Personal Injury Law Articles
What's The Difference Between Punitive And Compensatory Damages?

Are you a victim of personal injury? If so, you may be able to fight for damages in a civil suit. Personal injury damages are the monies awarded to the victims of personal injury, who have been wrongfully injured by someone else. The intention of damages is to help restore the physical, emotional, mental, and financial assets that the victim lost as a result of the injury. There are two main types of damages in personal injury suits- compensatory damages and punitive damages. What are the differences between the two?

Compensatory damages are awarded in order to make the victim “whole” again, meaning the monies awarded to the victim are meant to compensate for the loss, injury, or harm suffered as a result of the defendant’s actions. Compensatory damages cover all financial expenses and other aspects associated with the personal injury. For example, if a negligent driver destroys your 1994 Ford and injures your back, you will be awarded monies in the amount of the value of the 1994 Ford and the amount of the medical bills for your back. Compensatory damages include but are not limited to: loss of wages, pain and suffering, emotional stress, mental harm, permanent disability, medical bills, and replacement or repair of property.

Punitive damages, also known as exemplary damages, are usually awarded to the victim in addition to compensatory damages- when compensatory damages are considered to be inadequate. Sometimes punitive damages are awarded to prevent under-compensation, but the monies awarded usually reimburse the victim in excess of their injuries. Punitive damages are not meant to compensate the victim, but to punish the defendant or deter others from engaging in a similar action as the defendant. Punitive damages are usually only awarded when the defendant’s actions are found to be intentional, willful, or malicious.

Personal injury damages are awarded depending upon the specific case, and the total amount of damages is decided by a jury. If the judge feels the amount awarded by the jury is excessive, he/she can order the punitive damages to be reduced without a new trial or an appeal. If the judge feels that the damages awarded are inadequate, he/she can order the punitive damages to be increased without a new trial or an appeal.

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