By: The Law Offices of James Jean-Francois, P.A. February 17, 2024

Types of Compensation Available in Hollywood, Florida Car Accident Cases

No-Fault Insurance Coverage

The most common form of compensation in Hollywood, FL car accidents comes from personal injury protection (PIP) insurance. Unlike many other states, Florida requires motorists to carry no-fault insurance coverage. When they experience an auto collision, it’s typically contingent on their own insurer to provide compensation.

There are benefits and drawbacks to this type of car accident compensation. PIP insurance is positive because victims don’t have to prove liability to secure compensation. However, this also prevents them from seeking additional damages from the liable party in many cases. Fortunately, injury victims may have other options.

Insurance Settlement From At-Fault Party

PIP insurance is meant to reduce the litigation burden on the court system while ensuring injury victims receive quick compensation. However, this no-fault coverage is not appropriate in all cases. In some instances, the injuries suffered by car accident victims are so serious that it’s only appropriate to seek compensation from the responsible party.

However, a case must first meet certain criteria before qualifying for a personal injury claim against liable parties. If any of the following requirements are met, a victim can file a claim with the at-fault driver’s insurance company — which will typically result in settlement negotiations:

Permanent and major scarring or disfigurement
Medically probable permanent injury
The significant and permanent loss of any bodily function

In any of these cases, the injury victims will have met the Florida no-fault threshold for bringing a personal injury claim against the at-fault party. However, these instances aren’t the only time when a claim may be possible. For instance, many Florida drivers only have $10,000 in PIP insurance. So, what happens if their damages exceed this amount?

With the rising costs of healthcare, it’s easy to envision a scenario where losses exceed $10,000 without otherwise qualifying for a personal injury claim. In such a situation, injury victims can file a claim to recover their additional losses. However, non-economic damages — which are discussed below — are only available if the threshold is met.

Economic Damages

Most car accident cases in Florida are resolved via settlement negotiations. Unfortunately, this will not always be possible. If an insurance company refuses to properly reimburse you, litigation may be necessary for financial recovery. In these instances, economic damages are the most common form of compensation in Hollywood, FL court cases.

These damages focus on reimbursing car accident victims for monetary losses. Common damages include lost wages, medical bills, property damage, burial costs, and even transportation costs for seeking treatment. There’s no award cap on economic damages. Victims can often recover all their financial losses.

Non-economic Damages

Anyone who has been in a serious car accident knows that losses aren’t only financial in nature. That’s why non-economic damages are also available when litigation becomes necessary. These damages focus on reimbursing injury victims for non-monetary losses.

Such losses could include emotional distress, loss of enjoyment in life, pain and suffering, loss of companionship, and more. Like economic damages, these are a compensatory form of damages that have no cap.

However, keep in mind that compensatory damages are not the only potential court award victims may be entitled to. There’s a more rare type of compensation in Hollywood, FL car accidents that some victims may be entitled to.

Punitive Damages

Also known as treble damages, punitive damages are another type of compensation secured during litigation. Rather than the goal of reimbursing victims for their losses, this court award aims at punishing the at-fault party for gross negligence or willful actions. A high evidentiary standard is required to secure punitive damages.

Due to this high standard, it may be beneficial for you to speak with a car accident attorney. A legal professional can help you understand whether you qualify for punitive damages — or what other types of compensation in Hollywood, Florida car accidents you may be entitled to. The Law Offices of James Jean-Francois, P.A. are here to assist.