In personal injury cases, the concept of economic damages is the main part to ensuring that victims are fairly compensated for the losses they have suffered due to someone else's negligence. Economic damages refer to the quantifiable financial losses that an individual incurs as a direct result of an injury. In New Jersey, like in many other states, economic damages are claimed to help victims recover the costs associated with their injuries.
Understanding what economic damages include, how they differ from non-economic damages, and how they are calculated in New Jersey is important for anyone involved in a personal injury claim. This article will explore the various components of economic damages, explain their significance in personal injury cases, and provide insights into the specifics of pursuing these damages in New Jersey.
If you need help with a NJ personal injury case, call us at Brandon J. Broderick, Attorney at Law. Our attorneys can help you.
Understanding Economic Damages in Personal Injury Cases
What Are Economic Damages?
Economic damages are the financial losses that a person experiences as a direct result of an injury. These damages are tangible and can be calculated based on actual expenses and losses. The purpose of economic damages is to reimburse the injured party for out-of-pocket costs and to compensate for the financial impact of the injury.
In New Jersey, economic damages can include a variety of costs, such as:
- Medical Expenses: This is often the largest component of economic damages and includes all medical costs related to the injury. It encompasses hospital bills, surgeries, medications, physical therapy, rehabilitation, and any ongoing or future medical care that may be necessary. In severe cases, the cost of long-term care or specialized treatment may also be included.
- Lost Wages: If an injury prevents an individual from working, they may be entitled to compensation for lost income. This includes not only the wages lost during the recovery period but also any future income that may be lost if the injury results in a long-term or permanent disability that affects the person's ability to work.
- Property Damage: In cases where personal property, such as a vehicle, is damaged in the incident, the cost of repairing or replacing the property can be included in economic damages.
- Out-of-Pocket Expenses: These are additional expenses that arise as a result of the injury, such as transportation costs for medical appointments, home modifications for accessibility, or the cost of hiring someone to assist with daily activities.
Economic vs. Non-Economic Damages
While economic damages cover the quantifiable financial losses resulting from an injury, non-economic damages address the more intangible aspects of the harm suffered. Non-economic damages are intended to compensate for the emotional, psychological, and physical impact of an injury, which cannot be easily measured in monetary terms.
Non-economic damages may include:
- Pain and Suffering: Compensation for the physical pain and emotional distress a victim has suffered as a result of the injury and because of the injury itself.
- Loss of Enjoyment of Life: Damages for the loss of the ability to enjoy activities and experiences that the victim once found fulfilling.
- Emotional Distress: Compensation for the psychological impact of the injury. This would include anxiety, depression, or post-traumatic stress disorder (PTSD).
- Loss of Consortium: Damages awarded to the spouse or family members of the injured party for the loss of companionship, affection, or support.
In New Jersey, both economic and non-economic damages are recoverable in personal injury cases, and they are often awarded together to provide a comprehensive compensation package that addresses all aspects of the victim's losses.
Specifics of Economic Damages in New Jersey
Calculation of Economic Damages
In New Jersey, the calculation of economic damages is based on the actual expenses and losses incurred by the injured party. For example, medical expenses are determined by adding up all the bills and receipts related to the treatment of the injury. Lost wages are calculated based on the individual's salary or hourly wage, multiplied by the number of days or weeks they were unable to work.
Future losses, such as ongoing medical care or future lost wages, require a more complex calculation. In these cases, expert testimony, such as that of an economist or medical professional, may be needed to estimate the future costs and to account for factors such as inflation or changes in earning capacity.
No Cap on Economic Damages
In New Jersey, there is no cap on economic damages in personal injury cases. This means that the injured party can recover the full amount of their financial losses, regardless of the total cost. This is important because it ensures that victims are not left to cover expenses out of pocket due to an arbitrary limit on compensation.
However, it is essential to document all economic losses thoroughly, as the burden of proof lies with the plaintiff. Accurate records, such as medical bills, pay stubs, and receipts, are crucial in demonstrating the extent of the financial impact of the injury.
Comparative Negligence and Economic Damages
New Jersey follows the doctrine of comparative negligence, which means that if the injured party is found to be partially at fault for the accident, their compensation may be reduced by their percentage of fault.
Despite this, the ability to recover economic damages is still a critical aspect of personal injury claims, as it directly addresses the financial hardships that an injury can create.
Call Brandon J. Broderick For Legal Help
Navigating New Jersey personal injury claims can be challenging. Fortunately, you don't need to do it alone. The experienced personal injury lawyers at Brandon J. Broderick, Attorney at Law, are available 24/7 to help you understand your legal options, gather necessary evidence, and build a strong case to secure the settlement you deserve.
Contact us now for a free legal review.