Types of Damages in Texas Personal Injury Cases

In legal terms, "damages" refers to the monetary compensation you can recover for injuries caused by someone else's negligence. Texas law allows accident victims to seek full compensation for all their losses—both the tangible costs you can count and the intangible suffering that's harder to quantify.

Personal injury damages in Texas fall into three main categories: economic damages (your actual financial losses), non-economic damages (pain, suffering, and quality of life impacts), and in rare cases, punitive damages (designed to punish particularly egregious conduct).

Understanding these categories is crucial because insurance companies often try to compensate you only for medical bills while ignoring the full scope of your losses. An experienced Austin personal injury attorney ensures nothing is overlooked.

Economic Damages (Special Damages)

What Are Economic Damages?

Economic damages are your tangible, out-of-pocket financial losses. They can be calculated using bills, receipts, pay stubs, and other documentation. In Texas personal injury cases, there is no cap on economic damages—you can recover the full amount of your documented losses.

Medical Expenses

All reasonable and necessary medical costs related to your injuries are recoverable:

• Emergency room care: Ambulance, ER treatment, initial diagnostics
• Hospital stays: Room charges, nursing care, monitoring
• Surgery and procedures: Operating room, surgeon fees, anesthesia
• Doctor visits: Primary care, specialists, follow-ups
• Physical therapy: Rehabilitation sessions, occupational therapy
• Prescription medications: Pain medication, antibiotics, ongoing prescriptions
• Medical equipment: Wheelchairs, braces, crutches, home modifications
• Future medical care: Projected costs for ongoing or anticipated treatment

Lost Wages

If your injuries kept you from working, you can recover compensation for:

• Wages lost during recovery
• Sick days and vacation days used
• Bonuses and commissions you would have earned
• Benefits lost (health insurance contributions, retirement matching)

Documentation from your employer establishes your regular income and the time you missed.

Loss of Earning Capacity

If your injuries permanently affect your ability to work, you may recover for lost future income. This applies when you:

• Can no longer perform your previous job
• Must take a lower-paying position
• Can only work reduced hours
• Face limited career advancement

Economic experts calculate the difference between what you would have earned and what you'll now be able to earn over your working lifetime.

Property Damage

Compensation for damaged property includes:

• Vehicle repair costs
• Vehicle replacement (fair market value if totaled)
• Personal belongings damaged in the accident
• Diminished value of your vehicle even after repairs

Out-of-Pocket Expenses

You can also recover miscellaneous expenses caused by your injuries:

• Transportation costs to medical appointments
• Home modifications (ramps, grab bars, stair lifts)
• Household help or nursing care
• Childcare during recovery
• Any other reasonable expenses caused by the accident

Non-Economic Damages (General Damages)

What Are Non-Economic Damages?

Non-economic damages compensate you for the intangible impacts of your injuries—the suffering, fear, and diminished quality of life that can't be documented with a receipt. While harder to calculate, these damages are often the largest component of personal injury settlements.

In Texas, there is no cap on non-economic damages in most personal injury cases (though caps exist for medical malpractice and claims against government entities).

Physical Pain and Suffering

Compensation for the physical pain caused by your injuries:

• Pain from the injuries themselves
• Pain from medical treatment (surgery, therapy)
• Chronic pain conditions that develop
• Anticipated future pain

Mental Anguish

The emotional and psychological impact of the accident:

• Emotional distress and trauma
• Anxiety and depression
• Post-traumatic stress disorder (PTSD)
• Fear of driving or specific situations
• Nightmares and sleep disturbances

Loss of Enjoyment of Life

When injuries prevent you from enjoying activities you once loved:

• Hobbies you can no longer pursue
• Sports and physical activities limited
• Social activities curtailed
• Inability to play with children or grandchildren

Disfigurement and Scarring

Compensation for permanent changes to your appearance:

• Visible scars
• Burns and skin grafts
• Amputation
• Facial injuries
• Psychological impact of visible injuries

Physical Impairment

Compensation for permanent limitations on your physical abilities:

• Loss of mobility
• Reduced range of motion
• Permanent limitations on activities
• Loss of bodily function

Loss of Consortium

Your spouse may have a separate claim for:

• Loss of companionship
• Loss of intimacy
• Loss of household services
• Loss of emotional support

Punitive Damages (Exemplary Damages)

What Are Punitive Damages?

