When you're involved in a personal injury case, understanding the types of damages you can claim is key to receiving fair compensation. One category of damages that plays a significant role in many personal injury lawsuits is special damages. These damages, also known as economic damages, are a fundamental aspect of personal injury law that plaintiffs and defendants must thoroughly comprehend.
Whether you're considering filing a personal injury lawsuit, are currently involved in one, or simply want to educate yourself about the legal process, this article, written by a Waukegan personal injury lawyer, will provide valuable information about special damages and their role in personal injury law.
Waukegan Personal Injury Guide
What Are Special Damages?
In personal injury law, special damages refer to the quantifiable monetary losses a plaintiff has incurred or will incur due to their injury. These damages are "special" because each case uniquely calculates them reasonably.
Unlike general damages, which compensate for non-economic losses such as pain and suffering, special damages derive from actual expenses and financial losses incurred. They aim to restore the plaintiff to the financial position they might have been in had the injury not occurred.
Special damages are sometimes referred to as "out-of-pocket" expenses because they typically reflect money the plaintiff has already spent or will need to spend due to their injury. These damages can cover various costs, from medical bills to lost income.
One of the defining characteristics of special damages is that they can be documented and proven with evidence such as receipts, bills, pay stubs, and professional testimony. This makes them more straightforward to calculate and less subjective than general damages.
Components of Special Damages
Special damages can encompass a variety of economic losses. Some of the most common components include medical expenses, lost income and loss of earning capacity, property damage, transportation costs, home modification expenses, and household services.
Medical expenses often form a substantial portion of special damages in personal injury cases. These can include hospital bills, the costs of surgeries and other medical procedures, fees for doctor's visits, expenses for prescription medications, medical equipment costs, physical therapy and rehabilitation costs, and mental health treatment related to the injury.
It's important to note that medical expenses in special damages cover past and future medical costs. If an injury requires ongoing treatment or is likely to result in future medical needs, you can include these anticipated expenses in the claim for special damages. Personal injury lawyers and attorneys work closely with medical professionals to estimate future medical costs accurately. This might involve obtaining professional opinions on the long-term prognosis of the injury and the expected course of treatment.
Another significant component of special damages is compensation for lost income. This includes income lost due to time taken off work for recovery, lost bonuses or commissions, loss of benefits, and reduced earning capacity if the injury affects the plaintiff's ability to work in the future.
Calculating lost income for the time immediately following an injury is relatively straightforward. However, determining the loss of future earning capacity can be more challenging. It often requires input from economists who can project the plaintiff's potential earnings over their lifetime if the injury hadn't occurred. In cases where an injury results in permanent disability or a significant change in career prospects, the loss of earning capacity can be substantial. Personal injury attorneys often work with vocational rehabilitation to demonstrate how an injury has impacted their client's ability to earn a living.
If the incident that caused the personal injury also damaged the plaintiff's property, the cost of repairing or replacing that property can be included in special damages. This most commonly applies in car accident cases, where the plaintiff's vehicle may have been damaged or destroyed.
Property damage claims can include the cost of repairs to vehicles or other damaged property, replacement cost for totaled vehicles or destroyed property, and rental car expenses. In contrast, the plaintiff is repairing their vehicle and receiving compensation for personal items damaged in the incident. Personal injury lawyers will typically gather repair estimates, receipts for replacements, and other documentation to support these claims.
Injuries often necessitate additional transportation expenses, which plaintiffs can claim as special damages. These might include traveling to and from medical appointments, expenses for modifying a vehicle to accommodate a disability resulting from the injury, and alternative transportation costs if the plaintiff cannot drive due to their injury. While these costs might seem minor compared to medical bills or lost income, they can add up significantly over time, especially in cases involving long-term injuries.
In cases of severe injuries that result in permanent disabilities, the plaintiff may need to modify their home to accommodate their new needs. You can include these modification costs in special damages. Examples include the installation of wheelchair ramps, widening of doorways, modification of bathrooms for accessibility, and installation of stair lifts. Personal injury attorneys often work with occupational therapists and constructionists to determine necessary modifications and estimate their costs accurately.
If an injury prevents the plaintiff from performing household tasks they previously handled, you can claim the cost of hiring help for these tasks as special damages. This might include expenses for house cleaning services, lawn care and maintenance, child care, and cooking or meal delivery services. The goal is to compensate the plaintiff for services they now need to pay for due to their injury, which they previously performed themselves.
How Special Damages Are Calculated
Calculating special damages requires a meticulous approach to gathering and presenting evidence. Personal injury lawyers and personal injury attorneys play a key role in this process, working to ensure that all applicable damages are identified and properly documented.
Calculating special damages typically involves:
- Gathering documentation.
- Calculating past losses.
- Estimating future losses.
- Adjusting for present value.
- Documenting and presenting the calculation.
The first step in calculating special damages is to gather all relevant documentation. This includes medical bills and records, pay stubs and tax returns, receipts for out-of-pocket expenses, repair estimates for damaged property, and documentation of any other expenses related to the injury. Personal injury attorneys often advise their clients to keep detailed records of all expenses from when the injury occurs. This documentation forms the foundation of the special damages claim.
