What is a “loss of earning capacity” claim?

A “loss of earning capacity” claim is a type of compensation claim that is made by a victim of a brain injury in the state of California, based on the assertion that the victim’s injury has resulted in a diminished earning capacity, or ability to earn a living. In these claims, the victim must show that their injury has caused them to be unable to work or to earn a living as they were able to prior to the injury, and that their diminished earning capacity is the result of the injury in question. In order to prove that their earning capacity has been diminished, victims must provide evidence of what they were able to earn prior to the accident, and the degree to which their income has been reduced since the injury occurred. This evidence can take many forms, including medical bills, doctor’s notes, and employment records. Additionally, victims may need to show that they have been unable to work as much or in the same manner as before the injury, and as a result, have suffered a decrease in income. If the evidence is found to be sufficient, the victim may be able to receive financial compensation for their reduced earning capacity, which can be used to ease the financial burden of their injury. This can be an invaluable help, as the expenses associated with medical treatments and lost wages can often be quite substantial.

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