What are Economic Damages?

Accidents are expensive. Most people don’t really think of the potential expenses of an accident until they are involved in one. Injury victims are entitled to recover compensation for their economic and non-economic damages after an accident. 

Put simply; economic damages are the expenses that directly affect your pocketbook; they compensate you for your financial losses after an accident. 

The at-fault party and/or their insurance company must pay for your reasonable expenses related to an accident. If you have legal questions, get in touch with an experienced attorney as soon as possible.

Types of Damages Available in Personal Injury Cases 

Damages in the legal world refer to money that an individual or company should recover for injuries after an accident. 

In the world of personal injury, three main types of damages can be awarded for injuries sustained in the accident: 

  • Economic damages refer to direct expenses of an accident. Economic damages can include medical bills, property damage costs, lost earnings due to missed work, and more. 
  • Non-economic damages refer to the indirect, long-term expenses of an accident. These expenses are not as easy to calculate. Non-economic damages are awarded when a victim experiences significant life changes after being involved in a serious accident. 
  • Punitive damages are the final type of damages available in a personal injury case, but they are rare. Courts or juries award punitive damages to punish a defendant’s conduct rather than compensate an injury victim. 

Your case may be eligible for one or all three of these types of damages. Make sure you have an attorney assess your case to understand what types of damages you might qualify for.

Common Types of Economic Damages

Florida personal injury victims might be eligible for many types of economic damages, including:

·      Medical bills, including future medical expenses

·      Physical therapy costs

·      Lost wages

·      Lost future wages

·      Property damage or replacement costs

·      Attorney fees

·      Funeral costs if there is a wrongful death

Other expenses can also factor into an economic damage award. Having a full understanding and accounting of your expenses will help you determine what amount of economic damages are appropriate. 

How Courts Determine the Proper Amount of Economic Damages 

The court or insurance company will examine your case to determine how much economic damages you are eligible for. They will add up your current and future losses to put a number on your recovery. However, you and the insurance company may not agree on how much you are legally owed. 

Insurance companies will do everything in their power to pay as little as possible to claimants. It is important to gather all of your current and future expenses after your accident to get the maximum possible amount of economic damages.  

Is There a Cap on Economic Damages in Florida?

Although there may be caps for other forms of damages, the state of Florida does not have a cap on economic damages. This means you’re entitled to recover all your economic damages after an injury, no matter how high. 

It often takes a little time to fully understand your overall economic damages, so don’t just take a quick offer from the insurance company. The insurance company is likely trying to limit their legal exposure with a lowball settlement. 

How Do I Calculate My Economic Damages? 

Current Economic damages are calculated by adding up all the bills and expenses that you have incurred due to your accident. However, this calculation only accounts for part of your economic damages.

You will also need to evaluate your future economic damages. You may need long-term care or treatment for your injuries, in which case you’ll have extensive future medical costs. Likewise, your injuries could have resulted in diminished earning capacity. Your economic damages must account for your future losses.

Your attorney may be able to give you a sense of your future economic damages total. Or, you may require expert testimony to establish these costs. It is important to make sure you don’t miss a single expense; you only get one chance to present your claim.

If you have suffered an injury in an accident, it’s normal to have a lot of questions. If you want answers about your potential economic damages, contact us for a free consultation. To schedule your consultation, call us or contact us online today.