How Do Insurance Companies Calculate Pain and Suffering?

woman experiencing suffering

When you get a car accident settlement, it’s not just supposed to pay for the economic costs of an accident, like your medical bills. It should also address other ways that an accident can affect someone, which is why many drivers sue for damages covering pain and suffering. How does someone calculate pain and suffering though? Insurance companies have their ways, but if you want to fight for a truly fair settlement offer then you may want to have a Middlesex County, NJ car accident attorney from our firm on your side.

What is Pain and Suffering?

Damages for pain and suffering are paid out because going through a car accident is a traumatic process. You don’t just have bills to worry about and paychecks that you missed out on. Your settlement also needs to address how you felt as you were recovering and everything that you have experienced due to a crash.

Will My Own Insurer Pay for Pain and Suffering?

When you get into a car accident in New York, you first go through your own insurance coverage and use your personal injury protection, or PIP, part of your policy to pay medical bills. If your injuries are serious, you can sue another driver for damages. It’s at this point that you can be reimbursed for pain and suffering. Your own insurer will not pay you for that. You have to make a third-party claim and go after someone else’s insurance policy.

What Factors Determine How Much My Settlement Will Be?

When an insurance company looks at your claim, they will begin to do some calculations to figure out how much you should be paid for your pain and suffering. It’s not like there are already calculated bills for it, like there are for your medical expenses. An insurer can consider a wide range of factors, including:

  • The severity of your injuries
  • Side effects of your physical injuries, like depression or difficulty sleeping
  • The length and difficulty of your recovery
  • How your injuries affect your enjoyment of life
  • If you were partly at fault for the accident
  • If you will continue to suffer the effects of your injuries for life

Usually, the insurer will take this all into account and calculate pain and suffering by multiplying your medical bills by a number between 1.5 and 5. The more severe the effects of an accident, the higher the multiplier will be.

Do I Need to Hire an Attorney?

You are not required to hire a lawyer when pursuing a third-party injury claim, but one can do a lot to help you with your case. An attorney from our firm can help you gather evidence and show how another driver was to blame for your injuries and your pain and suffering. They can also focus on the paperwork and the legal process while you focus on recovering.

Contact Our Law Firm

If you have suffered serious injuries in a car accident and you plan to sue for damages, contact Stathis & Leonardis. We can schedule a consultation and tell you a bit more about how our attorneys can help accident victims just like you fight for fair compensation.

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