You may already know that if you have an accident that was caused by a third party who owes you a duty of care, you could seek compensation for your injuries. In addition, you may also be able to claim for financial losses caused by the injury too. Depending on how long your injuries affect you, one of your biggest losses could be your income if you’re unable to work. In this article, we will look at when you could seek compensation for loss of earnings. Furthermore, we will show how the loss of earnings is calculated and explain how a personal injury solicitor could help with the process of claiming.
Advice.co.uk is able to help you begin your claim. We have specialist advisors who’ll happily review your case on a no-obligation basis. Following your review, they’ll offer free legal advice on your options.
Where a case seems to be viable, they could connect you to a personal injury solicitor from our panel. Should your case be accepted by the solicitor, then you’ll benefit from a No Win No Fee service.
To learn more about making a loss of earnings claim, please read on. If you would like to talk with our team right away, please call us on 0161 696 9685 today.
Select A Section
- A Guide To Claiming Compensation For Loss Of Earnings
- How To Calculate Loss Of Earnings For A Personal Injury
- Personal Injury Claims Calculator
- How Is Loss Of Earnings Quantified?
- What Is Loss Of Earnings In Personal Injury Claims?
- How Do I Prove Earnings Lost Due To An Injury?
- What Is Net Monthly Wage Or Income?
- What Types Of Loss Earnings Could I Claim For?
- How Are Lost Pension Contributions Calculated?
- Self Employed Loss Of Earnings Claims
- How Do I Claim Compensation For My Accident?
- No Win No Fee Compensation Claims For Loss Of Earnings
- Talk To Our Team
- Related Guides
- FAQs On Claims For Loss Of Earnings
A Guide To Claiming Compensation For Loss Of Earnings
As we progress through this guide, we’re going to look at why you may need to make a personal injury claim for injuries you’ve sustained in order to make a loss of earnings claim. As well as showing how much compensation could be paid for your injuries, we’ll discuss claiming for financial losses too. Specifically, we’ll concentrate on claiming compensation for the loss of earnings you’ve experienced as a direct result of your injuries. We will also try to answer the following questions:
- Can you claim for loss of earnings?
- What does loss of earnings mean?
- When can you claim for loss of earnings?
- What is compensation for loss of future earnings?
You should bear in mind that there is a personal injury claims time limit. This applies to all types of claims, including those that cover lost earnings. Generally, you’ll have a 3-year limitation period that begins from the date of your accident to start a claim. There are some exceptions to this, however. You can get in touch with our team to find out more.
How To Calculate Loss Of Earnings For A Personal Injury
If you make a successful personal injury claim you will be entitled to two Heads of Loss. These are special damages and general damages. Further on in the guide, we will talk about general damages. Special damages take into account any financial losses or expenses caused by your injuries in a personal injury case. So loss of earnings would be part of special damages. It is calculated simply by looking at how much income you have lost. Other ‘special damages’ could be included in your claim too. These vary from case to case but could include:
- Care costs – to cover the time a loved one supported you during recovery. This can also cover the cost of long-term care if your injuries mean you need it.
- Medical costs – such as the cost of prescriptions and other medicines
- Travel costs – these may be incurred because of getting to and from hospital visits. You could claim for fuel, parking or the cost of public transport.
- Home modifications – where an injury causes a disability, changes to the home could improve your quality of life but can be expensive. You may be able to claim these costs back.
Personal Injury Claims Calculator
In this section, we have supplied some potential compensation figures for a range of different injuries. It’s important to note that we’ve not listed every possible injury here, so don’t worry if yours isn’t included. If you contact our team, they’ll let you know more about what amount could be paid after your claim has been assessed properly.
The figures in this table are from the Judicial College Guidelines. The amounts are for compensation called general damages. This aims to compensate for the pain, suffering and loss of amenity that your injuries have caused.
|Injury / Body Part||Severity Level||Compensation Range||Additional Comments|
|Neck||Moderate||£12,900 to £23,460||Soft tissue injuries or wrenching-type injuries. They will cause discomfort, stiffness, permanent (or recurring) pain and serious loss of movement.|
|Back||Minor||£7,410 to £11,730||Back injuries involing damage of the soft tissue. Symptoms will reside and be just about fully resolved in around 5-years.|
|Shoulder||Moderate||£7,410 to £11,980||Frozen shoulder injuries that cause discomfort and limited movement for around 2-years.|
|Elbow||Severe||£36,770 to £51,460||Elbow injuries that are seriously disabling.|
|Knee||Moderate||£13,920 to £24,580||Covers a dislocated knee or torn meniscus injuries.|
|Ankle||Severe||£29,380 to £46,980||Injuries that need pins, screws and metal plates to fix the ankle bones and cause a residual disability.|
To ascertain the level of your injuries, you will need a medical assessment during the claims process. This will be carried out by a medical specialist who is independent. Their role is to provide a report that shows:
- The severity of each of your injuries.
