The injuries and trauma that accompany a serious car accident in Indiana can take a heavy toll on you and your family, not just physically and emotionally but financially as well. When someone else’s negligent driving causes your wreck, Indiana law allows you to seek compensation, or “damages,” from that at-fault driver to address those costs and expenses.
Whether you settle your car accident claim or sue the other driver in court, you cannot hope to recover any damages that you do not request and pursue. Be that as it may, many injury victims who handle these processes themselves have little idea how much their case is worth or the damages available to them. And that ignorance can be costly.
If you do not seek all the damages available to you after a car accident, you may not be able to recover enough compensation to meet all your needs. You could then be left paying the difference between the compensation you receive, if any, and your actual expenses and losses.
To learn more, continue with the article by experienced Indianapolis car accident lawyer SLG Accident Attorneys.
What Exactly Are Damages in Indiana Car Accident Claims?
“Damages” is a legal term that refers to the compensation one person pays to another injured individual. That payment is meant to address the various losses and harm a car crash can cause a victim, such as:
- Medical expenses, including future medical needs
- Therapy and rehabilitation
- Lost wages due to time missed from work
- Reduced future earning capacity
- Mental health counseling and other services
- Loss of enjoyment of life and activities
Although injured plaintiffs in all car accidents and personal injury suits seek damages, the amount of damages in Indiana car accident claims can vary significantly from case to case.
Indiana is considered an “at-fault” state, which means that the person whose negligence causes a crash is generally responsible for compensating those hurt in it. The at-fault individual’s car insurance policy can pay some of these expenses, but they may also be personally responsible for them, too.
Still, regardless of the amount they seek, plaintiffs bear the burden of supporting their requested amount with evidence.
What Are the Main Types of Damages?
Anyone injured in a car accident can seek two types of damages in Indiana car accident claims. The first type of these are economic damages, which compensate the victim for any financial losses they experience due to their injuries. Common expenses that economic damages address include medical bills and lost wages.
Plaintiffs can document and prove their economic damages through the bills, receipts, invoices, and estimates they receive through the course of their recovery. Where documentation is not readily available, plaintiffs may have to call witnesses, such as their doctors, mechanics, or other professionals, to support the amount of economic damages they seek.
The second type of damages is “non-economic” damages. These compensate injury victims for the intangible harm they’ve suffered because of their accident. Post-traumatic stress disorder (PTSD), anxiety, and depression are common examples of these unseen yet very real injuries, and their effects can include any of the following:
- Loss of interest in once pleasurable activities
- Inability to leave the house or go to work
- Paralyzing fear over riding in a car
- Diminished ability to interact with friends and family members
- Pessimistic outlook on life and the future
Just because non-economic harm does not have a price tag does not mean it does not deserve financial compensation. However, establishing and proving a dollar amount for these losses can be more difficult than their economic counterparts. Plaintiffs will often rely on their own testimony and that of their family and friends to convince a judge or jury of their need for such damages.
In many cases, damages in Indiana car accident claims are paid pursuant to settlement agreements the parties reach. These agreements are contracts wherein the plaintiff agrees to accept a specific amount of money from the at-fault driver and their insurance company as payment in full for the plaintiff’s economic and non-economic damages.
However, it is essential that you understand the value of your case and the damages you could receive. Plaintiffs who do not have a firm grasp on damages in Indiana car accident claims risk settling their case for far too little compensation. A skilled Indiana car accident lawyer can help injury victims sort through the different types of damages available to them.
How Do Insurance Companies Calculate Damages in Indiana Car Accident Claims?
During settlement negotiations, it is common for the insurance company of an at-fault driver to propose an amount to you. How exactly an insurance company arrives at that value can be confusing, especially if they have not seen any of your bills or receipts.
Below is a simplified guide to one process insurance companies employ:
1. Request and Consider Medical Bills
First, the insurance company will review your medical bills stemming from the accident. It will generally pay these amounts unless questions arise regarding the necessity of your medical treatments and whether the injuries you cite were all caused by the crash.
2. Use a Multiplier
Next, the insurance company will multiply the amount of your medical bills by a multiplier, a number that usually ranges between one and three, depending on the severity of your injuries. The value of the product is meant to reflect incidental and non-economic damages you suffered because of the crash.
3. Address Property Damage
If your car was damaged in the crash, the insurance company will use one or more resources to estimate the cost of repairs. A vehicle that is severely damaged is deemed “totaled,” and the company will offer to buy it as-is from you. However, the resources insurance companies use tend to undervalue the actual cost of vehicle repairs.
