In the aftermath of a car accident, as the bills start to pile up, it is justifiable for you to look for ways to alleviate your financial burdens, and in the process you might wonder, how much is my case actually worth? Calculating damages is one of the core duties of an auto accident attorney in New York, and there is a lot more to it than just adding up the bills.
In this post, the team at the Law Office of Eli Schmulik will be breaking down the damages that are considered, how certain damages are quantified, and how having the right legal representation can make a major difference in maximizing your compensation.
What are ‘Damages’?
“Damages” refers to the monetary compensation that an injured person (the plaintiff) can claim to cover their expenses and return to the financial position prior to the accident and become “whole” again. There are primarily two types of losses that are considered when awarding damages to an injured person—economic and non-economic losses.
Economic losses are the direct financial losses suffered as a result of the accident. They consist of medical bills, rehabilitation expenses, lost wages, and other expenses connected to the accident. Since economic losses have a set financial value, calculating your economic losses is simply a matter of adding up the bills.
On the other hand, non-economic losses account for the intangible losses caused by the accident, such as pain and suffering, loss of consortium, and loss of enjoyment of life. These losses do not have a set financial value and are determined on a case-by-case basis.
Furthermore, if your car accident case has been taken up in court, the judge/jury may sometimes award the plaintiff punitive damages. The principle behind punitive damages is to serve as a punishment and deter any future conduct of a similar nature by the defendant. There is no set value for punitive damages, and how much may be awarded is at the discretion of the judge and jury.
How are damages awarded in insurance and lawsuits?
When it comes to car accidents in New York, you have the option of claiming compensation for damages via insurance or lawsuit. Since New York is a no-fault state, compensation for economic losses is guaranteed, regardless of your fault in the accident, under personal injury protection insurance (no-fault insurance). However, compensation under insurance is restricted to only economic losses.
Alternatively, if you file a personal injury lawsuit, you can account for both economic and non-economic losses suffered as a result of the car accident. Furthermore, the judge may even award punitive damages in your favor if your case merits such an award.
Depending on your case, your auto accident lawyer can advise you on what is the most appropriate route that can be taken to maximize your compensation. But keep in mind that in New York, you are required to go through the insurance claims process before you are allowed to take the matter to court.
What are the methods used to calculate damages?
Calculating economic losses is a straightforward process. But since non-economic losses do not have a set monetary value, we have to determine a value that will be considered fair and reasonable under the circumstances. To do so, we often rely on two methods—the per diem method and the multiplier method.
Under the per diem method, we determine a value per day for the pain and suffering and multiply said value by the number of days the pain and suffering persisted. For example, if the daily value was $500 and the pain and suffering lasted for a month, the damages would amount to $15,000.
Alternatively, we have the more commonly used multiplier method. Under this method, we calculate all the economic losses a person has suffered and multiply the value by a multiplying factor between 1 and 5. To determine the value of multiplying factors, we consider factors such as the seriousness of the injuries and the impact the accident has had on the person’s work, daily life, and relationships. The more impact the accident has had, the higher the multiplying factor will be.
What can I do to prove damages in a car accident case?
When your auto accident attorney presents your claim to court, there will be questions on what basis such an amount was determined—making the presentation of corroborating evidence extremely important for the success of your case. Therefore, make it a point to gather as much evidence as possible; these can include
- Medical records and bills
- Police reports
- Damage and repair estimates
- Expert witness testimony
- Journal entries that document your pain and suffering
- Sworn statements from friends, family, and co-workers that detail changes in behavior, actions, and mannerisms following the accident.
Conclusion
Calculating damages to ensure that you receive the maximum compensation is one of the most important tasks performed by an auto accident lawyer in New York. At the Law Office of Eli Schmulik, our team understands the importance and value of your claim, and we will fight to ensure that every dollar of compensation reflects everything you’ve been through, from medical expenses to emotional distress and even the long-term impact on your quality of life. Don’t delay in your pursuit of justice. Schedule a free consultation with us, and let’s get started right away.