Traffic Accidents

Insurance benefits for the victims of road traffic accidents in Israel

Who and how can you be eligible for a financial compensation in case of injuries caused by a road traffic accident? It is also very important to know how much your lawyer will charge you for the service.

How can you make sure that in case of the road accident you will receive the maximum compensation?

Anyone involved in a road accident needs to ask the advice of a lawyer who specializes in law that sets the amounts of compensation paid to the victims of the road accidents (in Hebrew such law is called ha paltad). This is the first and primary condition that needs to be satisfied if you want to claim your rights and win a road accident case. Only a lawyer who is an expert in the area of road accidents knows what you are fully eligible to receive. The lawyer will demand mandatory enforcement and will not make any concessions as to the amount of compensation you are entitled.

Why are you eligible to receive money if you have had a road accident?

According to the law in Israel, the victims are eligible for a full compensation if they are injured in an accident. It is essential to focus on the following: the right to be entitled to the compensation for bodily injuries received as the result of a road accident is not related to the issue of being guilty in the accident. Even if the driver is the party at fault he/she is entitled to compensation.

ילנה גומלסקי עו״ד

Any car in Israel must be insured with a special insurance policy called bituach hova. This obligation is defined by the law. The main purpose of this insurance policy is to cover injuries which can be caused as the result of using a car. This insurance policy covers not only driver’s injuries but also passengers and pedestrians who are injured by this car. As a result of a road accident, the injured as well as their family members (for example, in the event of one of the victim’s death) can file a claim against the insurance company and receive compensation.

In case a vehicle leaves the scene of the road accident and it is impossible to identify its registration plate or determine who exactly drove the vehicle or in case when the vehicle is uninsured, there is a special fund that manages all road accident victims. It is called Karnit. Compensation is established to insure the following accidents: a pedestrian who was injured, a driver who strikes a pedestrian and leaves the scene of the accident, or passengers who have no idea their vehicle is uninsured (for instance, a taxi).

How long does it take to receive the compensation?

A court trial can be lengthy, therefore in certain cases financial compensations can be awarded at the very beginning as a part of the future compensation from the insurance company. This kind of payment in Russian is called a prompt payment; in Hebrew it is tashlium tachuf. The reason for such payment can be due to a road accident victim’s insolvency. Thus, if you suffered a road accident and consequently you are not able to work or if you do not have any other source of financing to cover your everyday expenses for accommodation and treatment, you can file for a prompt payment to the insurance company, explaining the circumstances. If you qualify, one receives this payment and when the court determines a full amount of compensation, the prompt payment earlier received by the victim, is deducted from that amount.

What are the lawyer’s fees and when do you pay them?

If a person in a road accident decides to hire a lawyer, the lawyer’s fees are paid in accordance with a certain procedure defined by the law. If in short, the fee equals a designated percentage of the amount of the final compensation received by the plaintiff. This amount is paid when the judicial process is concluded. The fees can be as follows:

You pay 8% + an income tax of the total amount of your compensation, if the compromise with the insurance company is reached before the case is brought to the court.
You pay 11% + an income tax if the compromise is reached after the case is brought to the court but before the final decision on the amount of the compensation is taken by the court.
The maximum fee amount can total 13% + an income tax if the compromise with the insurance company is not reached and all court hearings have been held.

As stated, the fee is calculated based on the total amount of compensation the injured receives, including the expenses spent on the case. For example, if the person injured in the road accident filed the case to the court and was awarded a compensation of 100, 000 shekels, but the expenses for the court incurred 20, 000 and the lawyer’s fee is 13,000 then the final estimate of the fee is calculated from the entire amount and that is from 133, 000 shekels.

The amount of the lawyer’s fees for road accident cases are established by the law. The lawyer can not demand a higher amount, apart from the expenses needed to commence the case and conduct it (for example, expenses for courier services, experts’ reports or findings etc.) All these expenses are discussed with the client in advance and must have the client’s consent.

If you would like to find out more about your rights, call us and book an appointment without any further obligation.