Economic vs. Non-Economic Damages: What Can You Really Recover?

If you’ve been injured due to someone else’s negligence, you may be entitled to compensation. But what exactly can you recover—and how is it calculated? The answer lies in two main categories: economic and non-economic damages.

Understanding these two types of damages is essential to knowing what your case may be worth and what you’re really fighting for.

What Are Economic Damages?

Economic damages are the measurable financial losses you’ve suffered because of your injury. These are often easier to calculate because they come with documentation and receipts.

Examples include:

• Medical expenses – ER visits, surgeries, physical therapy, prescriptions, and ongoing care.
• Lost wages – Income you missed while recovering, including sick days or vacation time used.
• Loss of earning capacity – If your injury affects your ability to work long-term.
• Property damage – Such as vehicle repairs or replacement costs after a crash.
• Out-of-pocket expenses – Transportation to medical appointments, home modifications, and more.

These damages aim to reimburse you for money you've already spent or will likely need to spend in the future.

What Are Non-Economic Damages?

Non-economic damages are more subjective losses—the real human impact of your injury that doesn’t come with a price tag but still matters deeply.

Examples include:

• Pain and suffering – The physical discomfort and emotional distress caused by the injury.
• Emotional distress – Anxiety, depression, PTSD, and other psychological effects.
• Loss of enjoyment of life – When your injuries prevent you from doing the things you love.
• Loss of consortium – The impact on your relationships with a spouse or family members.

While these damages don’t come with receipts, they reflect the real cost of living with pain or a permanent change in your quality of life.

How Are Non-Economic Damages Calculated?

There’s no fixed formula, but courts and insurance companies often consider:

• The severity and permanence of the injury
• The length of recovery
• The impact on daily life and emotional well-being
• Medical records and expert testimony

Your attorney may use methods like a “multiplier” (multiplying your economic damages by a number based on injury severity) or present detailed narratives and evidence to justify the non-economic losses you’ve endured.

Why Both Matter in Your Case

Insurance companies may try to focus only on economic damages and downplay your pain and suffering. But both types of damages are critical in fully valuing your case. At L&F Brown, we take a comprehensive approach—making sure your financial losses are covered and your emotional and personal toll is fully recognized.

Get a Clear Picture of What You Can Recover

If you’ve been injured, don’t settle for less than you deserve. Understanding the difference between economic and non-economic damages helps you see the full scope of your claim—and why it’s worth fighting for.

Call L&F Brown at 800-953-0075 to schedule a free consultation. We’ll help you evaluate your case and recover the full compensation you’re owed—financial and emotional alike.