An injury can affect far more than your health. Time away from work, treatment costs and the need for help at home can put pressure on your finances. If someone else is legally responsible for your injury, a personal injury claim may include compensation for those financial consequences as well as the injury itself. This article provides general information about claims in England and Wales, not advice on an individual case. Different rules can apply elsewhere and under specialist compensation schemes.
Understanding the different types of compensation
Compensation for pain, suffering and loss of enjoyment of life is commonly called general damages. Financial losses and expenses are assessed separately, including losses already incurred and those reasonably expected in the future. Past financial losses are usually called special damages. The aim is to put you, so far as money can, in the position you would have been in without the injury—not to provide a windfall. Each item must be linked to the incident or injury, reasonably incurred and supported by appropriate evidence. Recovery depends on establishing legal responsibility and proving the loss.
Loss of earnings and work-related benefits
If your injury prevents you from working, or means working fewer hours, you may be able to claim the resulting loss of take-home pay. This can include overtime, commission or bonuses where there is evidence that you would have received them. Pension losses and lost employment benefits may also need consideration. Self-employed people may claim an evidenced loss of profit rather than simply lost turnover. Payslips, employer confirmation, tax returns, accounts and records of cancelled work can help establish the loss. Sick pay and other payments must be disclosed so that any deductions or repayment obligations can be assessed correctly.
Treatment, rehabilitation and medication
Reasonable treatment costs arising from the injury may be recoverable. Depending on your needs, these could include physiotherapy, psychological therapy, prescription charges, medication, dental treatment and rehabilitation. Private treatment is not automatically excluded because NHS treatment is available, but the need for treatment and the reasonableness of its cost still require assessment. Before committing to significant expenditure, discuss it with your solicitor and obtain suitable clinical evidence. Keep invoices, receipts and treatment recommendations.
Travel and associated expenses
You may be able to claim reasonable travel costs for injury-related appointments, including public transport, parking and appropriate car mileage. Taxi fares may be justified if your injury prevents you from driving or using public transport. Necessary additional travel costs caused by reduced mobility may also be relevant. Record the date, destination, purpose and cost of each journey. Where someone needs to accompany you, their reasonable travel expenses may be considered too, depending on the circumstances. There is no single mileage rate that automatically applies to every claim.
Care, household help and childcare
An injury may leave you needing assistance with washing, dressing, preparing meals, cleaning, shopping or other everyday tasks. Reasonable additional care and help may form part of your claim, whether provided professionally or, in appropriate circumstances, unpaid by family or friends. Unpaid help is not automatically valued at a commercial care rate. Keep a diary of who helped, the tasks performed, the time spent and how this differed from their usual contribution. Additional childcare costs may also be recoverable if the injury prevents you from providing care you would otherwise have given. A relative’s lost wages are not automatically recoverable in full simply because they took time off to help.
Equipment, adaptations and damaged belongings
Depending on the injury, a claim may include reasonable costs for mobility aids, specialist equipment and adaptations to your home or vehicle. Serious injuries may create accommodation needs requiring specialist assessment; the cost of a new home is not automatically recoverable in full. Belongings damaged in the incident, such as clothing, spectacles or a phone, may also be included where liability is established. Keep photographs, purchase records and repair or replacement estimates. An award will reflect the recoverable loss, which may not be the price of a brand-new replacement.
Future losses and ongoing needs
Your claim should consider the future as well as bills you have already paid. Lasting effects may lead to reduced earning capacity, pension loss, ongoing treatment, care, equipment replacement or additional transport costs. Medical evidence about your likely recovery is central, and complex cases may require employment, care, accommodation or financial experts. Future losses must be properly assessed rather than assumed. Take advice before accepting a final settlement: it will normally end your ability to seek further compensation for the same injury, subject to limited exceptions.
How to support your claim
- Keep receipts, invoices, bank statements and evidence of lost income.
- Maintain a dated diary of expenses, journeys and additional care or assistance.
- Record why each expense was necessary because of the injury.
- Tell your solicitor about benefits, sick pay, insurance payments and reimbursements.
- If a receipt is missing, mention the expense anyway; other evidence may help establish it.
- Update your records as your recovery and future needs become clearer.
Important limits and practical considerations
Not every expense will be recoverable. Ordinary living costs that you would have paid anyway are generally not a loss caused by the injury; additional injury-related costs may be. You are expected to take reasonable steps to limit your losses, but this does not mean taking unreasonable risks with your health. You cannot recover the same loss twice, although the treatment of insurance and other payments depends on the applicable rules. Compensation may be reduced if you are found partly responsible for your injury. Certain injury-related state benefits can be recovered through the Compensation Recovery Unit and may affect corresponding parts of your award. Receiving compensation can also affect means-tested benefits, so seek advice before funds are paid. Legal costs and any deductions under your funding agreement are separate from your injury-related expenses; ask for a clear explanation of what you may have to pay.
If you need financial support while the claim is ongoing, ask whether an interim payment may be available. This is an advance against compensation, not an additional award, and is not guaranteed. Seek legal advice promptly because strict time limits apply and can vary. Above all, keep a clear record: small expenses can add up, and a carefully evidenced claim helps ensure that the full financial impact of your injury is considered.
To have a free confidential chat with Emma or another member of our personal injury team call us on 0800 044 8488 or fill in our contact form here so we can call you back at a time convenient for you.