Calculating Your Potential Compensation

Calculating Your Potential Compensation

You have undoubtedly noticed that compensation packages in personal injury cases vary considerably. Some people may receive six-figure settlements and more, while others receive much less. Each case is unique, and factors such as liability, the severity of injuries, and an individual’s potential earnings all play a part in determining the total compensation package.

With so many factors affecting compensation, determining fair compensation is both a science and an art. If you rely on an insurance company to calculate your compensation package, you may not receive the compensation you need to rebuild your life. Having a tenacious personal injury attorney calculating and fighting for the money you deserve gives you a better chance of success.

This article will take a deep dive into the types of compensation you could be entitled to as an Arkansas accident victim. We will also explore important factors that could affect your compensation and discuss the tools insurers and lawyers use to calculate compensation so you can fight for the money you deserve.

Types of Compensation in Personal Injury Claims

In personal injury claims, compensation is broken down into economic and non-economic categories. Economic compensation pays you back for the actual expenses you incurred due to the accident. Non-economic compensation covers intangible losses, such as mental anguish or physical pain.

Economic compensation

There are three main considerations for economic compensation:

  1. Medical expenses: This may include medical bills already paid, outstanding bills, medical liens, and future medical expenses resulting from your injury. As well as doctor appointments and hospital treatments, your expenses could also include physical and occupational therapy or long-term caretaker support if your injuries leave you permanently disabled.
  2. Lost wages: This could include lost pay since you were injured. If your injuries are serious and affect your ability to do the work you did before, you may be entitled to additional compensation.
  3. Property damage: If your vehicle or any other property was damaged as a direct result of the accident, you may be able to claim the cost of repairing or replacing it.

Non-economic compensation

Depending on the nature of your injuries and their long-term impact, some or all of the following may be applicable: 

Punitive damages

Arkansas law allows plaintiffs in civil lawsuits to pursue punitive damages. They are generally awarded when gross negligence has been exhibited and serve as an additional punishment and warning to others. However, one or both of the following conditions must be satisfied to receive punitive damages in Arkansas. 

You must prove that the defendant should have known his or her actions would probably result in injury or damage but continued regardless, or he or she intentionally set out to cause harm.

It is important to note that punitive damages are only a consideration in Arkansas personal injury lawsuits. These damages are generally awarded by a judge or jury. So, if you negotiate a compensation package out of court, you cannot claim punitive damages. 

Factors Affecting Your Compensation

Several crucial factors need to be considered when calculating your final compensation. It is very important to calculate the economic impact accurately, as this figure is often used to calculate your non-economic damages.

Seriousness and long-term impact of your injury

In general, the more serious your injury, the more compensation you will be entitled to receive. When calculating compensation, medical expenses are one of the first considerations.

The more extensive or severe your injuries are, the greater your expenses will be for:

If your injuries cause long-term disabilities, you may also need long-term caretaker support and adaptations to your home. When catastrophic injuries are involved, personal injury attorneys may hire medical expert witnesses and financial experts. Medical professionals can testify to the level of care you will need for the remainder of your life, and financial experts can put a dollar figure on this.

When your ability to work is affected

Catastrophic injuries may mean that it is no longer possible for you to work and provide for yourself and your family. Or your injuries may mean that you can no longer physically perform the job you did before your accident. Therefore, your compensation needs to consider your future lost earnings or loss of earning potential.

To calculate this, a personal injury lawyer may do the following:

Putting a dollar figure on lost earnings is more complex than it may first appear. If you trust an insurance company to do this for you, they are unlikely to analyze your finances to the level needed to calculate fair compensation. Instead, look to an Arkansas personal injury lawyer for the due diligence of achieving what you truly deserve.

Liability

Arkansas follows a legal doctrine known as modified comparative fault. In practical terms, if your liability for the accident that caused your injuries is 50 percent or more, you cannot pursue compensation. However, if you were 49 percent or less liable, you can seek compensation from the other party or parties.

However, when the insurance company and your personal injury lawyer calculate your total compensation package, they will take into account your level of liability. Suppose the total compensation awarded to someone 0 percent at fault would have been $100,000. If you were 30 percent liable, your compensation would be reduced by 30 percent. So, you would only receive $70,000. 

