Settlement Accident Suit Formula
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FAQ
The Multiplier method adds up all incurred costs like medical bills, lost wages, etc. along with inevitable future costs. It then takes that total and multiplies it 1.5 to 5 times that amount depending on the severity of the pain, suffering, and emotional distress.
For example, you are in a car accident, and your total medical bills are $7,500. The insurance company uses the multiplier method and makes a settlement offer of $22,500 for your pain and suffering, with a total settlement offer of $30,000.
To determine a potential settlement value, they first combine the total of medical expenses to date, projected future medical expenses, lost wages to date and projected future lost income. The resulting sum is then multiplied by the pain and suffering multiplier value to produce a projected settlement amount.
There is no specific formula to calculate damages as they are usually determined based on the actual expenses of the victim and compensation for their pain and anguish. Compensation should make the injured person ?whole? again.
Under the multiplier method, a court calculates pain and suffering damages by multiplying economic damages (medical bills, lost wages, etc.) by a number between one and five to arrive at pain and suffering damages. The value of the multiplier depends on the degree of your pain and suffering.
