The Difference Between Economic and Non-Economic Damages in Personal Injury Claims

When someone is injured due to another party’s negligence in South Carolina, they have the right to seek compensation for their losses. However, not all damages are the same. Personal injury claims generally involve two main types of damages: economic and non-economic. Understanding the differences between these two categories is essential to securing full and fair compensation.

Economic Damages: Tangible Financial Losses

Economic damages refer to the quantifiable financial losses an injured person incurs due to an accident. These damages are easier to calculate because they are based on actual expenses and financial records.

Examples of Economic Damages:

• Medical expenses:

Hospital bills, surgeries, physical therapy, medications, and future medical costs.

• Lost wages:

Compensation for income lost due to missed work.

• Loss of earning capacity:

If the injury results in a long-term disability preventing a person from working at their previous level.

• Property damage:

Costs to repair or replace damaged personal property, such as a vehicle in an auto accident.

How Economic Damages Are Calculated

Economic damages are calculated using documentation such as medical bills, pay stubs, tax returns, and expert testimony to estimate future costs. In South Carolina, personal injury victims can recover the full amount of their economic losses if they can prove liability.

Non-Economic Damages: Intangible Losses

Non-economic damages, often referred to as pain and suffering damages, are more subjective. These damages compensate for the emotional and psychological toll of an injury.

Examples of Non-Economic Damages:

• Pain and suffering:

Physical pain resulting from injuries.

• Emotional distress:

Anxiety, depression, PTSD, or other mental health effects caused by the injury.

• Loss of enjoyment of life:

When a victim can no longer participate in activities they once enjoyed.

• Loss of consortium:

Compensation for how an injury affects a victim’s relationship with their spouse or family.

How Non-Economic Damages Are Calculated

Because these damages don’t come with receipts, they are more challenging to calculate. South Carolina courts often use methods such as the multiplier method, where the total economic damages are multiplied by a number (typically between 1.5 and 5) based on the severity of the injury.

Why Both Are Essential for Full Compensation

Without non-economic damages, a personal injury claim would fail to account for the real impact an injury has on a person’s life. Imagine someone suffering a spinal cord injury—medical bills may be covered, but what about the inability to walk, enjoy hobbies, or live independently? This is where non-economic damages provide justice beyond financial losses.

South Carolina Personal Injury Statistics

• South Carolina reported 1,091 traffic-related fatalities in 2022, making it one of the states with the highest accident rates per capita.
• The average cost of hospitalization for a serious injury in South Carolina exceeds $50,000.
• In 2021, over 35,000 workers’ compensation claims were filed in the state, highlighting the prevalence of workplace injuries.

How CFJ Injury Lawyers Can Help You Navigate the Personal Injury Process

CFJ Injury Lawyers has been fighting for personal injury victims in Charleston, North Charleston, and across South Carolina for over 40 years. Our experienced legal team understands the complexities of personal injury cases and works tirelessly to ensure clients receive the maximum compensation possible.

Expert Legal Representation by CFJ Injury Lawyers

• Attorney Catherine F. Juhas, the firm’s owner, is licensed in South Carolina, North Carolina, and Washington D.C. and brings extensive legal knowledge and trial experience.
• Attorney Eric Saleme, fluent in Spanish, has over a decade of experience in personal injury law and is committed to serving diverse communities throughout South Carolina.
• Our firm has successfully represented clients in cases involving car accidents, workers’ compensation, wrongful death claims, and premises liability.

Our Step-by-Step Approach to Your Case

1. Free Consultation

We evaluate your case and provide a comprehensive strategy tailored to your specific needs.

2. Investigation & Evidence Collection

Our legal team gathers medical records, witness statements, accident reports, and expert testimony to strengthen your claim.

3. Negotiation with Insurance Companies

We handle all communications with insurance adjusters to secure the best possible settlement.

4. Litigation, If Necessary

If a fair settlement cannot be reached, our attorneys are prepared to take your case to court and fight for your rights.

5. Maximizing Compensation

We work to ensure that you receive full compensation for both economic and non-economic damages, allowing you to recover without financial stress.

FAQs About Personal Injury Damages in South Carolina

Q: Is there a cap on non-economic damages in South Carolina?

A: Yes, South Carolina law caps non-economic damages in medical malpractice cases at approximately $512,773 (as of 2023). However, there is generally no cap for non-economic damages in other personal injury cases.

Q: Can I still recover damages if I was partially at fault?

A: South Carolina follows a modified comparative negligence rule, meaning you can recover damages as long as you were less than 51% at fault for the accident. However, your compensation will be reduced by your percentage of fault.

Q: How long do I have to file a personal injury claim in South Carolina?

A: The statute of limitations for personal injury claims in South Carolina is three years from the date of injury in most cases.

Q: What should I do if the insurance company offers me a settlement?

A: Never accept a settlement without first consulting an experienced attorney. Insurance companies often offer lowball settlements to minimize their payouts. CFJ Injury Lawyers can evaluate your case and negotiate for a fair settlement.

Contact CFJ Injury Lawyers Today

If you or a loved one has been injured due to someone else’s negligence, CFJ Injury Lawyers is here to fight for the compensation you deserve. We offer free consultations and serve both English and Spanish-speaking clients.