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Unpaid household labor can increase the value of an injury claim

On Behalf of | Feb 10, 2024 | Motor Vehicle Accidents |

Trying to secure compensation after a New York car crash can be challenging. Individuals may struggle to negotiate with an insurance company or recognize that a personal injury lawsuit might be their best option.

All too often, those negatively impacted by a recent collision fail to seek an appropriate amount of compensation given the extent of their losses. For example, they may agree to a settlement that only compensates them for a small fraction of the financial impact of the crash. One of the reasons that people accept less than they deserve is that they struggle to estimate what the crash may cost them.

Especially if someone is a stay-at-home spouse or has young children at home, the value of their unpaid household contributions could be a major consideration for the purposes of a personal injury lawsuit or car insurance claim.

What are unpaid services actually worth?

If a stay-at-home parent breaks their clavicle, they may not be able to tend to the needs of a young child who depends on them for care. In addition to making a claim for their medical costs, they may also need to calculate the financial impact of becoming unable to meet the needs of their child and take care of their home.

Putting a price on the household labor someone cannot perform usually requires looking at the fair market value for similar professional services. Researchers estimate that estate that a stay-at-home spouse could provide more than $170,000 worth of unpaid work to a family each year.

Even someone who works full-time but largely manages their household might contribute tens of thousands of dollars in uncompensated labor to their family every year. If they become temporarily or permanently incapable of providing those services, their functional limitations could affect the final financial impact of a motor vehicle collision.

Particularly in cases where people go to court over permanent injuries or pursue wrongful death compensation following a fatal collision, the inclusion of the value of someone’s unpaid household labor can be a very smart move. Families can then afford the cost of bringing in professional support and more effectively limit the lasting economic consequences that the collision causes.

Those seeking financial compensation after a New York car wreck typically need support when predicting the practical future consequences of the collision and estimating the financial impact those consequences may inspire. Seeking the maximum amount of compensation possible could help reduce the losses someone suffers because of another person’s negligence or misconduct on the road.