If you suspect that you were partially responsible for the accident that caused your injuries, don’t hold back from seeking legal advice. Insurance adjusters can be ruthless in trying to exaggerate the liability of other parties to reduce the compensation they have to pay out. They may even use the statements you make to them against you. 

So don’t be tempted to handle the insurance bullies on your own. Instead, hire an experienced attorney to fight for fair compensation, even if you may be partly liable. 

Insurance coverage

Policy limits are another challenge that could impact the compensation you can recover. For example, if you get into a car accident and the responsible party only has $50,000 of coverage, but your losses total $100,000, you may feel you have hit a dead end. However, you may still have a few options.

You could collect compensation directly from the responsible party. Yet, this may be difficult if they don’t have the resources to pay. Another option is to check whether the defendant has an umbrella policy that provides additional coverage beyond the limits of his or her auto insurance.

Finally, your personal injury attorney may need to hunt for additional defendants. If more than one person is liable, your attorney can seek compensation from all parties to ensure you recover what you deserve.

Limits on workers’ compensation coverage claims

In Arkansas, 27,800 injuries or illnesses occurred in the workplace in 2022. Workers’ compensation insurance will cover reasonably necessary medical care if you get injured or sick because of your job. It can also replace part of your lost wages. However, it does not allow you to claim non-economic compensation, like pain and suffering.

If you have been injured at work, it is still important to talk to an experienced Arknasas personal injury attorney. He or she can help you determine whether any other legal avenues for pursuing this potentially important compensation are open to you.

Statute of limitations

Time is another limiting factor when claiming compensation. In Arkansas, most personal injury cases must be filed within 3 years of the accident date. However, the sooner you start the claim, the easier it may be to build a strong case for compensation. So don’t delay in seeking legal advice.

Tools Used to Calculate Non-Economic Compensation

Economic compensation deals with concrete figures or financial projections. However, there is no set formula for calculating non-economic compensation. The two most commonly used methods to calculate a final compensation package are the per diem method and the multiplier method.

The per diem method puts a dollar amount on each day you suffered due to an injury. This is typically used for temporary injuries that don’t cause long-term disabilities. For example, if the dollar amount is $10, and your suffering lasts 120 days, your non-economic compensation would total $1,200.

The multiplier method is used in more serious cases that cause long-term suffering. This method works by multiplying the economic damages by a figure between 1.5 and 5. The more serious your injuries, the higher the multiplier will be.

It takes a lot of tenacious negotiation to agree on a multiplier that is acceptable to both sides. Make sure you choose an experienced personal injury attorney who is ready to play hardball and who knows every trick in the insurance adjuster’s book.

Minton Law Firm Brings Something Extra to the Table

Calculating potential compensation after an accident takes legal and financial expertise. The outcome of your claim could impact your financial stability for the rest of your life, so you need a personal injury lawyer with a track record of success. Even better, the support of a law firm led by someone who used to work for the opposition.

As a former insurance adjuster, Justin Minton knows all the tactics the other side will use in an attempt to reduce your compensation. He and his team know how to build strong cases to give you the best chance of overcoming everything insurance companies can throw at you. Minton Law Firm has negotiated personal injury settlements as high as $1.8 million, and we want to maximize your compensation too.

At your free consultation with us, a Minton Law Firm attorney will listen to your case and discuss your chances of success. Based on previous results, he or she may even be able to give you an estimated settlement figure. 

If you are ready for that conversation, call 855-Xadjuster or fill out our contact form today. We proudly serve the following areas: Little Rock – Pulaski County – ArkansasBenton – Saline County – Arkansas, and Conway – Faulkner County – Arkansas.

Negotiation Strategies for Car Accident Settlements

A vehicle damaged in an accident.

Car accident victims should be able to file an insurance claim and receive fair compensation for their property damage and injuries. Unfortunately, insurance companies will often deny car accident claims or offer low settlements that are far less than you deserve. 

As a former insurance adjuster, Justin Minton, founder of our personal injury law firm, knows the tactics insurance companies use to deny or devalue claims. In this post, we will share some tips on how to negotiate a fair car accident settlement. 

