How to Calculate a Settlement for Pain and Suffering

How to Calculate a Settlement for Pain and Suffering

A majority of civil litigation is made up of personal injury lawsuits. Some common causes include traffic accidents, medical malpractice, slip and fall, defective products, construction accidents and dog bites. The National Highway Traffic Safety Administration reported that there are 6 million auto accidents every year across the US – an average of about one auto accident every 10 seconds. These accidents cause 3 million injuries every year, many of which are permanent injuries. Approximately 40,000 deaths also occur due to traffic accidents.

Calculating Pain and Suffering Settlement

In any personal injury case, from an auto accident to a case of slip and fall, two main categories of damages are available to the injured person – general or non-economic damages and special or economic damages. General damages include pain and suffering, meaning physical pain and discomfort, as well as anxiety, stress and emotional distress that is associated with the accident and the injuries you sustained. Special damages are losses from the accident or injury that can be easily calculated – medical bills, loss of income because of missed time at work, damage to property as well as any other out-of-pocket losses. In personal injury cases, these types of damages are what determine the compensation awarded to the winning plaintiff after a trial.

How to Quantify Pain and Suffering

Pinning a dollar amount on general damages is not an easy task. But insurance companies take a number of approaches when pain and suffering is calculated as part of the injury settlement. The two most common approaches are the daily rate, or “per diem” method and the multiplier method. It is a good idea to use both methods as a start, and based on that range, adjust your demand. The numbers you get may differ wildly, but this is not a problem – it boils down to negotiations at the end. If your case involves getting hit by a drunk driver running a red light and you have lots of medical bills as a result of that accident, start on your settlement range’s highest level. If you slipped on snow or ice on someone’s private property and liability is not clear, your settlement will be closer to the lower level. Each case is unique, but the main idea is to start at a reasonable number that can be justified in your demand letter. If you or a loved one has been injured due to another person’s negligence or carelessness, you should immediately approach a personal injury lawyer and the best in the business work for RMFW Law who can be reached @ (800) 660-2264. The first meeting is free. Give us a call so we can hear what you have to say and if we feel you have a case we can begin working out a winning strategy and how we want to attack the other side. We have won millions of dollars for past clients, you too can be on this sterling list. Since RMFW Law does not take anything up front and we pay you a percentage of the final settlement, it is as if you do not pay us anything at all. We know which legal avenue to take and when to take it. RMFW Law has been around the block before. Call us today!