When people think about the financial impact of an accident, they often think about the hospital bill first.
But for many injured people, the bigger problem comes later.
What happens when you cannot work?
A serious injury can keep someone away from work for weeks, months, or even longer. Some people eventually return to the same job. Others cannot return to the work they did before the accident.
That difference can have a major effect on a personal injury claim.
Missing a Few Paychecks Can Become a Much Bigger Problem
Consider someone who supports a family through physical work.
After a serious accident, that person may suddenly face:
- Missed paychecks
- Medical bills
- Rehabilitation costs
- Household expenses
- Transportation costs
- Childcare expenses
The bills do not stop because someone is injured.
What If You Cannot Return to Your Old Job?
This is where the financial impact of an injury can become much more complicated.
A person may technically be able to work again but still be unable to perform the same job.
For example, a construction worker with a serious back injury may be able to perform lighter work but no longer be able to lift heavy materials.
That can mean a permanent reduction in earning ability.
Lost Wages and Lost Earning Capacity Are Not Always the Same
Lost wages generally refer to income you miss while you cannot work.
Lost earning capacity looks further into the future.
It asks a different question:
How has the injury affected your ability to earn money going forward?
That can involve factors such as:
- Your occupation
- Your age
- Your education
- Your work history
- Your physical limitations
- Your expected future income
A serious injury lawyer may work with financial or vocational experts to understand the long-term impact.
The Injury May Affect More Than Your Paycheck
Work provides more than a paycheck.
A person may also lose:
- Career opportunities
- Promotions
- Retirement contributions
- Benefits
- The ability to work overtime
These losses can be easy to overlook when an injury claim is first evaluated.
What About Someone Who Is Self-Employed?
Proving lost income can be more complicated when you own a business or work for yourself.
Income may change from month to month.
Your attorney may need to examine:
- Tax records
- Business records
- Contracts
- Invoices
- Past earnings
The goal is to understand what your injury actually cost you, rather than relying on a single paycheck.
Why You Should Not Rush to Settle
An insurance company may focus on the wages you have already lost.
But what about the income you may lose five or ten years from now?
That question becomes especially important when an injury affects your ability to return to your previous career.
A settlement should account for the full impact of the injury whenever the law allows recovery for those losses.
Your Future Matters Too
A serious injury can change the way you work, live, and support your family.
That is why a personal injury claim should not focus only on what happened yesterday.
It should also consider what the injury means for your future.
Speak With a Serious Injury Lawyer
If an accident has affected your ability to work or earn a living, Segan, Nemerov, Singer & Sonin P.C. can help you understand how those losses may affect your claim.
Let us review the facts of your case and help you understand your legal options.