Steps to Take Immediately Following a Car Accident

The steps you take after your car accident can make a difference in your physical health and your financial recovery. 

If possible, take the following actions following a motor vehicle accident:

Gather All Necessary Documentation

Most personal injury lawyers will tell you that thorough preparation is essential to any successful negotiation with the insurance company. 

Preparation may include obtaining and organizing the following documents:

When you have this information readily available, it helps to substantiate your claim. It also demonstrates that you are well-prepared and serious about receiving fair compensation for your auto accident claim. 

Remember that insurance adjusters are often skilled at pressuring or tricking people into accepting insurance offers that are less than their claim is worth. For this reason, it is recommended to let your car accident lawyer handle all communication with the insurer.

Review Your Car Insurance Policy and the Other Drivers

It is often said that knowledge is power; this holds true when it comes to car accident insurance settlement negotiations. Familiarize yourself with your own auto insurance coverage and the other driver’s policy. 

By understanding what is covered in the insurance policies, you can counter low settlement offers with confidence. You will be able to argue your case more effectively, referencing specific clauses and coverage details to support your claim. 

Knowing the policy limits also empowers you to recognize when an insurance company is acting in bad faith. With this knowledge, you can challenge unfair settlement offers or denials and, if necessary, take legal action to protect your rights. 

Some car accident victims find insurance policies complex and difficult to understand. When you hire a car accident lawyer to handle your case, he or she will carefully examine the details of your policy for you and use this knowledge while negotiating on your behalf. 

Understand the Value of Your Claim

According to a recent annual statistic, 2,694 people were seriously injured in car accidents in Arkansas. A severe accident can leave you with significant financial losses.

Before negotiating, it is important to have a clear understanding of what your insurance claim is worth. 

Your damages could include:

Calculating your damages will give you a baseline for settlement negotiations. However, it can be difficult to understand the true value of your claim, especially when calculating non-economic damages like pain and suffering. When you have a car accident lawyer representing you, he or she will know how to calculate your losses accurately. 

Keep Alert to Insurance Company Tactics

Insurance companies use various strategies to protect their interests and reduce payouts. 

Being aware of the following tactics can help you navigate negotiations more effectively: 

The best way to counter insurance company tactics is to hire a car accident lawyer who is familiar with the strategies insurance companies utilize.

Start With a Higher Demand

When negotiating the purchase of a new home or motor vehicle, the seller will begin with a high sales price, while the consumer will start off with a low sales price. If both parties are good negotiators, they usually end up meeting somewhere in the middle. 

It is similar when negotiating with insurance adjusters. They will usually begin with a low settlement offer that is substantially less than what the insurance company is actually willing to pay. 

For this reason, when drafting your demand letter, it is suggested that you begin negotiations high enough, for you to come down, meet the insurance adjuster in the middle, and still receive fair compensation. 

If you need help deciding on a starting negotiating amount, contact the attorneys of Minton Law Firm. Founder Justin Minton is experienced on both sides of the insurance negotiation process, so his entire legal team is prepared for any tactics the insurance companies dish out.

Be Patient and Don’t Give Up Too Early

In some rare situations, the insurance claims adjuster may offer you a reasonable settlement amount during the initial discussion. However, more often than not, negotiations will go back and forth several times before you receive a fair settlement offer. 

Emotions may run high during negotiations but try to remain calm and professional. If you believe the amount you are requesting is fair, keep submitting documentation to support your settlement request. 

Be patient and remember that successful negotiations take time. Don’t rush into accepting an offer out of frustration. Insurance adjusters may withhold their best offer for several rounds of negotiations, so you have to hang in there. Don’t give in too soon!

Know When to Settle or Take Legal Action

While it is important to be persistent and avoid settling your claim too early, you should also be aware of when the insurance company has made its final offer. Look for clues that the adjuster may be able to go higher, such as saying, “I am unable to make a higher offer right now.” The phrase “right now” could indicate a higher offer is still available. 

If you believe that the insurance adjuster has made a final offer, you will need to decide whether to accept the settlement amount or pursue a personal injury lawsuit. 

