation. It is not an admission of liability.

      You may have a right to claim compensation, but to do so you’ll need to demonstrate that the stone within the product caused injury and discomfort. The possible cost of dental treatment could be recovered as part of your special damages, but the injury itself would need to be severe enough to warrant instructing a specialist personal injury Solicitor.

      We would be happy to look at this for you.

      Reply
  53. Sean gordon

    What grounds would a interim payment be denied after winning liability from the 3rd party

    Reply
    • Ian Morris

      If liability has not been admitted an interim payment will not be forthcoming, likewise if the amount claimed in an interim payment is excessively high or likely to exceed the value of the settlement, a defendant will deny the claim for such a payment.

      Reply
  54. Lee

    I recently had an interim payment of £5000 how much roughly can I expect for my full settlement?

    Reply
    • Ian Morris

      Without knowing the details of your injury, your recovery and what long term prognosis has been given with regards to your future and the recovery you will make, we could not advise. It is only by reviewing a detailed independent medical experts report that an appropriate value can be assigned to any compensation settlement total.

      Reply
  55. Michal

    Is a lot of tasks fulfilling alone on the shift and being in a hurry something that I can base on as proving the fault of employer when I slip and broken my feet while fast walking?
    Should my employer pay me the average weekly earning when I was not able to work in contract days and hours after accident? I was paid just statutory sick pay.

    Reply
    • Ian Morris

      There is no obligation for an employer to pay your usual salary whilst you are off work – even if the injuries that are forcing you to be away from work were caused in an accident at work. With that in mind, you will most likely find that you are only paid SSP instead of your usual wages.

      However, you may well have a valid claim for compensation. Employers have a duty of care under the Health and Safety at Work Act and safe working regulations to ensure that employees are provided with a safe working environment. Therefore, if the cause of your fall can be attributed to a dangerous working environment you may well succeed with a claim for compensation.

      Reply
  56. SOLOMON ELPHUS

    Can I use my son’s interim payment to insure his car?

    Reply
    • Ian Morris

      Any person can spend their compensation settlement on anything they wish. In cases where a settlement is paid in a claim for a minor, the payment is usually made in to a trust fund or similar that can only be accessed by the claimant upon adulthood.

      Reply
  57. Ian

    Can you have more than one interim payment while waiting for the full settlement?

    Reply
    • Ian Morris

      Yes, it is possible for more than one interim payment to be made during the claims process, although it is unusual. Such incidents would usually occur only in claims of higher value where establishing the full extent of injuries, and subsequent value of the claim will take longer than usual.

      Reply
  58. Jamie

    My partner fell over in a supermarket 6 months ago. Broke her kneecap in two. She has been unable to work since as she underwent major surgery, her kneecap was wired back together. On cruches and unable to drive. The company has admitted full liability, and agreed to pay an interim payment. Her solicitor asked what minimum she would take. She said 2k, thinking on this would it be too much to ask for her lost earnings from last six months. We are struggling without her income, had fallen behind with rent, thanks parents, and likelihood of her being able to return to work anytime soon seems at best a fantasy.

    Thanks in advance.

    Reply
    • Ian Morris

      If liability has been admitted, then it may become possible to agree with the defendant that they will make an interim compensation payment for the loss of income incurred since the accident. However, before such a payment will be agreed, the severity of injury must be agreed by the defendant. This is because they will need to agree that the injury warrants such a long period of lost income. Of course, with the type of injury you describe, there is most likely to be permanent implications as a result of such damage. Such injuries are typical in slipping accident compensation and as long as a medical assessment has been carried out and the report agreed to, an award such as the interim payment you suggest is not unreasonable.

      Reply
  59. Ian Morris

    No legitimate personal injury specialist working within the United Kingdom personal injury legal system will make up-front payments in any claim. Compensation will only be awarded when a defendant insurer has admitted liability and agreed to the level of damages to be paid. Although the Police appear to have assigned fault in this matter, that does not guarantee that a defendant insurer will admit liability.

    Reply
  60. James

    I have received an interim payment from my solicitor in cheque format. I would like to know if I were to cash this cheque, would that potentially close my claim to anything else? Or as many replies have mentioned, it’s just a partial payment that may have to be paid back if the court awards me less?

    I’m guessing that because my solicitor has already accepted this money from the insurance company. That it’s ok to cash from their account into my account.

    Reply
    • Ian Morris

      It is absolutely fine to cash the interim payment you have received. An interim payment is only made after liability has been admitted and the insurers will not have paid an amount that they believe to be anywhere near to being greater than the final value of the claim settlement. Therefore, when your claim is settled in full, the amount of the interim payment award will be included in the total and considered already paid. For example, if you have received an interim payment of £1000 and your final settlement value was agreed at £3000, you would receive a final settlement of £2,000 to make the total of £3,000. Of course, you would also face a deduction from your settlement of up to 25% towards the costs of the claims process.

