Economic and Non-Economic Damages in Personal Injury Claims

When it comes to personal injury claims, understanding how damages are calculated is essential for both injured parties and their legal representatives. Damages in personal injury cases encompass various losses, including financial costs and non-economic factors. In this blog post, we will explore the process of calculating damages, considering both economic and non-economic factors. By gaining insight into this evaluation process, you can better comprehend the potential compensation you may be entitled to in your personal injury claim.

Economic Damages

Economic damages refer to the financial losses incurred as a direct result of the injury. These damages are typically quantifiable and include the following factors:

  • Medical Expenses: Medical bills, hospital stays, surgeries, medications, rehabilitation, and ongoing treatment costs are all considered in calculating economic damages.
  • Lost Wages: If the injury results in missed work, diminished earning capacity, or permanent disability preventing future employment, the loss of current and future income is factored into the economic damages.
  • Property Damage: If personal property, such as a vehicle or personal belongings, is damaged in the incident, the cost of repair or replacement is included as economic damages.
  • Other Financial Losses: Additional economic damages may include expenses related to transportation, home modifications, or other out-of-pocket costs directly attributable to the injury.

Non-Economic Damages

Non-economic damages are less tangible losses that do not have a precise monetary value. These factors are subjective and reflect the emotional and psychological impact of the injury. Non-economic damages may include:

  • Pain and Suffering: Compensation for physical pain, discomfort, and emotional distress experienced as a result of the injury is considered non-economic damages.
  • Mental Anguish: Psychological trauma, anxiety, depression, and other emotional disturbances resulting from the injury may be included in the evaluation of non-economic damages.
  • Loss of Enjoyment: If the injury limits or prevents the injured party from engaging in activities they previously enjoyed, compensation for the loss of enjoyment of life may be sought.
  • Loss of Consortium: In cases where the injury affects the injured party’s relationship with their spouse or family, damages may be awarded for the loss of companionship, intimacy, or support.

Factors Influencing Damages Calculation

Several factors impact the calculation of damages in personal injury claims. These factors may vary depending on the jurisdiction and the specific circumstances of the case. Key considerations may include:

  • Severity of the Injury: The extent and long-term effects of the injury, as determined by medical reports and expert opinions, play a significant role in assessing the overall damages.
  • Comparative Negligence: If the injured party is found partially responsible for the incident, the compensation awarded may be reduced proportionally to their level of fault.
  • Duration of Recovery: The length of time required for recovery and the potential for ongoing medical treatment or long-term disabilities are taken into account when calculating damages.
  • Impact on Quality of Life: The degree to which the injury affects the injured party’s daily life, relationships, and overall well-being contributes to the evaluation of damages.

Consultation with a Personal Injury Attorney

Calculating damages in a personal injury claim can be complex. It is crucial to consult with a skilled personal injury attorney who can assess the unique factors of your case, gather necessary evidence, and advocate for fair compensation on your behalf.


Understanding how damages are calculated in personal injury claims is vital for obtaining fair compensation. Economic damages encompass quantifiable financial losses, while non-economic damages reflect the intangible impact on an individual’s well-being. Considering the severity of the injury, comparative negligence, recovery duration, and quality of life factors, a comprehensive evaluation is conducted to determine the appropriate compensation. Working with an experienced personal injury attorney will ensure that all relevant factors are considered and that you have the best chance of receiving the compensation you deserve.