What are the possible financial loss when involved in an accident?

What are the possible financial loss when involved in an accident?

What are the possible financial loss when involved in an accident?

Accidents happen so sudden and unexpectedly that its victims and related people by the victim are unprepared both emotionally and financially. Leaving victims and their family confused and concern about where do they go from there. Even with non fatal accidents, it could inflict significant emotional and financial damage to those who suffers from as following from the event of accident, they are likely to miss work or their form of living as they are stuck in the hospital for recuperation, even if they say they have recovered enough to work, it is insufficient as they won't perform at their shape. Aside from that, the fear and confusion inside their mind are instilled and would likely to develop into mental condition if left unchecked. These leads back to financial damages that is the point of this blog, relation of accidents and its infliction of financial damage. 

Loss of Income
Following an accident is an expected loss of wage, there are many things to be considered as loss income. Some of them are identified as:

  • Work salary reduced because of absences (hourly pay or fixed pay)
  • Possible missing of overtime pay and bonuses

  • Business Income or Family Dealings 

  • Art and Service Commisions

  • Vacation and Other Productive Whereabouts 

Loss of income tends to be equated by most lawyers as their basis of the value of the claim, emotional suffering, mental damage and other bills are as well included in lawyers equation. In terms of income, lawyers even add up the lost income from the accident up to the possible loss of income based on your time of recuperation as well as your hourly/daily wage and how can those accident-sustained injuries affect your productivity and perfomance while working. Which will be discussed each in the blog. 

Daily Wage Computations

For an instance, if you have been earning for an estimated amount of $10,000 a month before the accident and following an accident, you are reported that you are needing to be hospitalized for more than 2 months due to severity of your injuries inccured to you by the recent accident. 

How lawyers compute this is firstly, determine how much you officially earn per month through soliciting your employer or asking business receipts if one owns a business at the moment and multiply to the given number of months that you are reportedly staying inside the medical institution, that is how much you are entitled for. 

Given the example above on how much you earn, the said $10,000 is the official monthly earning you have, multiply by 3 months (10000x3 = 30000), $30,000 is added to your whole worth of your claim. 

Post-recovery Income Computations 

There are two identified types of post-recovery cases, which are general damage and the reduction or even complete loss of earning capability. General damage refers to the subjective or emotional/cognitive damage done to the victim. It means that there are damages or inflicted traumas to the victim that would slow him down to work or the accident left him confused and distracted while working and it can be a factor for the employer to reduce his pay or worse, get him kicked from the job. While the loss of earning capability often means to losing the job or earning due to a damage sustained from the accident such as disability, cognitive problems and complications, business place, and other capacities and means to generate income. This case is devastating as the victim would suffer both emotionally and financially since he would be forever shook of what suddenly happened to him while stuck of piling payments since it may take a while to find a way to generate income aside from the victim's previous occupation. 

What can a victim do?

Damages in all form should be held accountable by the person behind all the negligences, may it be physical and especially psychological damages as it can scar them for life and would change how they'd function on their daily. This includes the collateral damage of lost income and earning capability, filing a claim should be done immediately with the help of an injury lawyer to prevent further loss due to lack of financial power for surgery and quicker means of recuperating for victim's sake. 

Ryan LLP is an Ohio based injury law firm that has more than 40 years of experience in the field of personal injury, wrongful death and medical malpractice claims. They professionally represent their clients claim in the hopes of getting them their compensation pay to financially assist themselves, it is literally free as they are paid until you are paid too. Call our offices now for free legal consultation.  

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