- Whether any suffering will continue in the future.
This will be achieved by examining you, reading your medical records and asking questions. After the report has been written, it will be used in conjunction with the guidelines from the Judicial College to help value your claim.
If you’d like to know more about how much you could receive for the injuries you have sustained, why not get in touch with a member of our team? One of our advisors will be happy to discuss your claim and let you know how much you could be entitled to.
How Is Loss Of Earnings Quantified?
You might think that it is quite easy to work out your lost income. But it’s not quite as simple as telling the defendant your annual salary figure. Compensation for loss of earnings is based on your take-home (or net) pay. The calculation will also need to consider any bonuses, commission or overtime you’d probably have earned whilst you were off work recovering.
You would also need to take into account;
- Any benefits you received while you were off work.
- Your pension contributions (however lost contributions could be claimed back separately).
- Any sick pay your employer paid during your recovery period. This includes Statutory Sick Pay.
What Is Loss Of Earnings In Personal Injury Claims?
Compensation for loss of earnings could form part of a personal injury claim. You may be eligible to start a claim if you have been injured in an accident caused by a breach of the duty of care owed to you. Your lost earnings could be incorporated into the claim if your salary was reduced because of your injuries.
Furthermore, the person responsible for the accident must have owed you a duty of care. This is something that is established by various pieces of legislation. For example, if you’re injured in a no-fault car accident, the responsible party is likely to owe you a duty of care because of the Road Traffic Act 1988. Likewise, an accident at work resulting from negligence could be a breach of your employer’s duty outlined in the Health and Safety at Work etc. Act 1974.
It’s vital that you collect evidence to prove who was at fault and what injuries were caused. You won’t be able to claim loss of earnings unless you can prove that they resulted from an injury caused to you by someone else’s negligence. Photographs, CCTV footage, witness statements and medical records can all help with this.
How Do I Prove Earnings Lost Due To An Injury?
As with the other parts of your claim, you’ll need evidence to show how much income you’ve lost. This can be achieved by:
- Writing a schedule of losses letter and including it with your claim.
- 6-months worth of wage slips for employed workers.
- 3-years of business accounts for the self-employed.
- Proof of your average overtime hours if this forms part of your claim.
These are just some examples of the types of evidence that could support your claim for lost earnings. If you would like us to review what evidence you have available, please get in touch. Our team provides free legal advice, whether you go on to start a claim or not.
What Is Net Monthly Wage Or Income?
It is important to understand how much compensation could be paid to cover lost earnings. As mentioned earlier, the calculation is based on your net income. That is the amount that actually gets paid into your bank account on payday.
So, for example, if your gross pay is £2,000 per month, but you pay £275 in tax, the amount that you could claim compensation for would be £1,725.
It’s worth remembering that all aspects of your claim need to be quantified, which is why it’s so important for you to provide evidence. This is because compensation is not a fine or a penalty. The idea is to return you to the same position you would have been if the accident had not happened. You are not allowed to benefit from a compensation claim.
What Types Of Loss Earnings Could I Claim For?
When you submit your claim, there are two things you’ll need to consider when it comes to lost income. They are:
Immediate lost earnings.
This is the money you have already lost. The amount will include any reduction in earnings that has happened while you’ve been unable to work.
For instance, your injuries may mean that you are unable to work for a period of 6 months. Alternatively, you may be injured in a way that doesn’t stop you from working at all but does restrict the number of hours you can work a week to less than before. In these cases, you would be able to claim for the loss of earnings you have actually experienced as a result of your injuries.
Future lost earnings and income.
This can be a very important part of your claim in cases that have a long-term impact. If you suffer an injury that adversely impacts your ability to work, it could mean you’ll lose out on income in the future.
For example, if you are a mechanic whose thumb was amputated following an accident, it is possible you won’t be able to continue with your skilled work. However, you may be able to take on a different job. Therefore, the amount you could claim might cover the difference between the two jobs. Claims of this nature take account of age, job prospects and current salary levels.
How Are Lost Pension Contributions Calculated?
If you are not earning as much as normal because you’ve been injured, one thing that can be affected is your pension. Although you may only miss a few payments which don’t amount to a massive amount of money, the reduction of contributions can have a large impact on your pension’s worth when it reaches maturity.
Therefore, the amount you might have lost could be included in your claim as described above. To prove what effect your reduced payments have caused, you will need to provide pension statements.
If you believe your pension has suffered as a result of your accident, why not let us review your options today? Our helpful and friendly team are on hand to answer your questions and assess your claim.
Self Employed Loss Of Earnings Claims
Although self-employed workers may not have a consistent level of income, they could still claim for lost earnings as part of a personal injury claim. To do so, they will need to:
- Calculate what level of income they have lost because of the accident.
- Collate evidence such as receipts, invoices and accounts to prove what work they had lined up that they were unable to carry out.