Once you gather all the documentation, the next step is to calculate the total of all past losses. This includes all expenses and lost income from the date of the injury up to the present. For medical expenses, this involves totaling all bills related to the injury. Losing income requires calculating the total income lost due to time off work. Any other expenses, such as property damage or transportation costs, are also totaled.
Estimating future losses is often more challenging and may require professional input. This step involves projecting future medical expenses based on the expected course of treatment, estimating future lost income, considering the plaintiff's life expectancy and expected career trajectory, and calculating the costs of ongoing needs, such as home health care or continuing therapy. Personal injury lawyers often work with medical professionals, economists, and life care planners to develop accurate estimates of future losses.
Adjusting future amounts to their present value is necessary when claiming losses as part of special damages. This is because a dollar received today is worth more than one received in the future due to inflation and the investment potential. Personal injury attorneys often work with financialists to perform these calculations, ensuring that the claim for future losses is accurate and fair.
Once all calculations are complete, the personal injury lawyer or personal injury attorney will compile a comprehensive report detailing all claimed special damages. This report typically includes a breakdown of all past and future losses, explanations for calculating each figure, supporting documentation for all claimed expenses, and professional reports supporting estimates of future losses. This detailed presentation of special damages forms a key part of the overall personal injury claim.
The Importance of Special Damages in Personal Injury Cases
Special damages play a vital role in personal injury cases for several reasons. They provide concrete evidence of loss, demonstrate the full impact of the injury, inform negotiations and settlement discussions, and guide jury decisions.
Unlike general damages, which compensate for intangible losses like pain and suffering, special damages provide concrete, quantifiable evidence of the financial impact of an injury. This can make them particularly compelling in settlement negotiations or at trial. Personal injury lawyers often use special damages as a starting point when building a case, as they provide a clear, factual basis for the claim. The documented nature of these damages can be persuasive to insurance adjusters, mediators, and juries.
Special damages help to illustrate the full impact of an injury on the plaintiff's life by detailing all the economic losses associated with it. This can be particularly important when physical injuries seem minor but have significant financial consequences. For example, a seemingly minor back injury might result in substantial special damages if it prevents the plaintiff from returning to their physically demanding, high-paying job.
Calculating special damages often serves as a starting point for settlement negotiations in personal injury cases. Insurance companies and opposing attorneys review these calculations carefully when considering settlement offers. Personal injury attorneys use the special damages calculation to support their arguments for fair compensation. A well-documented and thoroughly calculated special damages claim can strengthen the plaintiff's position in these negotiations.
In cases that go to trial, presenting special damages can give jurors a concrete framework for determining compensation. While jurors are more inclined to award general damages, their decisions on special damages are typically closely tied to the evidence presented. Personal injury lawyers often focus on clearly explaining the special damages to the jury, using visual aids and professional testimony to support their calculations.
Challenges in Claiming Special Damages
While special damages may seem straightforward, several challenges can arise when claiming them in a personal injury lawsuit. These include proving causation, documenting all expenses, accurately estimating future costs, dealing with insurance company pushback, and balancing special and general damages.
Comprehensive documentation is key to a successful special damages claim. However, in the chaos following an injury, plaintiffs may forget to keep receipts or records of certain expenses. When taking a case, personal injury lawyers often advise their clients on proper documentation practices. Sometimes, they may need to work creatively to reconstruct expenses when missing documentation.
Projecting future medical expenses and lost earnings can be challenging, particularly in cases involving long-term or permanent injuries. There's always an element of uncertainty in these projections. To address this challenge, personal injury attorneys often rely on testimony from medical professionals, economists, and vocational rehabilitation specialists to support their estimates of future costs.
Insurance companies often scrutinize special damages claims closely and may dispute certain expenses or projections. They may argue that some treatments were unnecessary, future projections speculate, or certain costs may inflate. Experienced personal injury lawyers anticipate these challenges and prepare robust responses, often backed by professional opinions and thorough documentation.
While special damages are important, they're just one part of a personal injury claim. Personal injury attorneys must balance the pursuit of special damages with claims for general damages (such as pain and suffering) to ensure their clients receive full and fair compensation. This can be challenging, as there's sometimes a tendency to focus heavily on the more easily quantifiable special damages at the expense of the equally important general damages.
Consult with a Qualified Personal Injury Lawyer
Suppose you've suffered an injury due to someone else's negligence and are considering filing a personal injury lawsuit. In that case, consulting with a qualified personal injury lawyer or personal injury attorney is advisable. These professionals can provide:
- Invaluable guidance on documenting your losses.
- Calculating your damages.
- Pursuing fair compensation for your injuries.
Remember, every personal injury case is unique, and the specific damages you may be entitled to can vary based on the circumstances of your case and the laws in your jurisdiction. A personal injury attorney can evaluate your situation and ensure you understand your rights and options.
David Abels
Partner
David Abels has carved a niche for himself in the personal injury law sector, dedicating a substantial part of his career since 1997 to representing victims of various accidents. With a law practice that spans over two decades, his expertise has been consistently recognized within the legal community.
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