Are you looking to calculate pain and suffering after an accident? Then the multiplier method is your best bet. It’s a handy tool that personal injury lawyers often use to determine the non-economic damages in a personal injury case. Picture this: you’ve been in a car crash, and now you’re dealing with not just physical injuries but emotional distress, too.
The National Highway Traffic Safety Administration did study research and found out that there were over 6 million police-reported motor vehicle accidents in the United States in 2020 alone, resulting in numerous injuries and emotional trauma for those involved.
In such situations, understanding how personal injury lawyers calculate pain and suffering can empower you to ensure you receive fair compensation.
In this article, we delve into how the multiplier method can simplify assessing the intangible costs of your injuries and why it matters in your personal injury claim. Continue reading.
What is the Multiplier Method?
In a personal injury claim, personal injury advocates commonly use the multiplier method to calculate pain and suffering damages. It involves multiplying the sum of economic damages, such as medical expenses/bills, and lost wages, by a specific factor to determine the non-economic damages associated with the victim’s pain and suffering.
This method acknowledges that monetary compensation cannot fully account for the emotional distress, physical pain, and lifestyle changes resulting from an injury. Instead, it aims to provide a reasonable estimate of these intangible losses based on the severity of the injury and its impact on the victim’s life.
How Personal Injury Lawyers Use the Multiplier Method
Rest assured, personal injury lawyers are adept at using the multiplier method to negotiate a fair settlement for their clients. They start by calculating the total economic damages incurred by the victim, including medical bills, therapy costs, lost income/wages, and any other out-of-pocket expenses related to the injury.
Once the economic damages are determined, the lawyer applies a multiplier to this amount. The multiplier is usually between 1.5 and 5, based on factors such as the severity of the injury, the extent of the victim’s pain and suffering, and the impact on their daily life. The higher the multiplier, the more the compensation for pain and suffering.
Factors Considered in Applying the Multiplier
Several factors influence the multiplier used to calculate pain and suffering damages. These may include:
- The extent of the injury’s severity: More serious injuries typically warrant a higher multiplier.
- The duration of recovery: Longer recovery periods may justify a higher multiplier.
- Permanent impairment: Permanent injuries or disabilities may result in a higher multiplier.
- Emotional impact: Psychological trauma or emotional distress caused by the injury may increase the multiplier.
- Impact on daily life: Significant disruptions to the victim’s daily activities or lifestyle may lead to a higher multiplier.
Personal injury lawyers carefully assess these factors to determine the appropriate multiplier that reflects the full extent of their client’s pain and suffering.
Criticisms and Limitations of the Multiplier Method
While the multiplier method is used widely in personal injury cases, it has criticisms and limitations. One common criticism is that it relies heavily on subjective factors such as the lawyer’s judgment and the medical experts’ opinions.
In addition, using a multiplier can sometimes lead to inflated or inconsistent awards, especially when there is a need for clear guidelines for determining the appropriate multiplier. Critics argue that this can result in unfair outcomes for plaintiffs and defendants.
Furthermore, the multiplier method may not adequately account for certain types of pain and suffering, such as emotional turmoil/distress or loss of enjoyment of life, which can vary significantly from one individual to another.
Alternatives to the Multiplier Method
In response to the criticisms of the multiplier method, there is a proposal for alternative approaches for calculating pain and suffering damages or losses in personal injury cases. These may include:
- The per diem method assigns a daily rate for pain and suffering and multiplies it by the number of days the victim undergoes pain and suffering.
- The structured settlement method: Instead of a lump sum payment, this method provides periodic payments over a specified period to compensate for pain and suffering.
- The hybrid method combines factors of both the multiplier and alternative approaches to provide a more balanced assessment of pain and suffering damages.
Depending on the case’s specific circumstances and their client’s preferences, personal injury lawyers may consider these alternative methods.
Case Studies: The Multiplier Method in Action
Consider a few hypothetical scenarios to illustrate how personal injury cases apply the multiplier method in real life:
- Case Study 1: A pedestrian is struck by a car and sustains a fractured leg, requiring surgery and physical therapy. The lawyer calculates the total economic damages to be $50,000 and applies a multiplier of 3 based on the severity of the injury and the victim’s pain and suffering, resulting in a total compensation of $150,000.
- Case Study 2: A slip-and-fall accident at a grocery store results in a mild concussion and whiplash for the victim. The lawyer determines the total economic damages to be $20,000 and applies a multiplier of 2, considering the relatively minor nature of the injuries and their impact on the victim’s life, resulting in a total compensation of $40,000.
In conclusion, the multiplier method provides a convenient and practical approach for calculating pain and suffering damages in personal injury cases. Despite its limitations and criticisms, it remains a valuable tool for personal injury lawyers, ensuring fair compensation for their clients’ intangible losses.