How Is a Personal Injury Settlement Calculated?

Considerations

When awarding damages in a civil case the judge or jury considers the severity of the injury, the effect such injuries have on the overall physical and mental health of the injured, the physical pain and mental anguish suffered in the past, the pain likely to be suffered in the future, disfigurement, humiliation and embarrassment associated with such disfigurement. The judge or jury also considers medical and other expenses reasonably or necessarily incurred in the past, medical expenses likely to be incurred in the future, and loss of both past and future earnings.

Compensable Expenses and Injuries

Most states requires that the total amount of damages awarded be broken down to show the amount awarded for past medical expenses, future medical expenses, loss of past earnings, loss of future earnings, and non-economic damages such as pain and suffering, damages to compensate for embarrassment and disfigurement, and inconvenience. Many states cap awards for damages that are non-economic in nature.

Damage Calculation

The particular amounts awarded are based on evidence presented by the injured person, detailing her expenses and her injuries. Compensation for lost earnings is based on the injured person's life expectancy and likely career and job potential. Punitive damages, or damages intended to punish the wrongdoer, are rarely allowed in personal injury actions. They can only be awarded when the injured is able to show that the wrongdoer acted with actual malice.

References

• Damages Calculator