4. Add Lost Wages
Fourth, if you miss any work because of your injuries, the insurance company will compensate you for your lost wages. So long as your absences and pay rate are well-documented, the insurance company will typically pay the full amount of wages that you could not earn because of the accident.
These steps do not represent the only way insurance companies will calculate the settlement offer they will propose to you. Whatever approach they do use, though, you can expect their offer to be low. Insurance companies do not make money settling cases for the full amount they are worth, after all, and that’s why they will try to settle your case for as little as possible.
What Factors Will Affect the Amount of My Car Accident Settlement?
The insurance company will consider other facts and circumstances related to your accident and adjust their proposed settlement amount accordingly. For example, if it appears your actions may have contributed to the crash, the insurance company will likely lower the amount of damages it offers you.
Another relevant factor encompasses the availability and strength of evidence to support your claim. Suppose that you misplaced bills and invoices, that there were no witnesses to your accident, or that the police’s crash report is inconclusive as to the cause of the wreck. In any of these circumstances, the company may lower its offer.
Your need for prompt compensation can also impact the amount the company will offer you. One of the primary benefits of settlements is that the injury victim receives damages quicker than they would by proceeding to trial. However, if the insurer senses you need compensation immediately, they may offer a lower amount in hopes you will take it without much thought.
The insurance company may consider the settlement amount it intends to offer based on the estimated costs of litigating your claim as well. Where the insurer may not suffer much financial loss from contesting your claim, they will likely offer a lower settlement amount.
One last factor to be aware of is that an insurance company will not pay more than its policy’s limits. For example, the minimum coverage for bodily injury to one person in Indiana is $25,000. No matter the extent of your injuries, insurers will not offer more than that for your medical expenses.
With all of these elements at play, you must be careful when settling your case if you sustain severe injuries or have considerable financial losses. Most settlements require you to release both the insurer and their insured client from further liability. If you do so too soon, you could be left unable to seek additional compensation and with considerable, uncovered expenses.
Are There Caps to Settlement Amounts in Indiana?
Because settlements are private agreements between you and an at-fault party, there is technically no limit to the amount of compensation you could receive through one. The at-fault party and their insurer will decide how much they are inclined to pay to settle your claim. Similarly, you decide how much compensation you are willing to accept.
Given that insurance companies will not pay more than their client’s policy limits, though, you might wonder how you can receive enough damages in Indiana car accident claims. For example, suppose your medical bills exceed $100,000, but the at-fault driver’s insurance policy will only pay $25,000.
One way to recover the damages you need is to settle with both the insurer and the at-fault driver personally. It’s a strategy that is useful if the at-fault driver has personal assets they can use to satisfy the remaining losses. Alternatively, if multiple parties were responsible for the crash, you could settle with each of them to secure enough compensation.
Beyond settling, your other option to receive the damages in Indiana car accident claims you need is to take your claim to trial. There, you can secure a judgment against the at-fault party for the full amount of your losses.
Can I Still Receive Compensation if I Was Partly at-Fault for the Accident?
Plaintiffs should pursue a settlement or claim for damages in Indiana car accident claims even if they believe they are partly to blame for the accident. Indiana’s modified comparative negligence statute allows injury victims to recover some compensation so long as their actions are not the primary cause of the crash.
For example, suppose that you were listening to the radio and not paying attention to your surroundings as you drove through an intersection. At the same time, a careless driver ignored a red light and entered the intersection, crashing into you. Although you were not paying close attention, the other driver’s actions were the primary cause of the crash.
Any amount of carelessness you exhibited in the accident will be quantified and expressed as a percentage. The amount of compensation you receive would then be reduced proportionately. If the percentage of fault attributable to you is 50.1 percent or greater, you will not receive any compensation.
In the example above, your actions could be found to be five percent responsible for the crash. If you sustained a total of $50,000 in damages, you could expect to recover $47,500 in compensation.
Skilled Indiana Car Accident Lawyer
If you or a loved one are hurt in an Indiana car wreck, turn to SLG Accident Attorneys for experienced, professional, and skilled representation. We are fierce advocates and know how to properly calculate damages in Indiana car accident claims.
Your attorney will work with you to gather evidence and represent your interests throughout settlement negotiations. And if those negotiations are not productive, you can be confident that they will be prepared and capable of taking your claim to trial.
Contact SLG Accident Attorneys today so we can discuss your case and legal options with you.
