If you’re thinking about making a compensation claim, something that may be on your mind is how much compensation you may receive.
For many people, the act of receiving compensation is the very point of making a claim. For others, it’s more about the principle.
Regardless, it really helps to understand how compensation is calculated, and on this page we explain just that.
You can also find lots of links to case studies that explain the claims process in more depth and how compensation amounts are calculated.
How Is Compensation Calculated?
When it comes to personal injury and medical negligence claims in England and Wales, compensation is calculated based on two main categories: general damages and special damages.
General damages cover the pain, suffering, and loss of amenity caused by the injury. This includes both physical and psychological harm.
The Judicial College Guidelines provide a framework for valuing injuries, setting out compensation ranges based on severity. For example, a minor whiplash injury might attract a few hundred pounds, while a life-altering spinal injury could result in millions. Courts also consider medical evidence, expert opinions, and how the injury affects day-to-day life.
Special damages, on the other hand, deal with the financial impact of the injury. This includes lost earnings, medical costs, care expenses, and any adaptations needed to homes or vehicles. Unlike general damages, special damages require solid evidence—things like receipts, payslips, and medical invoices.
A key principle is that compensation should restore the injured party, as much as possible, to the position they were in before the injury. This means future losses—like ongoing medical care or loss of earning capacity—are also considered.
Ultimately, each case is unique. Our skilled solicitors will assess all aspects, ensuring your claim reflects the true extent of the harm suffered. Get in touch today to see how much compensation you could be entitled to
Calculating Financial Losses
When an injury disrupts your life, the financial fallout can be severe. That’s where special damages come in, covering the money you’ve lost—or will lose—as a direct result of the injury.
One of the most significant claims is for loss of earnings. If the injury forces you to take time off work, you can recover lost wages, including bonuses and overtime. If your earning potential is permanently affected, compensation can cover future losses too. Calculating this requires expert reports on career prospects, wages, and pension losses.
Medical expenses also form a crucial part of financial compensation. This includes treatment costs, private consultations, therapy, medication, and any specialist equipment needed. In serious cases, home adaptations—like wheelchair ramps or accessible bathrooms—may be required, and the cost of these can be recovered.
Care and assistance are another key area. If family members provide care—whether helping with dressing, cooking, or mobility—they may be able to claim for their time. Likewise, if professional care is needed, those costs can be included.
The golden rule is to keep records. Every receipt, invoice, and payslip strengthens your case. Without proof, claims for financial losses may be rejected or undervalued. A strong, well-evidenced claim ensures you’re fully compensated, easing the financial burden caused by injury or medical negligence.
