Types of Compensation for an Injury Claim

If you think you can file a personal injury lawsuit after suffering from an automobile accident, you may also wonder if your case is worth anything. The answer to that question is based on the “damages” – how much has your injury cost you not only monetarily, but also emotionally and physically.

In cases involving bodily injury, compensation is paid by the person or entity that is found to be legally responsible for the accident. With the assistance of an attorney, you may reach a negotiated settlement and agree to a damage award that will compensate you for the person or entity’s negligence.

Either a judge or jury can award you a certain amount in compensatory damages and/or punitive damages.

COMPENSATORY DAMAGES

Most damages awarded in personal injury cases are classified as compensatory. These damages compensate you for what you lost due to the injury. Essentially, they aim to make you financially whole.

The goal is to assign a monetary value to the consequences you have suffered since the accident. The following summarizes the different types of compensation you may receive after filing a personal injury claim with your lawyer:

• Medical expenses for treatment – Damages cover the cost of medical care. Any injury that required one-time or ongoing treatment is included. Your compensation may also cover estimated costs for future treatment.

• Loss of income – You may receive compensation for the impact the accident had on your earning capacity. This includes lost salary and wages you already missed, as well as future income lost due to diminished health.

• Property loss – Damages may reimburse you for property damaged in the accident, such as clothing, vehicles, or other items. You may receive the cost of repairs or the fair market value of the property.

• Pain and suffering – Compensation may cover the serious physical discomfort you endured during and after the accident. Ongoing pain is also considered in this award.

• Emotional distress – Severe accidents may allow for damages related to emotional trauma. This includes anxiety, loss of sleep, and fear. In some states, emotional distress is automatically included in pain and suffering.

• Lost enjoyment of lifestyle activities – If your injuries prevent you from hobbies, exercise, or other daily pursuits, you may receive compensation for this loss.

• Loss of consortium – This award relates to the impact of your injuries on your spouse or family relationships. It may cover the loss of companionship, sexual relations, or other family bonds. Some states also include parent/child relationships. Typically, this award is paid to the affected family member.

Know: Cost of Your Florida Car Accident

PUNITIVE DAMAGES

Another consideration for compensation during a personal injury claim is punitive damages. Your lawyer will also advocate for you to receive an award in this category. Typically, the defendant’s conduct has been deemed to be outrageously careless or particularly egregious and leads to your injuries. Therefore, you may be entitled to receive punitive damages in addition to the compensatory award.

The rationale for awarding punitive damages is very different from how compensatory damages are justified. While compensatory damages are an attempt to make you whole, punitive damages are meant to punish the defendant for the conduct that led to your accident and subsequent injuries.

Generally, the amount of theses damages are so high that the additional goal is for the award to act as a deterrent for the defendant, or any other person or entity, to act in the same careless manner.

It is not unusual for punitive damages to be multimillion dollar awards, although some states have placed caps on the amount that can be awarded.