The Difference Between Economic and Non-Economic Damages in a Personal Injury Case
The Difference Between Economic and Non-Economic Damages in a Personal Injury Case
When someone suffers an injury due to another party’s negligence, they may be entitled to compensation. Personal injury claims typically involve two types of damages: economic damages and non-economic damages. Understanding these distinctions is essential for anyone pursuing a claim. At Roberts, Basnuevo & Macias, P.A., we assist the Miami-Dade community in navigating these legal matters and seeking fair compensation.

Economic Damages: Tangible Financial Losses
Economic damages cover the direct financial impact of an injury. These losses are quantifiable and can be calculated based on bills, receipts, and expert assessments. Common types of economic damages include:
- Medical Expenses – Costs for emergency care, surgeries, rehabilitation, medications, and future medical needs.
- Lost Wages – Compensation for income lost due to time off work for recovery, including future earning potential.
- Property Damage – Repairs or replacement of damaged property, such as a vehicle in an auto accident.
- Other Out-of-Pocket Costs – Expenses related to transportation, home modifications, or assistive devices due to the injury.
Non-Economic Damages: Intangible Losses
Unlike economic damages, non-economic damages do not have a direct monetary value. These losses relate to the emotional, psychological, and lifestyle impacts of an injury. Examples include:
- Pain and Suffering – Physical discomfort and emotional distress resulting from the injury.
- Loss of Enjoyment of Life – Inability to participate in activities or hobbies that were once enjoyable.
- Emotional Distress – Psychological effects such as anxiety, depression, or post-traumatic stress.
- Loss of Consortium – Impact on relationships with a spouse or family members due to the injury.
How Are These Damages Calculated?
Economic damages are typically straightforward to determine, relying on documented financial losses. However, non-economic damages are more subjective. Courts and insurance companies may use a multiplier method (multiplying economic damages by a certain factor) or a per diem method (assigning a daily rate for pain and suffering).
Why Legal Representation Matters
Insurance companies often attempt to minimize compensation, particularly for non-economic damages. Having legal guidance ensures that all losses—both financial and personal—are properly valued and pursued. At Roberts, Basnuevo & Macias, P.A., we advocate for injury victims in Miami-Dade, helping them recover the compensation they deserve.