Calculating damages in injury law cases is a complex process that aims to fairly compensate victims for their losses. Damages refer to the financial compensation awarded to an individual who has suffered harm due to someone else’s negligence or intentional actions. The best injury lawyers will help you understand how damages are calculated and ensure that all aspects of your injury are taken into account when seeking compensation. Below is an overview of how damages are generally calculated in injury cases.
Economic damages:
Economic damages are the tangible, calculable financial losses resulting from an injury. These typically include medical expenses, both past and future, as well as lost wages due to an inability to work. For example, if an injury required surgery or rehabilitation, those costs will be factored into the calculation. Lost wages may also be calculated based on the income you would have earned during your recovery period. In cases of long-term disability or diminished earning capacity, future lost wages can also be considered.
Non-economic damages:
Non-economic damages refer to the intangible losses experienced as a result of an injury. These damages are more subjective and include pain and suffering, emotional distress, loss of enjoyment of life, and disfigurement. While harder to quantify than economic damages, these losses are no less significant. Courts often rely on various formulas, previous case precedents, and the severity of the injury to determine an appropriate amount for non-economic damages.
Punitive damages:
Punitive damages are awarded in cases where the defendant’s actions were particularly reckless or malicious. Unlike compensatory damages, which aim to reimburse the victim for their losses, punitive damages are meant to punish the defendant and deter similar behaviour in the future. These damages are relatively rare and typically only apply in cases of gross negligence or intentional harm, such as assault, fraud, or driving under the influence.
Comparative negligence:
In some injury cases, the victim may share some of the responsibility for the incident that caused the injury. In such situations, the principle of comparative negligence may apply. This means the compensation amount can be reduced based on the percentage of fault attributed to the injured party. For example, if a person is found to be 20% responsible for their injury, their total damages would be reduced by 20%.