Calculating quantum in a personal injury claim
Quantum calculation turns on the statutory scheme, the medical evidence, and discount rates. The Civil Liability Act caps non-economic loss and applies multipliers for future losses at a 5% discount rate.
This is an 8-step workflow for calculating quantum in a NSW personal injury claim under the Civil Liability Act 2002 (NSW), including non-economic loss, past and future economic loss, care, and special damages.
Before you start
- Liability assessment completed
- Medico-legal reports finalised
- Employment and tax records obtained
- Care and equipment needs identified
The workflow
Calculate non-economic loss
Calculate non-economic loss using the severity-of-injury tables in the Civil Liability Act. Express the injury as a percentage of a most extreme case.
Assess past economic loss
Assess past economic loss from date of injury to calculation — actual earnings loss less any receipts, adjusted for tax and superannuation.
Project future economic loss
Project future economic loss using the pre- and post-injury earning capacity, applying vicissitudes and the 5% discount rate multiplier under s 14.
Calculate past care and assistance
Calculate past paid care plus any gratuitous care, subject to the statutory threshold and rate caps under s 15.
Calculate future care and equipment
Calculate future care, aids, equipment, home modifications, and medical treatment using the present value tables.
Add special damages
Add past and future out-of-pocket expenses — medical, pharmaceutical, travel, therapy, and rehabilitation costs.
Apply reductions and caps
Apply contributory negligence reductions and any applicable statutory caps, then gross up for Fox v Wood and interest where applicable.
Prepare Schedule of Damages
Prepare the Schedule of Damages for the pleading and update the settlement model. Reconcile with the offer matrix approved by the client.
What you will have at the end
A fully reasoned quantum calculation ready for pleadings, mediation, or court, supported by the statutory framework and medico-legal evidence.
Common issues
- Using an incorrect discount rate on future economic loss
- Overlooking s 15 gratuitous care thresholds
- Miscalculating Fox v Wood grossing-up for workers compensation
- Not applying statutory reductions consistently
- Incomplete medical or employment records leading to estimation errors
Run this workflow on a real matter
Quillio builds a Schedule of Damages from your medical and financial records, applying the Civil Liability Act caps and multipliers. See /practice-areas/personal-injury-lawyers or start a free trial.
This workflow is a general guide for NSW. Other jurisdictions have different quantum statutory frameworks.
Try this workflow with Quillio.
Quillio can run this workflow on a real matter, with citations to current AU authority on every step. The free trial requires no credit card.
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