Being injured as a result of someone else’s negligence can flip your whole life upside down, both physically and financially. Whether you’re a victim of personal injury or your loved one is, it is important to determine what a claim is worth so that you get properly compensated.
Understanding what is a compensable loss and how those losses are to be calculated may be the difference between getting a settlement that fully compensates you. Otherwise, you may risk ending up in debt with all the costs that result from an accident.
Here’s how to calculate your losses in a personal injury claim:
1. Medical Expenses
It’s no secret that medical bills are usually the most obvious and pressing bills after an injury. These can include everything from an ER visit and hospitalization costs to the cost of surgeries, prescriptions, and post-visit care. So, when calculating your medical expenses, don’t overlook the more minor expenses such as prescription drugs, medical equipment, physical therapy or even transportation to and from medical facilities.
For instance, in cities such as Dayton, OH, it is easy to get lost in the chaos of medical and legal issues post-injury. A personal injury law firm in Dayton, OH can help you accurately evaluate and document all of your medical losses to bolster your claim. With an attorney’s help, victims of accidents are more likely to receive the full compensation they deserve.
2. Lost Wages
Should an injury from the accident cause you to miss work, you are entitled to compensation for the wages that you lost. To verify your lost wages, you can use your pay stubs, tax returns, or have your employer give you a record of your earnings at the job prior to the accident as proof.
3. Loss of Earning Capacity
Some of the injuries after a car accident can be permanent and may affect how you will be able to work in the future. If you cannot go back to the same type of work you did before the accident, or you have to work at lower-paying jobs due to the injury, you may be able to collect money for loss of earning capacity.
This is a calculation of what you would have made in the line of work you would have been in, compared to what you are likely to make after the crash. A financial advisor may be able to offer a more precise number here where the claim is too large or complex to be easily quantified.
4. Pain and Suffering
Pain and suffering refer to the pain and discomfort one experiences after an accident. While it’s more difficult to calculate than medical bills or lost wages, it remains a key portion of most personal injury claims. The severity of the injury, the amount of time needed for recovery, and the effect on your daily life are all considered.
Insurance companies typically employ a multiplier technique to calculate pain and suffering, with the resulting amount multiplied by a number (typically between 1.5 and 5).
Takeaway
Many factors go into calculating losses in the context of a personal injury case — there’s more to it than simply adding up hospital bills. The cumulative total of all the damage categories, including things like loss of enjoyment, is what you’re actually entitled to after an accident. It’s important to note that complete and well-organized documentation of your losses are essential in supporting your claim and will help you achieve a fair outcome.
