How to Calculate Compensation for a Traffic Accident
To find out how to calculate compensation for a traffic accident , in this post we explain what you should take into account to make the assessment and the factors that will be involved in calculating your compensation .
Calculating compensation for a traffic accident is not easy, and even less so if we take into account all the regulatory changes that have occurred in terms of civil liability arising from traffic accidents after the new Traffic Scale came into force.
“How much will I get for my accident? ”
It is normal that you ask this question if we take into account the lack of information you have from your insurer and the absence of data to know what you can claim and how it is valued.
It is also true that we often hear phrases like this from some clients:
“My cousin (brother, friend, etc.) received XXXX euros 10 years ago for the same injury that I have now” ?
It is also normal that you make this statement, once again because you do not know how injuries are valued and calculated now , and how things have changed in recent years.
In this post we will try to clarify the main factors that must be taken into account to know how to calculate compensation for a traffic accident.
Let’s clarify a couple of important points:
✔ ️ No two accidents are the same, nor are there two victims the same
Every accident is unique . There can be two rear-end collisions with the same dynamics, but with completely different material damage and injuries to the victims .
And, on the other hand, each victim is different from the others . A cervical sprain can cause very minor injuries in a young man of athletic build and heal in 30 days without sequelae, and yet be very disabling, require a long healing time and leave serious sequelae in a middle-aged woman who leads a sedentary life.
Therefore, factors such as age, physical build, sex or medical history can greatly influence the amount of compensation.
✔ ️ The method and requirements for calculating compensation for a traffic accident have changed
Forget about taking as a reference the compensation that friends or relatives may have received years ago. You are not the same as them, nor were the compensations calculated then as they are now.
Do not make the mistake of comparing your accident with others to calculate your compensation , no matter how similar they may be.
With these concepts clear, we move on to analyze the factors that must be taken into account to know how to calculate compensation for a traffic accident.
What is compensated in a traffic accident?
Compensation for a traffic accident must cover all damages suffered that are directly related to the accident, including material damage, personal injury, and financial loss .
? To calculate the compensation , you must refer to the new Traffic Scale , which came into force in January 2016 and replaced an obsolete system that was far from the compensation granted in other European countries.
? The new Scale greatly complicates the assessment and calculation of compensation for victims. It is a compendium of more than 500 pages, with a series of articles and tables that can only be properly interpreted with the help of an expert lawyer in the field so that the compensation to be claimed is correct. ?
? Logically, the compensation will be higher or lower depending on the damage suffered . An accident with material damage only is not the same as a minor collision with a cervical sprain, or a hit and run resulting in a shoulder fracture, or a motorcycle accident that leaves the victim in a wheelchair.
How compensation for a traffic accident is calculated
Now that you know the basics, we are going to explain how compensation for a traffic accident is calculated.
Property damage & personal injury
To calculate the compensation , it is necessary to distinguish whether there has only been material damage or whether there has also been personal injury, and the type of accident suffered influences this.
If, for example, I have been involved in a car, motorcycle or bicycle accident , it is almost certain that I will have to claim compensation for the material damage I have suffered, and for any injuries I have suffered.
But if I have been hit by a car or fallen on a bus , I may have suffered injuries and not have any material damages to claim.
And if I am an occupant of the accidented car , I will claim my injuries, but not the material damages, which must be claimed by the owner of the accident.
In the vast majority of traffic accidents, in addition to material damage, there are injuries .
The evolution of these cannot be known in advance, because as we have already explained, each victim is unique and will take more or less time to heal, and may or may not have one or more after-effects, a disability generated as a result of the injuries, or other consequences that must be assessed when calculating the compensation.
Therefore, when there are injuries, the compensation cannot be calculated until the injured person is discharged from the hospital , that is, when their injuries are stabilized and the time it took to heal and the after-effects that remain can be assessed.
That is why when a client asks us what they are going to charge for their accident, it is very difficult to give an exact answer , because the lawyer cannot know exactly, and neither can the victim.