      Reply
      • James

        My solicitors have already deducted their 25% fee from my interim payment of £2600. Are they allowed to do that? Their words in the letter are “an interim payment equivalent to their final offer. We will now go to court and hope to get you some more”

        This doesn’t sound like normal practice for an interim payment let alone normal professional practice to go to court and hope to get more.

        Thank you for your swift and informative reply.

        Reply
  61. scott

    If you get accepted for an interim payment how long does it take to process?

    Reply
    • Ian Morris

      When an interim payment has been agreed and the amount to be paid has been accepted, the approximate time frame for the claimant to have cleared funds is usually around 21 days (from the date that signed acceptance of the interim payment is received by the defendant insurers).

      Reply
  62. Elizabeth

    My grandson was offered an amount as the settlement of his claim and he signed to say he would accept the amount stated. He then received an email from his Solicitor to say that he had received a cheque from the other side but for a lesser amount, and deducted an interim payment – which we were never told in correspondence, telephone,or meetings including the last one when he signed to accept the offer in the solicitors office! Is this legal?!

    Reply
    • Ian Morris

      If any interim payment award was made to your Grandson during the claims process, the final settlement would include that interim payment (which would be deducted at the end) so that the full settlement received by your Grandson also included the interim award. For example, if a claimant received £1000 as an interim payment during their claim and agreed a final settlement of £3000, they would not receive a final settlement for £3000 but £2000. Of course, they are also going to have to make their 25% contribution too.

      If you think that the Solicitor has acted incorrectly, you must address your grievance to them immediately. Look on the Solicitors website as it should have a published complaints procedure that will explain how they would investigate such a complaint. If they are then unable to satisfy your complaint and you still have concerns that something untoward has happened, you can then go to the Legal Ombudsmans Service.

      Reply
  63. Rita

    Hi I have a claim going on at the moment. They have accepted liability and am awaiting settlement. I requested an interim payment due to financial difficulties which was agreed. I have only received half and been total other half is being sorted, but it’s been a week now and still no sign. How long should I wait and is this normal?

    Reply
    • Ian Morris

      The period of time you describe (1 week) is very speedy and you could usually expect to wait for 21 working days.

      Reply
  64. Rainy

    Hi. I had a bus accident three years ago, I was coming home from work and the bus crashed into a car and went reeling into the front of two houses. The bus driver admitted fault and was found guilty. Also the bus company admitted liability. That was all within 6 months of the accident.
    After three very long drawn out years I have had the final medical assessment and been dismissed by the psychologist I was referred to. All the paper work has now been submitted to court and I know the I’m on the last leg of it being finalised.
    However, seven weeks ago I had do give up work due to still suffering from the injuries so I ask if I could apply for an interim payment. To date my solicitor still hasn’t heard from the court and apparently is going to ‘chase it up’ some time this week. She said I should be receiving an application form shortly for me to apply. . Once I’ve filled in and signed this application form how long will I need to wait for the payment?

    Reply
    • Ian Morris

      The wait should be fairly short – a matter of days, but of course the application will have to be accepted first.

      Reply
  65. Rainy J

    Three years ago, the bus I was travelling home from work on crashed into two houses, I was injured and off work for eight months. I am still suffering from the injuries and have now had to give up work altogether. Eventhough my compensation claim was fairly straight forward and the bus company has admitted liability and all the medical evidence is up to date, I still haven’t yet received any indication as to when this will all be finalised. .Three weeks ago my solicitor said she is still waiting on medical evidence, I am wondering how much longer this may take before I receive a settlement
    Also five weeks ago I applied for an interim payment , I phone my solicitor every week on this but all I’m told is that it’s being chased up. How much longer will an interim payment take to process

    Reply
    • Ian Morris

      You have clearly been badly injured as a result of the serious accident that you describe. Given that you are still suffering from the injuries and are unlikely to recover fully it is very important that your Solicitor ensures that the fullest and best medical evidence is obtained in order to ensure that the value applied to your claim is maximised.

      Whilst there has now been 3-years pass since the accident and we appreciate that this amount of time is a long time to be waiting for the claim to move on, it is not unusual given the amount of damage this incident has caused to you and your life.

      With regards to interim payments, your Solicitor should be able to reach an agreement with the defendants on this matter in order to obtain an interim payment for you, particularly with regards to some loss of income as this is unlikely to be disputed whereas the amount of compensation for the listed injuries is something that is usually disputed a little more.

      Whilst it is frustrating for you to have to wait and you feel as if you are chasing your Solicitor, it is most probable that your Solicitor is doing all that they can and that they are simply having to wait for defendant responses.

