Economic Versus Non-Economic Damages Explained

So, economic damages are quantifiable financial losses with specific dollar amounts attached to them, such as medical bills, loss of wages, property damage, and future medical expenses. These are calculated based on actual reports, pay stubs, expert testimony about future costs, as well as any receipts that you get, let’s say from rehabilitation.

Non-economic damages, on the other hand, are damages that are subjective losses without precise monetary value attached to them. These are such things as pain and suffering, emotional trauma, loss of enjoyment of life, and relationship impacts because of the accident. These are more challenging to calculate and often depend on factors like injury severity, recovery time, and long-term effects on quality of life.