When someone experiences a significant injury, they need to know what the injury will cost them if they hope to negotiate an appropriate insurance settlement or file a personal injury lawsuit. Some expenses, like the cost to repair a vehicle after a crash or someone’s medical expenses after a slip-and-fall, will be obvious. There will be an invoice or estimate that makes the exact financial value of the incident clear.
Other times, the injured party will have to calculate the costs on their own behalf to properly negotiate with an insurance adjuster or estimate what to seek in a lawsuit. Those hurt in car crashes and due to dangerous property conditions may have the right to ask for personal injury compensation for medical expenses and lost wages.
How do you determine the value of your lost income because of an injury?
How long you will experience medical consequences
If you have a spinal cord injury or a brain injury, you may very well have permanent income changes because of your condition. Broken bones and soft tissue injuries will likely only limit your job functions for a few months in most cases.
Your prognosis and the likelihood of a full recovery will determine how long you will lose wages for and whether you will experience a total loss in your wages or just a reduction. You can then extrapolate the total amount of lost base pay by multiplying your average weekly wages by the number of weeks you will miss work.
Other contributions to your income
Your wages aren’t the only thing you could lose if you can’t work. There will also be the value of your employment benefits to consider, and they can substantially increase what your compensation package is actually worth. You also need to consider the raises and promotions that you would get if you worked like you normally would but may not qualify for because of your medical condition.
Such factors can be harder to put a price tag on and may require careful analysis. You could request the full value of lost wages earning potential if your injury symptoms will alter the job functions perform at work. You may need legal help to determine your lost wages and to ask for property compensation. Calculating the true financial impact of a crash or a fall will help you more successfully navigate the personal injury claim process.