Before considering how fair compensation is calculated for personal injury claims, we should know what fair compensation is in the whole picture and why it matters to people in the world right now.
What Is Fair Compensation?
When someone is involved in an accident that leads to injury, it is important that they are financially compensated for their medical costs as well as other damages such as pain and suffering. Fair compensation can be difficult to determine in the case of a personal injury, so there are several different methods and formulas used by professionals to evaluate such cases.
How Is Personal Compensation Calculated?
There is no exact or definite plan for personal injury, as personal injury differs from individual to individual according to the circumstances leading to it and the situation. However, the compensation is done according to two kinds of losses, which are also known as damages.
One of the two types of damages is special damage, which includes the amount of money you lost or will continue to lose over the course of the period. This involves economic losses.
The other type of damages is general damages or non-economic damages. These include non-materialistic things such as when one feels grief or trauma.
How Does the Compensation Formula Work?
Fair compensation for your injury is made through the insurance companies. The insurance company’s adjuster will calculate all of your damages, whether they be extraordinary or general damages.
For minor injuries in some states, all the damages might be multiplied by 1.5 to 5, depending on the severity of the injury. If the injury is painful, severe, or long-lasting, then the multiplication ratio can increase. The rest of the amount you lost, such as wages, is added to the final amount.
The amount can be adjusted according to the period of your medical treatment, the severity of your disease, the time of stay in the hospital, and many other factors.
However, suppose you are still not satisfied with the amount adjusted. In that case, you can connect with a local personal injury or auto accident attorney who can represent you to the insurance company.
Conclusively, fair compensation is a long process, but you will surely get the amount utilized during your medical treatments. Be sure to follow the legal ways to get fair compensation or hire an attorney if you are not familiar with the process.
Meghan Belnap is a freelance writer who enjoys spending time with her family. She loves being in the outdoors and exploring new opportunities whenever they arise. Meghan finds happiness in researching new topics that help to expand her horizons. You can often find her buried in a good book or out looking for an adventure. You can connect with her on Facebook right here and Twitter right here.
