Expert: Doctor Settlement - 10/27/2005

Question
Is there a formula for figuring pain and suffering damages. An accident where the car was a total loss with minor, but nagging, injuries?

Answer
Hi Ron,

Sorry to hear you still have nagging injuries since those can continue on for quite some time, especially if you have work that puts a strain on your soft tissue musculature.

Also sorry I am on a trip again and so I missed my email by a day in responding to your request.

Valuation is not like going to a drive-in for a fast food meal. It takes time and study of many factors, including liability and medical records.

Sooo, I have a short answer and a longer more detailed answer for you.

SHORT ANSWER: A common theme among those who still think a formula will put you in the ballpark is to multiply the medical specials times a number from TWO to FIVE, and that is the total value of the personal injury portion of the claim. Of course there is a long list of factors to consider for adding or deducting from the total.

LONGER ANSWER:
Here are some of those factors (as set forth in the members' section of www.SettementCentral.Com, Dr. Settlement's website):
There are changes in the formula approach, DEPENDING UPON SERIOUSNESS OF INJURIES. The typical formula approach in determining the value of general damages, i.e. pain and suffering, permanent disability and emotional damages, is to multiply the amount of the MEDICAL specials by a factor between 1.5 and 3 if the injuries are relatively minor or continue less than one year, or by a factor of 4, 5, or more when the injuries are very painful, serious, long-lasting or permanent. Once this determination is completed, add the lost income and property damage components to determine the starting amount for beginning negotiations on the total value of the compensation due you on your claim.

Here is a listing of factors that will affect both the multiplier you will use, as well as the value of the claim inasmuch as they will increase or decrease the product of your multiplication.

1. LIABILITY DISPUTE & comparative negligence
This is a big one because it most dramatically affects value.

Comparative negligence on your part up to 20% to 30% you can negotiate. Anything the adjuster wants to assign to you above that is a signal to contact an attorney.

2. Trauma suffered
The value of your claim increases with a bigger crash, and decreases with a low damage fender bender. Why? Just human nature.

Therefore, the total value of the property damage (e.g. cost to repair or replace a motor vehicle) becomes significant.

3. Medical special damages
Cost of medical and related health care expenses; higher costs usually equate to an increase in value (excepting, of course, cases of gross overtreatment).

4. Type of injury
Where does the injury fall within the insurance industry's "hierarchy list" of valuing injuries? Irrespective of which injury may cause more pain, injuries are valued according to seriousness, tendency to be persistent or permanent, and whether or not they need objective proof to be believed (e.g. a broken bone versus soft tissue strain).

5. Type of medical care
Where does the medical care fall within the insurance industry's "hierarchy list" of valuing medical care?

6. Prognosis- future care- permanency of injury or pain and suffering- or were you done treating 12 months ago?

Your claim value gets a boost if your doctor specifies that you will need some future medical care.

7. Your medical and claims history, prior accidents, prior injuries or treatment of the same area of the body.

8. Impairment of quality of life.

9. Quality and persistence of pain suffered.

10. Quality and thoroughness of your medical records.

11. Lost wages.

12. The legal or social stigma attached to the tortfeasor's acts.

13. The Insurance Company and Adjuster you are dealing with

I hope this helps, Ron. For information on how to negotiate the claim, www.SettlementCentral.Com has phone scripts and letter examples in the members' section.

Best Wishes, and let me know what happens if you would like.

Doctor Settlement
www.SettlementCentral.Com