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Car Accident Benefits – What to Expect

Mar 18, 2020 | Car Accidents, Legal Articles

Moussa Sabzehghabaei

Personal Injury Lawyer

When a car accident occurs, the injured party may be entitled to benefits, which may vary depending on the circumstances of their case. In most cases, it’s not always easy to see exactly how much in available benefits an injured party may be entitled to. For claims that are settled outside the courtroom, the insurance companies often attempt to minimize your compensation by downplaying their client’s liability. Without sound legal advice, you may not get the benefits that are you are entitled to. An experience lawyer can give you a better idea of what steps you need to take in order to assist with you prosecuting your claim.

Common Injuries in a Pedestrian Accident
Pecuniary Damages

Car accident claims can involve monetary benefits such as compensation for medical costs, lost wages, and rehabilitation expenses. For instance, the injured person can sue for the amount of money they would have made but for their accident-related injuries. Additionally, victims can sue for emotional stress, pain, and suffering that they’ve encountered as a result of their injuries.

Pecuniary damages are those that have a quantifiable amount attached to them such as the cost of treatment and rehabilitation. On the other hand, non-pecuniary damages are emotional damages that are often hard to measure in financial terms such as loss of quality of life, loss of care, guidance and companionship and pain and suffering. Both are important benefits that a victim may be entitled to depending on the facts of the case.

Are you entitled to income replacement benefits?

If a car accident caused you to stop your job, you may be entitled to income replacement benefits. These benefits are awarded to injured parties who after the accident are substantially unable to perform the essential tasks of their employment. Before the benefits are awarded, a thorough analysis of the victim’s condition will be done to ensure a disability exists.

Will you be entitled to caregiver benefits?

If the injury or accident results in a condition that requires specialized care, you may need a caregiver by your side. The costs of hiring a full-time caregiver can be overwhelming to the family. That’s why insurance companies offer caregiver benefits to car accident victims. These benefits ensure that the victim’s family has access to the resources to pay for this important service. Keep in mind that attendant care benefits are not the same as caregiver benefits. General attendant care involves assistance with day-to-day activities such as cooking, dressing, & hygiene.

Will your settlement awarded be taxed?

In Ontario, the CRA does not apply any tax on compensation received by car accident victims. However, if you will be receiving income from lost wages, these may be taxed. The way taxation is applied will vary depending on the terms of the settlement.

Do you need a lawyer?

Although the law doesn’t require one to hire a lawyer, pursuing a tort and accident benefits claim on your own can be a challenging tasks and presents with many risks. Consulting a lawyer will ensure you get the help you need and receive the settlement you deserve.