When you file a personal injury claim after a car accident in Massachusetts, you can seek two main types of money damages: economic and non-economic. Knowing the difference helps you understand what your case may be worth and why it matters to document everything. Our car accident attorneys use this FAQ to explain both types of damages and how they apply to car accident cases in Massachusetts.
Economic vs. Non-Economic Damages | Quick Comparison Table
| Type | Examples | Calculated How? |
|---|---|---|
| Economic | Medical bills, lost wages | Exact receipts and records |
| Non-Economic | Pain, PTSD, loss of enjoyment | Negotiated; no fixed formula |
What Are Economic Damages?
Economic damages are losses with a clear dollar value. They include:
- Medical bills: Emergency room visits, surgery, hospital stays, physical therapy, medication
- Future medical costs: Ongoing treatment, rehabilitation, long-term care for permanent injuries
- Lost wages: Income you missed while recovering
- Loss of earning capacity: If your injury limits your ability to work in the future
- Property damage: Repair or replacement of your vehicle and other personal property
- Out-of-pocket expenses: Transportation to medical appointments, home modifications, in-home care
What Are Non-Economic Damages?
Non-economic damages do not have a set dollar amount. They are based on how the injury has affected your life. They include:
- Pain and suffering: Physical pain from your injuries
- Emotional distress: Anxiety, depression, PTSD
- Loss of enjoyment of life: Inability to participate in hobbies, activities, or relationships you enjoyed before the crash
- Loss of consortium: Impact on your relationship with a spouse or family member
Are Non-Economic Damages Capped in Massachusetts?
- For most car accident cases, there is no hard cap on non-economic damages in Massachusetts
- However, under the Massachusetts no-fault insurance law (G.L. c. 231, § 60H), to recover pain and suffering damages, you must meet a “serious injury” threshold. This typically means medical bills over $2,000, a fracture, or certain types of permanent injury
- The $2,000 threshold does not apply to your own PIP benefits, but it does apply to your ability to sue a third party.
How Are Non-Economic Damages Calculated?
There is no fixed formula, but common methods include:
- Multiplier method: Multiply your total economic damages by a number (usually 1.5 to 5) based on the severity of your injuries
- Per diem method: Assign a daily dollar value to your pain and suffering, then multiply by the number of days you have suffered
Talk to DiBella Law About Your Damages
Don’t face your injuries alone. Fill out our contact form or call 855-342-3552 for a free case evaluation. In your free case evaluation, our compassionate team will help you decide the next steps for your particular situation. No legal fees unless we win!