How is compensation for personal injury calculated?
Being involved in an accident of any kind that results in a serious injury is undoubtedly a distressing experience. While money might not completely make up for what you have been through, you do have the right to be properly compensated for your injuries. However, every case is different and there are a range of factors that go into any personal injury case. So how is compensation calculated? Here are some of the biggest factors that will be taken into account:
Loss of income
If you're injured so badly your ability to do everyday tasks is affected, in all likelihood you will be unable to work for some period of time. This might just be while you are recovering from the incident, or your injury could impact your ability to do your job permanently. Loss of income is an important consideration when it comes to compensation, as it ensures that the claim makes up for any economic loss you experience from being out of work. As actuarial consulting firm Cumpston Sarjeant explains, this includes both present income loss and future, but-for injury gross earnings.
Costs associated with treatment
Serious bodily injuries can often require extensive medical treatment before you can be fully rehabilitated, if that is at all possible. According to the NSW State Insurance Regulatory Authority, it's possible to claim compensation for "reasonable and necessary" treatment costs, extending to hospital, pharmaceutical and rehabilitation expenses. The costs have to be relevant to your particular injury, administered by qualified healthcare professionals, as cost-effective as can be reasonably expected and must be undertaken with the aim to restore you to normal living.
There is another kind of loss you can experience that does not connect directly with economic expense: pain and suffering. Calculating compensation for a loss of this kind is more complicated, as it's difficult to equate a personal experience with a financial figure. Pain and suffering can include the physical pain you have dealt with, the impact of your injury on your normal lifestyle and quality of life, loss of independence, and your ability to participate in the activities you did before you were injured.
With so many different elements that go into a compensation claim, it's important that you seek advice from an legal professional experienced in compensation claims. The specialist lawyers at Marshall and Gibson will ensure all circumstances are taken into account and help you get the best outcome for your claim.