Tag Archives: American Bar Association

“Why are legal Plans Needed?”

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19th century painting of lawyers, by French ar...

19th century painting of lawyers, by French artist Honoré Daumier (Photo credit: Wikipedia)

Many people
could use legal help but do not seek lawyer
services. According to a survey conducted by
Leo J. Shapiro & Associates, for the American
Bar Association Section of Litigation, seven in
ten U.S. households (71%) report experiencing
some event in a twelve month period that might
have led them to hire a lawyer. The study
indicated that for the consumer, legal services
are among the most difficult services to buy.
When it comes to hiring a lawyer, consumers
feel uncertain about how to tell a good lawyer
from a bad one. It is often unclear exactly what
the lawyer will do for them and how much the
lawyer will charge. So, over half of those who
might need a lawyer say they do not plan on
hiring one.

A legal plan lets a member talk to a lawyer
whenever the member thinks he or she might
have a problem, without fear of the cost. With
the proper legal advice most problems can be
avoided or quickly resolved. And if further
services, such as representation in court, are
needed, a legal plan may help a member find
the right lawyer, pay all or part of the legal bills
or actually provide a lawyer to handle the case
at no cost to the member. By putting legal
advice as near as the telephone, legal plans
enable their members to prevent legal
questions from becoming legal problems.
Sixty-five to eighty-five percent of all problems
brought to lawyers through plans can be
resolved through nothing more than advice and
a small amount of follow-up.

In addition, having a lawyer readily available
gives people peace of mind. legal plans can
also save members money in complex legal
matters. Even where a plan doesn’t pay a
lawyer’s entire bill, the member usually benefits
from discount rates that plans can negotiate
with panel lawyers. Finally, sponsoring a legal
plan can benefit employers since employees
with legal problems are more reliable and
productive when legal help is available and a
plan may help the employer attract and keep
quality employees.

In summary, legal plans:
(1) Provide easy access to a lawyer, especially
for preventive services, with no worry about
high initial consultation fees;
(2) Make payment of lawyer’s fees easier, if not
painless, depending on the plan benefits;
(3) Make the cost more certain because of
published fee schedules;
(4) Provide customer service so that plan
members can have their questions answered
about the plan, its coverage, or their
relationship with plan lawyers.

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