      Reply
  66. Adrian

    Good Afternoon,

    Last week i signed claim valuation offer a couple days after my solicitor disclosed my claim and sent it to the third party.
    I would like to know how long will take for me to receive interim payment or full compensation from the third party via my solicitor?

    Reply
    • Ian Morris

      if admission of liability has been obtained in your case and an agreed interim payment sum has been reached, it should be a fairly quick process for you to obtain the payment. The payment should go from the defendant insurer to your Solicitor who would then forward the sum to you.

      Reply
  67. Mark Swinbank

    I have a friend who has had an accident at work and had to have his leg amputated, the opposition have admitted liability and responsibility. they have bought him a bungalow but are now refusing to modify it so that he can live there. he is currently in a 2 bed terrassed 2 floored house and as such his remaining leg is suffering. this has been on-going for 3 years nearly and I am really worried about the long term prognosis if he is not able to use his wheel chair throughout his house. Is there anything we can try to speed up the renovation to make it livable in?

    Reply
    • Ian Morris

      The fact that the defendants have paid for a property for your friend is a good thing. Has your Friend’s Solicitor liaised with the defendant insurers regarding the need for any settlement value to include a sum for making his home suitable for the needs that his disability presents?

      When settling a claim for compensation, the valuation of a settlement is made up of many things. The various elements of a compensation settlement will include a sum for the injury – based on medical evidence and long term prognosis, how it effects day-to-day life, loss of income, medical costs and fees needed to make suitable alterations to living space. With this in mind, your friend needs to speak with his Solicitor to see if that element has been included in whatever compensation settlement he has already received.

      The other area that he can consider investigating is with the Government and Department of Work & Pensions to see if there are any grants or disability benefits such as industrial disablement benefit that would provide any contribution towards the costs of door widening, stair lifts and bathroom alterations.

      Reply
  68. Tammi

    I received an interim payment of £1000 and they took 25% and the ATE payment which left me £550.01p should they have deducted this from interim payment or from the final settlement?

    Reply
    • Ian Morris

      Whether the deduction is taken at the end of the claims process when your full and final compensation claim settlement value has been agreed or if the deduction is taken from an interim payment, the end outcome should be the same – that you only pay a maximum of 25% from your compensation settlement towards the cost of the claim (with the additional cost of any ATE policy also deducted).

      In your case, you should not face any further deduction for the ATE premium as this has now been settled. You have paid 25% from your interim payment and will have to contribute up to 25% from the remaining settlement that you receive.

      Reply
  69. Jill Fenwick

    Hi there, if I received an interim payment before my settlement would the interim payment be deducted from my full amount? Thanks.

    Reply
    • Ian Morris

      The answer is yes. It is not uncommon, particularly in cases where the level of damages is more substantial or where there is a large loss of income, for a defendant to make an interim payment to the claimant when they have admitted liability in the claim. In admitting liability, a defendant agrees that they are responsible and will therefore make a settlement to the claimant as a result of the accident and injuries sustained. The claim then moves on to evaluating the total losses and level of injury.

      An interim payment will be made to help ease the clients suffering whilst they recover or to help cover lost wages and when it then comes to agreeing the full and final settlement, any previously paid interim settlement will be included in that total figure.

      For example, if an interim payment of £5,000 was made to the claimant and the full final settlement value was agreed at £20,000 the claimant would only have a further £15,000 to receive as the interim payment received is part of that final settlement.

      There is of course the obligatory 25% deduction required by law to factor in to the total settlement you will receive.

      I hope this explanation helps!

      Reply
  70. Justin njoku

    Should the solicitor deduct the 25% and the ATE policy funds from an interim payment that has been made right before the court proceedings?

    Reply
    • Ian Morris

      Justin

      They will deduct the 25% from your settlement when it is made, whether or not that is taken from an interim payment is another matter. It really depends on the size of the interim award.

      The most important thing is to make sure that the full deduction from the full and final settlement award should not exceed the 25% figure, but that will not include the sum that is also needed to cover the ATE policy that was put in place to protect you.

      Sadly, under the LASPO Act 2012, claimants in your position are not able to claim payment of costs for ATE policies. Prior to LASPO 2012, ATE premiums were recoverable and claimants could retain 100% of any award made to them.

      Reply
  71. Damian Cunliffe

    Had rta last friday been diagnosed by gp in regards too whiplash and possible trapped nerve was passanger in work vehicle when another van crashed into us ive also been referred for pysio by my gp also struggling with nerves since accident

    Reply
    • Ian Morris

      Hi, this sounds like a painful situation for you and I am sorry to hear about your recent traffic accident. On the basis of your Doctor’s diagnosis I believe you have a valid claim for compensation and as such, should pursue the same.

      Please call us on 01225430285.

      Reply
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