Unlike economic and non-economic damages (which compensate you), punitive damages are designed to punish the defendant and deter similar conduct. They're awarded only in cases involving egregious misconduct.

When Punitive Damages Apply

Texas courts may award punitive damages when the defendant acted with:

• Gross negligence: Extreme disregard for the safety of others
• Intentional misconduct: Deliberately harmful actions
• Fraud: Intentional deception
• Malice: Intent to cause harm

Examples might include drunk driving accidents, intentional assaults, or companies knowingly selling dangerous products.

Punitive Damage Caps in Texas

Texas caps punitive damages at the greater of:

• $200,000, OR
• Two times economic damages plus non-economic damages up to $750,000

There are exceptions for certain crimes, including felonies, and specific statutes may have their own limits.

Damage Caps in Texas

Personal Injury Cases (General)

For most personal injury claims in Texas:

• No cap on economic damages
• No cap on non-economic damages
• Punitive damages capped as described above

Medical Malpractice Caps

Texas has controversial caps on non-economic damages in medical malpractice cases:

• $250,000 maximum per physician
• $250,000-$500,000 maximum per healthcare institution
• Economic damages remain uncapped

Learn more about medical malpractice claims in Austin.

Government Entity Caps

The Texas Tort Claims Act limits damages for claims against government entities:

• $250,000 per person
• $500,000 per occurrence
• These caps apply to total damages, including economic losses

How Damages Are Calculated

Economic Damages Calculation

Calculating economic damages involves:

• Adding up all documented medical expenses
• Projecting future medical costs (often with expert testimony)
• Calculating lost wages from employment records
• Using economic experts to project lost earning capacity
• Documenting all out-of-pocket expenses

Non-Economic Damages Methods

Non-economic damages are more subjective. Common approaches include:

• Multiplier method: Medical expenses × a factor (1.5 to 5) based on injury severity
• Per diem method: Assigning a daily dollar amount for pain and suffering
• Jury determination: Ultimately, a jury decides what amount fairly compensates for non-economic losses

Role of Expert Witnesses

Experts often provide crucial testimony to establish damages:

• Medical experts: Testify about injuries, treatment needs, and prognosis
• Life care planners: Project lifetime medical care costs
• Economists: Calculate lost earning capacity and present value of future losses
• Vocational experts: Assess career impacts and job options

Comparative Negligence Impact

Texas Modified Comparative Fault

Texas follows a "modified comparative negligence" rule. This means:

• Your damages are reduced by your percentage of fault
• If you're more than 50% at fault, you recover nothing

Example: Your total damages are $100,000. If you're found 20% at fault, you recover $80,000. If you're found 51% at fault, you recover nothing.

Protecting Your Damage Recovery

An experienced attorney helps protect your recovery by:

• Establishing clear defendant liability
• Countering attempts to shift blame to you
• Presenting evidence that minimizes your comparative fault

Proving Your Damages

Documentation Is Key

Strong documentation supports your damage claims:

• Keep all medical records and bills
• Save every receipt related to your injuries
• Document lost wages with employer letters
• Keep a daily journal tracking pain levels and limitations
• Take photos of injuries as they heal

Expert Testimony

In serious cases, expert witnesses strengthen your damage claims by providing professional opinions about your injuries, treatment needs, and financial losses.

Learn more about the personal injury claim process.

Maximizing Your Damage Recovery

Follow Medical Advice

Complete all recommended treatment. Gaps in medical care suggest your injuries aren't serious and give insurance companies ammunition to reduce your claim.

Document Everything

The more documentation you have, the harder it is for insurance companies to dispute your damages. Keep records of everything—from major medical bills to minor expenses.

Work with an Experienced Attorney

Personal injury attorneys know how to properly calculate damages, access the right experts, and negotiate effectively with insurance companies. Studies show that represented victims recover significantly more than those who handle claims alone.

See our case results to understand the difference experienced representation makes.