- Show emails or letters detailing work that has been lost because they weren’t able to work.
- Work out if their injuries are likely to cause problems with working in the future.
While the process is a little more complex for self-employed workers, it could still be possible to make a successful claim. If you contact our team, we’ll review your evidence during a free telephone consultation. We’ll explain what options are available to you and how much you could be eligible to claim.
How Do I Claim Compensation For My Accident?
As we have mentioned, successful compensation claims require evidence. It should demonstrate how the accident happened, who was to blame and how you suffered. To achieve this, there are several things that could be done at the accident scene. They include:
- Taking photographs. Ideally, you should try and take pictures before anything is removed from the accident scene. Try to capture the root cause of the accident, for example, a hazard that caused you to trip.
- Get details of witnesses. If anybody else saw the accident happen, take down their contact details. They may be contacted at a later date if the defendant denies liability for the accident.
- Report the accident. When your accident occurs in a public place or at work, you should report it. This could be vital evidence that confirms the date, time, location and details of the incident.
- Seek medical attention. You should always have your injuries checked by a medical professional. You could do this by visiting A&E or scheduling an appointment with your GP. These might be a helpful way of proving what injuries were treated at the time.
- Note the defendant’s details. If it is clear who else was involved in your accident, exchange details with them. For car accidents, make a note of their vehicle registration number. However, you can still claim if you’ve been involved in a hit and run accident. The claim would be made through the Motor Insurers’ Bureau.
Once you have as much evidence as possible, why not give us a call? We’ll check to see if you have everything you need to proceed. If you don’t, we’ll give free advice on what other evidence might be required.
No Win No Fee Compensation Claims For Loss Of Earnings
Our panel of injury solicitors offer a No Win No Fee service for any claim they take on. This can be a good option for people who want legal representation but are worried about the costs that are usually associated with it.
At the start of the claim, the viability of your case will be reviewed. If the solicitor believes you have a reasonable chance of winning, they’ll give you a contract. This is called a Conditional Fee Agreement (CFA).
The CFA will set out the terms that your solicitor needs to meet in order to receive payment. It will state that you won’t be asked to pay your solicitor anything before your claim starts or while it’s ongoing. You also won’t be asked to pay anything in the event that your claim is unsuccessful.
When there is a positive outcome to your case, your solicitor will deduct a percentage of your compensation to cover their costs. This is listed in the CFA as the success fee. The percentage you’ll pay is fixed from the day you sign. Furthermore, it is legally capped to try and stop overcharging.
Talk To Our Team
We hope that you now understand when you could claim compensation for loss of earnings. If you are interested in beginning the claims process with Advice.co.uk, there are few ways of contacting us. You could:
- Call our support centre to discuss your claim with a specialist on 0161 696 9685.
- Ask for free legal advice about claiming in our live chat option.
- Use our online enquiry form to arrange for a callback.
When you contact us, we’ll review your case with you and explain your options. You won’t be obliged to proceed to a claim, but we could pass your case to a personal injury solicitor on our panel if it appears suitable. Remember, all claims that are accepted could benefit from a No Win No Fee service.
Here are some additional resources that might prove useful when claiming compensation for loss of earnings.
The Health And Safety At Work Act 1974 – Legislation that could be used to support workplace accident claims.
The Occupiers Liability Act 1984 – This law outlines the expectations of that those in control of public places to ensure the safety of members of the public.
Statutory Sick Pay (SSP) – Information on when and how much you should be paid whilst off work.
Slip, Trip And Fall Claims – Advice on starting a claim for injuries sustained during a fall.
Claiming For A Fractured Bone – Information on how you could be entitled to claim if you’ve broken a bone in a no-fault accident.
Medical Negligence Claims – Guidance on seeking compensation because you’ve suffered due to clinical or medical negligence.
FAQs On Claims For Loss Of Earnings
You have almost completed our guide on claiming lost earning compensation. Therefore, we’ll try to answer some common questions relating to injury claims in this section. If you have any additional queries, please get in touch.
I lost out on a promotion; could I claim?
As part of a personal injury claim, you could claim for future lost income too. That will take into account your current salary, age and job prospects. Therefore, if you’ve missed out on a promotion because of your injuries, the pay rise associated with that promotion could be factored into your claim.
Will my claim need medical evidence?
To claim compensation for injuries sustained in an accident, you will need medical evidence. Typically, this will involve obtaining copies of your medical records. These will show what injuries you sustained and the treatment required. Additionally, an independent medical report will be used to show how you’ve recovered or if you’ll continue to suffer in the future.
Can I use a litigation friend?
The litigation friend process allows somebody else to represent you during a personal injury claim if you don’t have the mental capacity to represent yourself. The friend will deal with solicitors and insurers on your behalf during the claim. A litigation friend can also be used to make a child accident claim if the injured person is under 18 at the time of the claim.
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