If the amount offered by the insurance company is close to what you think is fair, it may be in your best interests to accept the settlement. On the other hand, if the insurance company fails to provide you with a fair settlement offer, your car accident lawyer may suggest filing a lawsuit. 

Factors to consider before going to court include:

When deciding whether to settle or pursue legal action, keep in mind that once you accept a settlement offer, you will not be able to go back and request more money later.

Why Hire a Personal Injury Lawyer to Negotiate Your Car Accident Settlement

While it may be tempting to handle the claims process on your own, hiring a personal injury attorney can greatly increase your chance of receiving a fair settlement for the following reasons:

Get Help Negotiating a Fair Car Accident Settlement

Negotiating a car accident settlement is complex and can feel overwhelming. By being well-prepared and understanding the steps involved, you can increase your chances of securing a fair settlement. 

However, your best chance at maximizing your car accident claim is to hire a personal injury law firm to handle your case. Before opening Minton Law Firm, Justin Minton worked as an adjuster for a major insurance company. He has seen firsthand how many people settle their insurance claims for less than they are worth. 

Justin Minton left the insurance industry to help car accident victims like you protect their legal rights. Let his legal team at Minton Law Firm negotiate a just and fair car accident settlement on your behalf. Call us 24/7 at 855-Xadjuster or complete the contact form to schedule a free case evaluation. 

Securing Your Family’s Future After a Wrongful Death

Few things in life are as difficult as losing someone dear to you in death. Sadly, it can be even more heartbreaking when your loved one’s death occurs due to another person’s negligent behavior or intentional act.

Further, the sudden loss of a loved one can burden already grieving families with significant financial hardships. In such instances, certain surviving family members can file a wrongful death claim against those responsible for the fatal accident. 

Understandably, you may feel overwhelmed by the idea of taking legal action while still reeling from your family member’s unexpected passing. However, a wrongful death settlement can ease the financial difficulties associated with your family’s loss and is often an essential step in moving forward from the traumatic incident.

Below, we will discuss practical measures you can take to secure your family’s financial future after a wrongful death. 

Consult a Wrongful Death Lawyer as Soon as Possible

An empathetic and experienced wrongful death attorney is the advocate your family needs after losing a loved one because of another party’s negligence. He or she will guide you through the legal process for financial compensation.

Having adept legal representation will ease your stress and give you peace of mind as you pursue a wrongful death claim. Hiring a lawyer early on will help hold all responsible parties accountable, preserve critical evidence, and ensure that all legal actions are brought within the allowed time frame.

Furthermore, the right lawyer will understand the emotional and financial challenges you are facing and will endeavor to shield you from additional sources of emotional pain as the claim progresses. With a compassionate attorney on your side, you will have more confidence in pursuing justice in your case. 

Gather Evidence and Documentation

Proving how and why your family member died is a principal part of the wrongful death claim. The deceased person’s death certificate, which states the official cause of death, is a key piece of evidence.

If an autopsy was performed, this report can provide convincing evidence of the cause of death. What’s more, if the police or emergency responders were called to the scene of the incident, their official accident reports could establish what happened. 

Additional compelling evidence in a wrongful death claim may include:

Proving financial damages is also a significant part of a wrongful death lawsuit. 

Important documents to gather include:

Such documents and reports can establish an indisputable link between someone’s negligent actions and your loved one’s untimely death, as well as resulting financial losses. Therefore, with the help of your wrongful death lawyer, work to gather all the records that you can, making sure to hold on to all documentation and evidence for the full duration of your wrongful death case.

Determine Who Caused the Wrongful Death

Successful wrongful death cases are dependent on identifying and holding accountable the responsible party.

To file a justifiable wrongful death claim, you must prove that:

By establishing such facts, the deceased’s personal representative or immediate family can open a wrongful death claim against the liable parties. 

It may seem like a straightforward case to you, but proving negligence and liability in a wrongful death case can be challenging. Reviewing the evidence and pinning responsibility for what happened is emotionally taxing. A skilled attorney will be able to do much of this on your behalf – sparing you from repeatedly reliving the events related to your relative’s death.

