Yea, I know that is true, but I went through this myself (I was hit by a off duty cop) and discovered that the lawyer bills would cut into the settlement to the point of where it wasn't worth it. That is if I even got a settlement.....
Lesson learned for me... collision insurance on everything I can't afford to just walk away from.
I went through this again, not my fault, but no witnesses and his word against mine. I got my OT car fixed, paid the deductible, let the insurance company argue it out and in a couple weeks got a check for the deductible.
Believe me, I understand some things have to be done with lawyers... but I really think it's the last thing you want to do in a lot of cases.