When you file an insurance claim in Nevada, you are likely to hear about different types of damages. One of these is compensatory damages.
Compensatory damages are exactly what they sound like: they are meant to compensate you for the losses you suffered due to an injury, accident or loss.
There is generally a limit on compensatory damages. They cannot exceed the actual cost of the harm or loss. In many cases, calculating the total cost of the loss can be challenging.
To recover compensatory damages, you must prove your harm or loss and present evidence demonstrating the total cost of your damages. Your compensatory damages can include compensation for expenses you paid out of pocket, lost wages or the market value of damaged or destroyed property.
Actual and general compensatory damages
There are two types of compensatory damages. The first type is actual compensatory damages. Actual compensatory damages reimburse you for the exact amount of what you lost.
Examples of compensatory damages include the cost of medical bills, physical therapy, prescription drugs or lost wages.
The second type is general compensatory damages. This type of compensatory damage does not necessarily require proving a defined monetary amount for the damages.
Examples of general compensatory damages include future medical expenses, loss of earning capacity, loss of enjoyment of life and mental anguish.
As you can imagine, putting a number on general compensatory damages can involve more analysis. There are various methods courts can use to calculate general compensatory damages.
Evidence to prove compensatory damages
Proving compensatory damages usually requires submitting documentation such as receipts or bills. Expert witnesses can testify about the impact of the harm or damage. You can even provide your own testimony on the losses you have suffered.
Before heading to trial on damages, you will likely engage in negotiations with the insurance company. You can choose to settle for a specified amount versus litigating damages in court. There are benefits to both choices. It is important to know which choice is right for you.
