Not all car accident claims are worth the same amount. The value of your case depends on the severity of your injuries and what your losses actually cost you. In Texas, you have the right to seek compensation for both financial and personal losses. Understanding what goes into that calculation can help you protect your personal injury claim.
What economic damages include
Economic damages refer to the financial losses directly tied to the accident. These include medical bills, lost wages and property damage. Future medical expenses also apply if your condition requires ongoing treatment. Medical records, bills and proof of lost income can serve as key supporting evidence for a claim.
How non-economic damages are valued
Beyond financial losses, you can also recover non-economic damages. These cover pain and suffering, emotional distress and the ways the accident has disrupted your quality of life. Insurance companies often use one of two methods to calculate these damages:
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Multiplier method: Takes your economic damages and multiplies them by a number ranging from 1.5 to 5, based on how severe your injuries are
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Per diem method: Sets a specific dollar amount for each day you experience pain and suffering as a result of the accident
If your case goes to trial, Texas juries have broad discretion to award non-economic damages based on the evidence
How Texas fault rules affect your compensation
Texas follows a modified comparative fault rule. This distributes fault among all parties involved in the accident. If your share of fault is 50% or less, you can still recover compensation. However, your percentage of fault reduces the total payout. For example, a 20% fault assignment would reduce your recovery by 20%.
The role of insurance coverage limits
Texas requires all drivers to carry at least $30,000 per person in bodily injury liability coverage. When the at-fault driver carries low coverage, your recovery may fall short of your actual losses. In those situations, your own uninsured or underinsured motorist coverage can help close that gap.
Factors that can reduce your compensation
Certain mistakes during the claims process can affect your potential compensation. Common pitfalls include:
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Delaying medical treatment: Weakens the link between your injuries and the accident
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Failing to follow your treatment plan: Reduces the evidence supporting the full extent of your injuries
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Speaking with an insurance adjuster without legal guidance: Can lead to statements that hurt your claim
Being aware of these circumstances early in the process can help protect the full value of your case.
Know your claim’s true value after a car accident
Accepting a settlement offer without knowing the true value of your claim can cost you. Insurance companies often present early offers that do not account for future medical costs or non-economic damages. Getting a clear picture of what your case is worth before making any decisions is critical.