Compensation terms
Financial and non-financial losses, valuation concepts, future needs, and settlement forms.
Economic DamagesCompensation for measurable financial losses such as medical costs, income loss, care expenses, and damaged property.Future Care CostsThe projected reasonable cost of medical treatment, rehabilitation, assistance, equipment, or services expected after settlement or judgment.Future Earning CapacityThe value of a reduced ability to earn income in the future because of accident-related limitations.General DamagesA term often used for non-pecuniary losses such as pain, suffering, and loss of enjoyment, though definitions vary by jurisdiction.Housekeeping LossThe value of household tasks a person cannot perform or performs with greater difficulty because of injury.Loss of ConsortiumA claim, where recognized, for the effect an injury has on a spouse’s companionship, affection, support, or relationship.Lost IncomeWages, salary, self-employment earnings, benefits, or other compensation not received because of accident-related absence or reduced work.Mitigation of DamagesThe obligation to take reasonable steps to limit avoidable loss after an injury or accident.Non-Economic DamagesCompensation for losses that do not have a direct invoice, such as pain, suffering, inconvenience, or reduced quality of life.Out-of-Pocket ExpensesReasonable accident-related costs paid directly by the injured person or family, such as medication, travel, parking, or equipment.Pain and SufferingA common description for physical discomfort, emotional effects, inconvenience, and loss of enjoyment caused by injury.Present ValueThe current lump-sum value of money or losses expected to occur in the future, calculated using financial assumptions.Property DamagePhysical damage to a vehicle, personal property, building, or other tangible item.Punitive DamagesDamages intended primarily to punish and deter especially wrongful conduct, available only in limited circumstances.Special DamagesA term often used for specifically quantifiable financial losses, though terminology and treatment differ by jurisdiction.Structured SettlementAn arrangement in which some or all settlement proceeds are paid in scheduled future payments rather than one immediate lump sum.Wrongful Death DamagesCompensation available under local law to eligible survivors or an estate after a death caused by legally wrongful conduct.