Calculating Damages in Car Accidents: Complete Guide to Physical Injury, Mental Distress & Pain and Suffering

Calculating Damages in Car Accidents: Complete Guide to Physical Injury, Mental Distress & Pain and Suffering

After a car accident, one of the first questions that comes up is: "How much compensation can I get?"

The answer depends on calculating damages - a complex process that takes into account all the effects of the accident on your life:

• Physical injury - injuries, fractures, pain
• Mental distress - trauma, anxiety, depression
• Pain and suffering - impact on quality of life
• Economic damage - loss of income, expenses

In this comprehensive article, we'll explain how to calculate each type of damage, what factors affect the compensation amount, and how to ensure you get the maximum you deserve.

The Different Components of Compensation

Compensation in a car accident consists of several "heads of damage" (components):

1. Personal Injury

A. Pain and Suffering

• Physical pain
• Mental distress
• Reduced quality of life

B. Medical Expenses

• Past: treatments you've already received
• Future: treatments you'll need

C. Loss of Income

• Past: income you've lost
• Future: reduced earning capacity

D. Third-Party Assistance

• If you need help (caregiver, family member)

E. Related Expenses

• Travel to treatments
• Medical equipment
• Home modifications (if required)

Calculating Personal Injury - The Main Component

1. Pain and Suffering - How Is It Calculated?

What Is "Pain and Suffering"?

• The physical pain you experienced
• Mental distress
• Discomfort
• Impact on quality of life
• Loss of enjoyment (can't do things you loved)

How Is the Amount Determined?

Under the Compensation for Road Accident Victims Law, the maximum compensation for this head of damage is 100,000 Israeli Lira from the year of legislation (1976), which is approximately 180,000 NIS today.

This amount is paid to someone with 100% permanent disability resulting from the accident. If the disability is lower, it's derived as a proportional part of this amount.

Example: For 50% permanent disability, the compensation would be 90,000 NIS.

Age Reduction: However, if the injured party is over 30 years old on the day of the accident, one percent is deducted for each year over 30.

Example: If the injured party was 80 years old on the day of the accident and has 50% permanent disability - they won't receive 90,000 NIS but only 45,000 NIS because they were 50 years older than 30 on the day of the accident.

Hospitalization Compensation: Additionally, for each day of hospitalization, you receive 2 per mille of the maximum amount, which today equals: 360 NIS per day.

2. Medical Expenses

This is a simpler calculation - the sum of all medical expenses not covered by health insurance!

Example: You were injured in an accident and need daily physiotherapy, but health insurance only provides twice a week - you can claim payment for the days you need to pay for from the insurance company.

Important: Get a certificate from a qualified doctor regarding the need for that scope of treatment days.

Future Expenses: If the court's medical expert determines you'll need future medical treatments or medications not covered by the health basket, you can receive compensation for this as part of the claim.

3. Loss of Income

This is the component that can be the highest!

Past Loss of Income

Income you lost due to the accident.

To qualify for compensation in this component:

• You need a medical certificate for full (or partial) incapacity during the period you're not working
• The court-appointed doctor will need to confirm that these sick leave certificates match the injury you sustained
• If these certificates are recognized, you'll be entitled to compensation if indeed no salary was paid by your employer during incapacity periods
• If salary was paid against sick days - you'll be entitled to compensation if you prove that according to your employment terms, you're entitled to redeem sick days upon termination

Future Loss of Earning Capacity

This is more complex - if due to the accident you have a permanent reduction in earning ability that corresponds to your medical disability (this is called "functional disability"), you're entitled to compensation for the damage to your earning capacity resulting from the functional disability.

Example - Full Loss:

• You worked as a truck driver
• Due to back injury - you can no longer drive a truck
• Your disability is 30% functional disability – you'll receive compensation at 30% of the average salary you earned before the accident

How to Prove Loss of Income?

• Confirmation from employer about sick days
• Pay slips before and after the accident
• Professional opinion (employment consultant, economist)
• Medical opinion (doctor says you can't work)

4. Mental Distress - PTSD, Anxiety, Depression

A car accident can cause severe mental damage!

Types of Mental Damage:

• PTSD (Post-Trauma): flashbacks, nightmares, anxiety
• Anxiety: fear of driving, fear of vehicles
• Depression: due to injury, life changes
• Sleep disorders
• Concentration difficulties

How to Prove Mental Damage?

An opinion from a court-appointed psychiatrist, to whom you submit evidence that you've been in mental health treatment since the accident.

Important: Mental damage can be in addition to physical damage! Sometimes, mental damage is more severe than physical.

5. Third-Party Assistance

If you need daily help:

Types of Assistance:

• Caregiver: help with eating, bathing, dressing
• Home help: cleaning, cooking, laundry
• Accompaniment to treatments
• Work assistance (if you've returned to work but need help)

How Much Is It Worth?

• If you hired a caregiver: the actual cost, provided a doctor determines that during the period you're claiming compensation, you truly couldn't perform these tasks
• If a family member helped: a global compensation amount

6. Related Expenses

Every expense caused by the accident:

• Travel to treatments: taxis, gas, parking
• Medical equipment: crutches, wheelchair, orthopedic mattress
• Home modifications: if required (lift, accessible shower)

Keep receipts for everything!

Tips for Getting Maximum Compensation

Tip 1: Get a Lawyer

Why a lawyer pays off:

• They know how to correctly calculate damages
• They know the rulings in similar cases
• They'll negotiate better
• Attorney fees in car accidents are low, standing at only 8 to 13 percent

Contact an expert lawyer

Tip 2: Go to All Treatments

If the doctor recommends physiotherapy - go!

Why:

• It proves the injury is serious
• It proves you're cooperating in recovery
• If you don't go - insurance will claim "it wasn't that serious, otherwise you would've gone for treatment"

Tip 3: Keep Receipts for Everything

Every NIS you spent - keep a receipt!

• Medications
• Treatments
• Travel
• Medical equipment

Without receipts - it's hard to prove.

Tip 4: Don't Talk to Insurance Company Investigators

They don't want what's best for you! Ask them to contact your lawyer with any questions.

If you sign early - you won't be able to claim more

Summary - Damage Calculation Checklist

✅ Personal Injury:

• Pain and suffering
• Medical expenses (past + future)
• Loss of income (past + future)
• Mental damage (if any)
• Third-party assistance
• Related expenses

✅ Documentation:

• Receipts for every expense
• Complete medical documentation

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Calculating damages is complex but critical. Every NIS you don't claim - is a NIS you've lost.

Document everything, claim everything, and don't give up. Get what you deserve!

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This article provides general information only and does not constitute legal or financial advice. For advice tailored to your case, contact an expert car accident attorney.