Car accident injuries can impact your career and lifetime earnings. Our experienced Greenville car accident lawyer at Bobby Jones Law explains how you can claim compensation for loss of earning capacity after a catastrophic car accident in Greenville, SC.
What Is Loss of Earning Capacity in a South Carolina Car Accident Case?
Loss of earning capacity in a South Carolina car accident case is compensation that a person claims because their injuries limit their future ability to earn an income.
In a car accident claim, victims can claim damages, including economic and non-economic losses that result from the accident. One type of loss that a person can have because of an accident is career damage.
How Is Loss of Earning Capacity Different from Lost Wages in a Greenville Car Accident Claim?
Lost wages are short-term losses. For example, if a car accident causes a broken bone, the victim may miss work for four months while recovering. Their lost income is a short-term loss. It’s lost wages.
Loss of wage-earning capacity refers to long-term career damage. It is not about wages that have already been lost, but about the person’s overall ability to earn income in the future.
Injuries that result in loss of future earning capacity may be physical or mental.
Reasons for loss of earning capacity from a car accident
Some of the ways a loss of future earning capacity can occur because of a car accident include:
Job loss. Inability to continue in the same job because of physical or mental disabilities.
Advancement. Limitations that prevent advancement on the career track.
Performance. It may be more difficult to perform job duties, limiting bonuses and other performance metrics.
Longevity. The person may not be able to stay on the job or in the industry as long.
Hours. The worker may not have as much stamina as before.
Training. The person may be unable to train for industry advancement.
Career change. Injuries may prevent career transitions that are common throughout working years.
A combination of factors may result in lost future earning capacity.
What Types of Catastrophic Car Accident Injuries Most Commonly Cause Loss of Earning Capacity in SC?
Catastrophic car accident injuries that commonly contribute to loss of earning capacity in SC include:
Brain damage, concussion
Back injury
Spinal cord injury, nerve damage
Eye damage
Amputation
Joint damage
Chronic pain
Anxiety, PTSD
Disfigurement, burns, scars
Organ damage
Muscle tears
Overall career impact may vary based on the nature of the injury, its severity, and the career path.
How Is Loss of Earning Capacity Calculated in a South Carolina Personal Injury Case?
To calculate the award, add up expected earnings pre-injury.
Include expected raises, promotions, and bonuses.
Include the value of perks such as health insurance, retirement contributions, and a pension.
Subtract what the person is reasonably expected to earn post-injury.
Reduce the award to present-day value.
What about collateral sources?
The victim may receive Social Security Disability Insurance (SSDI) or workers’ compensation. They may also have private disability insurance. These are called collateral sources.
Generally, collateral sources are not deducted from personal injury compensation. However, a workers’ compensation insurer may place a lien on personal injury benefits. This prevents double recovery.
Workers’ compensation subrogation applies to overlapping compensation. Your attorney can help you respond to any unfair subrogation requests for your loss of earning capacity claim.
Age of the victim for loss of earning capacity claims
Loss of earning capacity can be especially devastating when the person is young. The person may not have even entered their working years or could have many working years left.
When a person is young, it can be harder to prove the person’s likely career trajectory. A young person may not have an employment history or a chosen career. They may still claim compensation.
Compensation can’t be based on conjecture or speculation. The person may rely on vocational experts and factual evidence to support their case.
What Role Do Vocational Experts Play in Proving Loss of Earning Capacity in Greenville?
A vocational expert can explain how injuries affect future earning potential. They can also discuss job markets and how they apply to the person’s specific situation.
The information a vocational expert provides is crucial. If the victim simply took the stand and claimed career damage, the defense would likely object that the statements are speculative. However, a qualified vocational expert can provide admissible and credible testimony.
While important, vocational experts are not necessarily the only way to prove lost earning capacity in a personal injury claim.
Can You Recover Loss of Earning Capacity if You Are Self-Employed in South Carolina?
Yes. Loss of earning capacity applies to self-employment in South Carolina car accident claims. Calculating the award in a self-employment case may rely more on business records than pay statements. A lawyer can help you build evidence for your case.
Why Loss of Earning Capacity Is the Most Frequently Undervalued Damage in Greenville Car Accident Cases
It can be easy to undervalue loss of earning capacity for a variety of reasons:
No claim. The victim may not know that they can claim long-term earning capacity.
Documentation. The victim may not know what evidence they need to collect.
Intangible. It’s harder to calculate future damages than current wage statements, which are easy to total up.
Uncertainty. It can be hard to calculate losses based on a future that isn’t yet known.
Incomplete evidence. Medical records may focus on short-term recovery and not long-term impact.
Work bias. If the person attempts to work, the insurance company may exploit their effort to claim there is no income loss.
Robert “Bobby” Jones is an attorney who understands the challenges victims face getting fair compensation. We aggressively pursue your claim.
Why Catastrophic Car Accident Victims in Greenville Need Skilled Legal Representation To Recover Full Earning Capacity Damages
Loss of earning capacity can be complex. Evidence is complex to prepare and present, and you’ll likely need a vocational expert.
An attorney can represent you in preparing and presenting your evidence. Plus, they can combat insurance company tactics to minimize your claim.
Bobby Jones Law represents car accident victims in loss of earning capacity claims. Call or message us now.
