Death settlements are claims that involve deaths caused by negligence. These are accidents from road accidents, medical malpractice, and manufacturing failures. Calculating these allegations are entirely complicated since there are a lot of factors to consider. Oftentimes, dealing with such cases requires a financial expert in order for the calculations to be accurate. During a death settlement, the compensation varies from one situation to another. Sometimes, when the court is present, case dismissal is possible. Thus, if you have a death settlement going on, you need to know the basics. Here is a guide to calculating a wrongful death settlement:
Wrongful Death Settlement: Common Scenarios
Most of the time, wrongful death cases occur when there is concrete evidence to prove that the victim’s death is caused by another person’s misconduct. If the person at fault is negligent during the whole time, there’s a high chance that the settlement will be a success. Here are some of the most common causes of wrongful death settlements:
- Road Accidents
Usually, these are the accidents that occur because of careless drivers who break traffic laws, thus causing death.
- Medical Malpractice
This is a widespread occurrence that happens every single day. Medical malpractice occurs because of neglectful habits that could potentially kill a victim.
- Manufacturing Failures
In an industrial setting, accidents are inevitable. These include mishaps that are caused by carelessness from a worker. If a person dies in an accident, a death settlement can be acquired from the victim’s side.
How do you Determine a Wrongful Death Settlement?
Determining the compensation on this type of settlement can be tricky. However, some factors could help identify the ideal amount of compensation given to the victim’s beneficiary:
- The victim’s age
- The victim’s health
- The age of the dependents
- The victim’s current income
- The victim’s earning capability
- The victim’s educational background
- The expenses from medical fees, funeral costs
- The value of the victim’s insurance and pension
After determining these factors, expert witnesses and economists will estimate the amount of compensation objectively.
What is the Payment Process?
Like other cases, a wrongful death settlement is paid by the victim’s insurance provider. However, there is a policy limit for every provider. Sometimes, there are times when the person at fault is individually accountable for the accident. Thus, it’s crucial that you know the insurance details of the liable person so that you are aware of your options. You could also hire an attorney if you need legal assistance; doing this can significantly organize your case. If you are in need of legal aid, you can contact one from the Miami wrongful death attorneys.
Is the Compensation Taxable?
The Internal Revenue Service (IRS) states that wrongful death settlements are not taxable if this is a compensatory payment. However, if the damages are punitive, the IRS will tax the person at fault. If you want to know more about the legal fees and terms involved, an attorney who is an expert on wrongful death settlements can assist you with your queries.