Understand and Identify the Relevant Damages in Your Wrongful Death Claim

When filing a wrongful death claim or lawsuit, it is essential that you pursue sufficient compensation to meet both your family’s current and long-term financial needs. It is wise to carefully consider the full financial impact your loved one’s death will have. Your damages may include much beyond the immediate expenses and costs related to the fatal accident.

Damages that may be available in wrongful death claims include:

Each wrongful death claim is unique, and families are impacted in different ways. The general goal in each case, though, is to reach a settlement that will adequately provide for your family’s future while also respecting the legacy of the deceased.

An experienced attorney can assist you in the difficult task of assigning a monetary value to your current and future damages. Carefully calculating your losses will ensure that you seek enough financial compensation to stabilize your family during this difficult time – a crucial step in the healing process.

Enter Wrongful Death Settlement Negotiations

In many cases, a wrongful death settlement agreement can be reached with the responsible party or their insurance company during the pre-litigation phase, before a lawsuit is filed. Families often prefer to undertake settlement negotiations before going all the way to court.

To begin negotiations, your wrongful death attorney will write a demand letter to the defendant and his or her insurance company. The letter may set forth the circumstances of the death, name the negligent party believed to have caused it, and explain how the evidence supports this conclusion.

It is in your best interest to remain cautious during insurance settlement negotiations. Insurance adjusters can be frustrating to work with and will often attempt to settle a wrongful death claim for less than what the family rightfully deserves. 

In such high-stakes and emotionally charged negotiations, it is advantageous to let your wrongful death attorney do the talking for you. He or she will ensure your legal rights are protected so that you receive a compensation amount reflecting the true extent of your losses.

If a reasonable settlement offer is not received, you can then opt to take further legal action by pursuing a wrongful death lawsuit.

File a Wrongful Death Lawsuit

At times, an amicable wrongful death settlement agreement cannot be reached. In such cases, your lawyer will file a complaint in civil court for wrongful death. The complaint will outline the details of the wrongful death suit.

The complaint will include the date and time of death, what caused it, and the amount of compensation sought. It will also review the established evidence and laws that apply to the case.

Enter the Litigation and Discovery Phase

The pre-trial phase of a wrongful death lawsuit includes the fact-finding or discovery period. This allows time for each side to collect as much information about the case as possible.

In order to build the wrongful death case, your lawyer may take such steps as:

The intention of the discovery phase is to firmly establish the facts of the case so that there are no surprises in the courtroom. 

Attend Court Mediation 

In an effort to resolve the wrongful death case without going to trial, the judge might require a mediation conference. The purpose of mediation is to open a conversation between the parties in order to settle the wrongful death claim.

Your wrongful death lawyer will be able to thoroughly prepare you for mediation and help you evaluate any settlement offers.

Take the Wrongful Death Case to Trial

If mediation and settlement negotiations fail, the trial stage of the wrongful death lawsuit will begin.

At trial, each side has the opportunity to present evidence, call witnesses, and provide arguments. Moreover, each party may cross-examine the other side’s witnesses.

At the end of the trial, the jury will deliberate and give their verdict. If you are disappointed with the outcome, you may be able to appeal the decision to a higher court.

Secure Your Family’s Financial Future With the Help of Experienced Wrongful Death Lawyers

The unanticipated and abrupt loss of a loved one in death can leave you emotionally shattered. You may feel that, in a single moment, everything you envisioned for your future is changed. Meanwhile, the financial losses associated with your family member’s death may be imposing an almost impossible weight on those left behind. 

Taking steps to file a wrongful death claim can help you get back on your feet after such a tragedy. That said, it is inadvisable for grieving families to attempt to navigate the legal process on their own. You need the support and guidance of a well-practiced wrongful death attorney. 

The compassionate wrongful death lawyers at the Minton Law Firm are here for you and your family in this time of need. Justin Minton and his colleagues have considerable experience in successfully settling wrongful death claims.

In wrongful death cases, it is our goal to ease the pain and suffering of devastated families by pursuing justice and fair compensation. Call us today at 855-Xadjuster or complete our contact form to schedule a free consultation. A member of our legal team is standing by to hear your story.