When someone is injured in an accident, they may be able to pursue compensation for their damages. Depending on the circumstances, this could mean financial restitution for medical bills, pain, suffering, or other expenses resulting from the incident. It’s essential to learn how the lawyers calculate damages for a car accident claim to understand how they can help.
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The Basics of Damages Calculation
When calculating the damages in a car accident claim, the first thing to consider is who was at fault for the accident. The amount of compensation is based on the amount of responsibility the negligent party bears for the damages. Being 25% responsible for an accident that caused $50,000 in damages will translate to 25% of the settlement. If the person were found to be entirely at fault for the accident, they would be responsible for paying the entirety of the victim’s damages.
Secondly, the lawyers establish the value of the person’s life. It is commonly referred to as the person’s “loss of earning capacity.” Once they have this number, they will determine the amount of money it would take to put that person back in the position they were in before the accident. The first part of the equation is based on the person’s future earnings. The second part is based on how much money it would take to make up for the increased expenses that come with the accident.
Factors to Consider When Calculating Damages for a Car Accident Claim
While the basics of calculating damages are relatively straightforward, many factors go into actually calculating the correct number. Depending on the situation, factors to consider include:
Loss of Income or Earning Capacity
Loss of income or earning capacity is based on the amount of money a person would be expected to make in a given period, given their education, experience, and employment status. It can be impacted by several factors, including the type of work the person was doing, the amount of time they were out of the workforce, their level of education, and their experience.
Past and Future Medical Costs
The amount of money a person has spent on medical expenses through the accident and their recovery process, as well as anticipated future costs, are considered when calculating damages. It includes both out-of-pocket fees and expenses covered by health insurance. In addition to these two factors, various other factors can be considered when calculating damages for a car accident claim, including the severity of the injuries, the expected length of recovery, and any future complications or issues that could arise based on the injuries sustained.
Property Damage and Repair or Replacement Cost
If the car accident caused property damage, the cost of repairing or replacing that item is considered when calculating damages. Note that the amount awarded for property damage is usually only a portion of the total expected cost. It is generally based on the estimated value of the item.
When calculating damages for a car accident claim, lawyers will consider various factors. While the basic formula used to calculate these damages is relatively straightforward, the actual number can be influenced by several factors, such as the type of work a person was doing, their level of education, and the amount of time they were out of the workforce. In addition, depending on the situation, the amount of money awarded for damages is usually only a portion of the total expected cost.
