Can I Get Compensation For Lost Wages After a Car Accident?

If you’ve been injured in a crash, you may well be wondering, Can I get compensation for lost wages after a car accident?

With the cost of living skyrocketing, even a few weeks of lost wages can be devastating. If you’re missing work because of a car accident, you need to do everything you can to recover the money you’re losing out on. Pennsylvania law will generally allow you to recover compensation income you’ve already lost, as well as future earnings you’re going to miss out on.

In this post, we’ll discuss everything you need to know about getting wage replacement benefits following a road accident in Philadelphia.

Where Does Compensation for Lost Wages Come From?

In any Philadelphia car accident case, your own insurance policy should be your first priority when seeking compensation.

Pennsylvania operates under a no-fault insurance system, which means your own insurance policy will cover a certain amount of damages regardless of who caused your accident. This coverage, called Personal Injury Protection (PIP), often includes lost wages.

However, PIP policies in Pennsylvania often have relatively low limits. So, if you spend more than a few days out of work, your PIP may not fully compensate you for your lost earnings.

Additionally, PIP generally will not cover lost future earnings.

Filing a Personal Injury Lawsuit

To recover the full extent of your lost earnings, you may need to file a lawsuit against the at-fault driver.

To succeed in a case like this, you’ll need evidence that the other driver was truly responsible for your collision. The other driver’s insurer will likely be the defendant in the case, and these companies have teams of in-house lawyers on hand to fight cases like yours.

Useful evidence in this context generally includes:

• Witness statements
• Police reports
• Photos or videos from the scene, including from surveillance cameras and dashcams. These have become a lot more common in Philadelphia in recent years, so it’s easier than it once was to collect this kind of evidence.

You’ll also need to prove that your injuries were severe enough to keep you out of work. To this end, you may need to present:

• Medical records
• Independent testimony from medical and occupational experts
• Pay stubs
• A report on your previous work duties from your employer.

Gathering all this evidence and presenting it effectively is a big task, particularly if you’re in the midst of the injury recovery process. So, it’s a good idea to consult with a Philadelphia road accident lawyer as soon as you can. Your attorney will evaluate your case, calculate the full amount of the lost earnings you should be entitled to, and help you decide whether a lawsuit is the best course of action.

What Are Lost Wages in a Car Accident Claim?

Lost wages are any earnings you would have received if not for the accident and your resulting injuries. You should be able to access benefits for any type of missed earnings like this, not just your base salary. Benefits like these can arise from:

• Missed workdays: If your injuries or medical treatment prevented you from working, you can claim the income you lost during that time.
• Reduced hours or roles: If you return to work but can only handle fewer hours or a less demanding (and lower-paying) role, you can claim the difference in earnings.
• Lost opportunities: In some cases, you may be entitled to compensation for a missed promotion, bonus, or sales commission. However, depending on circumstances, this can be more difficult to prove and may require additional documentation.

Recovering Lost Future Earnings

Calculating and claiming for earnings you’ve already missed out on is relatively straightforward. Getting compensated for lost future earnings is much more complicated.

Courts and insurance companies typically consider factors such as:

• Your age: The closer you are to normal retirement age, the lower your estimated future earnings will be (all other things being equal). Statistics show that the average retirement age in the U.S. is rising; your attorney may be able to leverage data like this to increase your settlement.
• Your profession: The skills and earning potential of your current job or career path will be taken into account. Estimates here are based on many uncertain factors; it’s impossible to say, for example, whether you’d have stayed as focused on your career goals had you not been injured, or whether you’d have prioritized family life or travel later in your career. An experienced lawyer will know how to approach this in a way that will maximize your potential entitlements.
• Medical prognosis: Your legal team will need to present independent medical evidence of the likely progression of your condition over the coming years. The defendant in your case will try to present an alternative interpretation of this evidence to lower your entitlements.

What If You’re Partially at Fault?

Pennsylvania follows a comparative negligence system, which means your compensation can be reduced if you share some responsibility for the accident. As long as you are less than 51% at fault, you can still recover damages, but your award will be reduced by your percentage of fault.

For example, let’s say your lost wages total $20,000, but you’re found to be 20% at fault for your accident. In this scenario, your wage replacement entitlements would be capped at 80% of the earnings you’ve missed; in this case, $16,000.

Common Challenges in Recovering Lost Wages

While lost wages are a common component of car accident claims, securing fair compensation isn’t always straightforward. Some of the biggest challenges include:

• Disputes over fault: If the other driver’s insurance company argues that you were partially or fully at fault, they may try to reduce or deny your claim.
• Insufficient documentation: Without clear evidence of your earnings and time missed, proving lost wages can be difficult—especially for self-employed individuals.
• Underestimating future losses: In cases involving serious injuries, it’s easy to overlook the long-term financial impact. Insurance companies may push for a quick settlement that doesn’t account for future lost wages or reduced earning capacity.

An experienced car and truck accident attorney will help you to avoid these common pitfalls.

Don’t Wait to Act

In Pennsylvania, the statute of limitations for filing a personal injury lawsuit is two years from the date of the accident. While that may sound like plenty of time, the sooner you act, the easier it is to collect evidence and build a strong case. Waiting too long can jeopardize your ability to recover compensation.

Losing income after a car accident can create serious financial stress, but you don’t have to face it alone. With the right legal representation, you can recover the wages you’ve lost—and the earnings you’re likely to lose in the future.

Contact The Cochran Firm in Philadelphia today to schedule a free initial consultation with one of our experienced road accident lawyers. You can reach us via our online contact form or over the phone at 334-260-0500.