After being involved in an accident caused by someone else’s negligence, you may be overwhelmed, confused, and anxious to get your costs covered. The stress that comes with unpaid medical expenses, being out of work, and severe emotional distress can make it difficult or impossible for you to recuperate. Fortunately, once you understand how personal injury settlements are calculated in Montana, you will have a better idea of how much compensation you could expect to recover if your claim is successful.
First, We Evaluate Your Damages
Before you can determine how much compensation you could recover from a Montana personal injury or a car accident claim, it is important to evaluate your damages. There are three primary types of damages that can be paid out in civil lawsuits, including:
- Economic damages
- Non-economic damages
- Punitive damages
Economic Damages
Economic damages are entirely monetary. These are a little easier to evaluate because they are verifiable through financial records. You might review paystubs, bank statements, receipts, repair quotes, and other records to determine the total value of your economic damages both now and in the future. Some examples of potential recoverable economic damages in a slip and fall, construction accident, or other personal injury case include:
- Lost wages
- Medical bills
- Property damages
- Insurance increases
- Medical devices
- Loss of employee benefits
- Loss of household services
Non-Economic Damages
Non-economic damages are also commonly referred to as general damages, as described by the Center for Justice & Democracy at New York Law School. They can be more challenging to evaluate because their value is subjective. Though intangible, the significant impact they have on victims’ lives should not be discounted. Some examples of potentially recoverable non-economic damages could include:
- Loss of consortium
- Reduced quality of life
- Pain and suffering
- Disfigurement
- Embarrassment
- Emotional distress
- Skin scarring and permanent disability
- Inconvenience
- Reputational damages
Punitive Damages
Unlike economic and non-economic damages which are classified as compensatory damages, punitive damages are not compensatory. The purpose of awarding punitive damages is to prevent other wrongdoers from making similar decisions and punishing the liable party. For this reason, punitive damages may not be appropriate in all personal injury cases.
As described under Mont. Code § 27-1-221, punitive damages can only be awarded if the defendant was malicious or committed fraud. To have acted in malice, the defendant must have known they were creating a risk of injury to others and engaged in conduct anyway, despite the known risk. For example, if you were involved in a collision with a drunk driver, punitive damages may be appropriate, as the driver who hit you should have known that there was a high probability of injury if drunkenness caused a car accident.
How to Calculate the Value of Your Personal Injury Claim
There are several potential ways to calculate the value of a personal injury settlement in Montana. Most often, the per diem method is used. This involves calculating the value of your economic damages by a number between one and five, depending on the severity of the injuries you sustained.
The more impactful your injuries, the higher the number you should use. If you suffered a minor bone break, for example, you might multiply your economic damages by one or two, whereas someone dealing with a catastrophic injury would be more likely to multiply their economic damages by four or five. Once you have this figure, you add it to the value of your lost income and other economic damages. This is a great way of ensuring you receive total compensation for your economic damages and that your non-economic damages are taken into account, so you receive the compensation you deserve.