A car accident often means that an injured individual missed work. Fortunately, most states permit an injured party to be reimbursed for the cost of missing work, including the use of sick and vacation days used as a result of needing time off after the accident. Below is an explanation of how missed work days are compensated in a car accident claim.
“Lost Wages”
Most states refer to missed work days as “lost wages”. This term includes in its definition those days that were taken off of work as a result of an injury or treatments for an injury sustained in an auto accident. Sick and vacation days taken for the purpose of healing from an injury for which the injured party did not receive compensation fall within the purview of lost wages. Individuals unemployed at the time of the accident will not receive lost wages damages.
Calculating Lost Wages
In calculating lost wages, the insurance company or court will look to how much money the injured individual makes per day. If the individual is paid a salary, the salary will be broken down to determine how much the individual is paid each day. Wages for hourly workers will be calculated based on how many hours the individual commonly worked in a given day.
After identifying the party’s daily wages, the company or court will multiply that number by the number of days that were missed. This amount is then awarded as lost wages either by the court in a court order or in an insurance company’s settlement offer.
The Reasoning Behind Lost Wage Compensation
The purpose of awarding lost wage damages is to reimburse the injured party for missing the income he normally would have earned if he were uninjured. Because of this, the amount of lost wage awards is often the exact amount that was unearned, no more and no less.
The Exception for Unemployed Individuals
While an individual unemployed at the time of the accident is not entitled to lost wage compensation, a party that was injured and subsequently lost his job because of his injury is entitled to lost wage compensation. Often, in this situation, the court or insurance company will award the injured party the amount of money he would have earned at the job he lost up to and including the date the settlement offer or court order is made. Obtaining reimbursement for loss of future earnings is a different type of damage award.
Getting Legal Help
If you were injured in an auto accident and lost wages as a result of your injury, seek legal advice about obtaining compensation. A lawyer will explain the rules for being awarded lost wage damages in your area and discuss your potential for success.