What we lawyers can do in an initial consultation is an approximate assessment based on the type of accident and the injuries initially suffered, based on the experience we have in similar cases, but we insist, it is not possible to know in advance exactly how much compensation will be charged for a traffic accident.
How compensation for material damage is calculated
Compensation for material damage depends on the extent of the damage . It is not the same as covering the repair of our car, or declaring it a loss and having to pay us its value.
Material damages are understood not only as the repair of the vehicle, motorcycle, bicycle, or taxi, for example, but also as the payment for any other damage considered “material” suffered in the accident.
This is how compensation is provided, for example, for the helmet or gloves of a motorcyclist or cyclist, the broken mobile phone or glasses of a pedestrian who has been run over, or the luggage of a bus occupant who has been damaged in an accident.
If your vehicle or motorcycle is declared a total loss, you must be paid the market value plus the value of the loss. You will need to have a lawyer calculate this for you or review the offer you are given to ensure that it is correct.
Insurance companies often discuss the payment of certain material damages and it is necessary to provide adequate documentary evidence.
? To calculate the compensation for material damages, you should consult a lawyer . Keep in mind that the burden of proof is on you.
In many cases, material damages are considerable and if the insurer does not want to pay them, it is necessary to resort to legal proceedings to claim them.
How personal injury compensation is calculated
The amount of compensation for personal injury will depend, as we have seen, on the type of injuries suffered by the victim.
? Injuries resulting from minor spinal trauma (cervical sprains, post-traumatic back pain or lumbar pain) are always disputed and underpaid (or not paid at all) by insurance companies . To calculate and claim compensation for this type of injury, the help of a lawyer will always be necessary.
? The calculation of compensation for injuries is based on the Tables contained in the 2016 Traffic Scale , and includes both the time it took the victim to heal (basic or particular personal injury) and any possible after-effects or disabilities that may have remained.
The assessment of after-effects is always minimized by insurers , who either do not recognize them, or if they do, they always value them downwards .
The calculation of compensation for after-effects is done according to the number of after-effect points and the age of the injured person , but its assessment in order to demand from the company what really corresponds to the injured person must always be done with the help of a lawyer.
This is because , due to ignorance, you may fail to claim concepts to which you are entitled.
? Compensation for possible disabilities arising after the accident, for medical operations , and other concepts included in the Scale that must be known so as not to be left out of the compensation must also be calculated in this section.
How compensation for property damage is calculated
Compensation for patrimonial damage includes loss of profits and consequential damages , concepts often not recognized or paid by insurance companies.
? Compensation for loss of earnings includes any financial loss suffered by the victim that represents a loss to his or her assets , for example, commissions not received due to being on sick leave because of the accident, the earnings of taxi drivers or amounts deducted from our pay for being on sick leave.
To calculate the compensation for this concept, it is necessary to have very well documented evidence of the loss of earnings , requesting supporting documents from the company, tax returns, union certificates or any other document that proves it, and that a lawyer will advise you on how to claim it.
Compensation for consequential damages includes any other economic loss that the victim has had to bear as a result of the accident.
This includes items such as travel expenses, rehabilitation or medical tests, pharmacy expenses, and others, always documented with invoices.
How death compensation is calculated
If the victim is deceased, things change, because in these cases there is no need to wait for the injuries to stabilize.
? The death compensation will be claimed and received by the beneficiaries of the deceased , in accordance with the provisions of articles 61 to 92 of the new Traffic Scale.
Insurance companies move very quickly in these cases, and will make payment offers to beneficiaries very quickly to prevent them from consulting a specialist lawyer first.
? To calculate the compensation for a traffic accident with death, it is necessary to take into account, according to the Traffic Scale, the basic personal injury, particular personal injury and patrimonial injury (Tables 1.A, 1.B and 1.C), and to take into account the specific circumstances of the deceased (age, family situation, employment, etc.).
In order not to leave any concept unclaimed, it is best to consult a lawyer.
There are cases of accidents with fatalities where the insurance company does not want to pay compensation because there are doubts about the fault or there may be shared responsibility. Always consult a lawyer to find out the options and avenues for making a claim.
