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What are the Different Types of Brain Injury Compensation?

By Ken Black
Updated May 17, 2024
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Brain injury compensation consists of the payments received when someone else is at fault for an accident in which a victim sustains a brain injury. Of the various types of compensation, often in law they are split into two separate designations, compensatory and punitive. Brain injury compensation may also take the form of payment from a federal government, such as the Social Security Administration for permanent disability.

In law, the first major type of payment is often the easiest for a court to determine. Compensatory payments are payments made to the victim after expenses are incurred resulting from the brain injury. These expenses include, but are not limited to, hospital payments, physical therapy payments, prescription drug payments, and any special equipment the person may need to resume as much normal functioning as possible. Lost wages may also be a part of the formula used for compensatory brain injury compensation.

The other type of award in a lawsuit regarding brain injury compensation is often much more subjective and harder to determine. That part deals with punitive awards, which is meant as a punishment for the individual causing the action so that such actions do not reoccur in the future. Often, the jury or judge will consider not only the extent of the damages, but also the person's ability to pay when making a punitive award. Punitive awards, in particular, are often more subject to discussion and appeal than reimbursement for medical expenses.

Payment for an award from a lawsuit may be made all at once or over a period of time, depending on the situation. If the person responsible for the payments has insurance to cover the situation, then payments for brain injury compensation may come quickly. If the individual is of limited means without much insurance, then payment may come over a period of years, and may never be entirely paid off. The court will consider the ability of the person to pay when setting up a payment schedule.

In many countries, a person with a brain injury may also be entitled to various forms of brain injury compensation from the government. For example, in the United States, the Social Security Administration offers a disability benefit to those who are disabled to the point they can no longer earn enough money to live suitably. Various conditions may factor into the amount of money actually received, such as educational level, the type of work the victim was doing before the injury, and many others.

WiseGeek is dedicated to providing accurate and trustworthy information. We carefully select reputable sources and employ a rigorous fact-checking process to maintain the highest standards. To learn more about our commitment to accuracy, read our editorial process.
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