If you have been hurt in a car accident or some other type of accident, you may be entitled to compensation for your medical bills, lost wages, and pain and suffering. These are some of the typical damages that are available in personal injury claims. However, in some situations, accident victims might be entitled to a special type of damages called punitive damages.
Punitive damages are only available in rare cases. Certain requirements must be met before the law will allow the victim to recover these special damages. Below, you can learn more about punitive damages, including what they are and when they are available.
What Are Damages in a Personal Injury Case?
Damages are the legal remedy that an accident victim requests the court to grant in order to “make the victim whole again.” Damages are typically financial compensation, although they may be used to compensate victims for both economic and non-economic losses.
Basic Types of Damages
There are three basic types of damages that may be awarded in Arizona personal injury cases. Those are:
Economic Damages
Economic damages compensate victims for the financial losses they suffered because of an accident. These damages have a specific dollar value, and some common examples include:
- Cost of emergency medical treatment
- Hospital stays
- Surgery
- Physical therapy
- Rehabilitation
- Doctor visits
- Diagnostic tests, such as X-rays or other imaging
- Lost wages
- Diminished earnings capacity
In cases involving wrongful death, economic damages may also include funeral and burial expenses. Proving the value of the economic damages in a personal injury case is usually pretty straightforward. Victims typically have solid evidence that shows exactly how much money they lost after an accident. For example, they may have invoices, receipts, bank statements, or other documents that can be used to prove the value of these damages.
Non-Economic Damages
Non-economic damages are more subjective because they compensate victims for their intangible losses. Although money cannot replace a victim’s health, financial compensation is the method typically used by our civil court system to make the victim whole again.
Some common examples of non-economic damages that are often present in accident claims are:
- Pain and suffering
- Loss of consortium
- Diminished quality of life
- Post-traumatic stress disorder
- Anxiety
- Depression
- Disfigurement
- Loss of enjoyment of life
It is much more challenging to value these types of damages. Often, the multiplier method is used to calculate the value of non-economic damages. Using this method, a multiplier between 1.5 and 5 is assigned to the case based on the severity of the injuries involved. Non-economic damages may be estimated by multiplying this multiplier by the value of the economic damages in the case.
Punitive Damages
Punitive damages are a special type of non-compensatory damages. These damages are not intended to compensate the victim for any loss. Instead, they are used to punish the wrongdoer for their behavior. Additionally, punitive damages may be used as a deterrent to help avoid similar behavior by others in the future.
For example, imagine that a consumer is injured by a defective product that the manufacturer knew might cause injuries. Instead of recalling the product, they allowed it to be sold anyway. An award of punitive damages in that situation would discourage other manufacturers from taking a similar approach in the future, thus hopefully creating a safer environment for consumers.
When Are Punitive Damages Available?
Punitive damages are usually reserved for cases involving extremely egregious conduct. Simple negligence or carelessness is not enough to allow for the award of punitive damages in an injury case.
Under Arizona law, a victim must prove that the defendant acted with an “evil mind” for punitive damages to be allowed. The Arizona Supreme Court has clarified exactly what this means. Under this standard, a victim must prove by clear and convincing evidence that the defendant:
- Intended to cause the victim harm,
- Acted out of spite, OR
- Created a “substantial risk of tremendous harm to others.”
It is worth noting here that the burden of proof is higher than in traditional negligence cases. Clear and convincing evidence is needed to prove a claim for punitive damages.
Are There Any Limits on Punitive Damages?
Unlike many states, Arizona does not have a cap on punitive damages for most personal injury cases. Many states cap punitive damages at $1 million or less, or sometimes they cap these damages at 3 or 4 times the value of the compensatory damages. However, juries in Arizona have broad discretion in awarding punitive damages to accident victims.
Arizona law protects public entities and their employees from punitive damages as long as they are acting within the scope of their employment. Public entities may include government agencies, schools, hospitals, and other public organizations.
Contact Our Phoenix Personal Injury Lawyers for a Free Consultation
If you have been hurt in an accident in Phoenix, you should contact an experienced personal injury lawyer right away. The Phoenix personal injury lawyers at Impact Legal Car Accident Attorneys can help identify all the damages you may be entitled to after an accident.
Contact us today to schedule a free consultation; we can answer all your questions about punitive damages, you can also give us a call at (623) 294-2787 if you’re in Arizona or 505-386-2807 if you’re in New Mexico.
