What is the difference between compensatory and punitive damages?

Compensatory and punitive damages are two distinct kinds of damages awarded in a personal injury case. Compensatory damages are intended to compensate a person for financial losses and emotional suffering caused by another person’s wrongful behavior. This includes physical pain and suffering, medical expenses, lost wages, and other expenses resulting from an injury. Punitive damages, however, are not intended to compensate the injured person. Instead, they are meant to punish the wrongdoer and deter others from similar behavior. Punitive damages will usually only be awarded if the wrongdoer’s behavior is particularly egregious or intentional. In California, the law allows punitive damages to be no more than nine times the amount of compensatory damages, and the total awards cannot exceed $500,000. Both compensatory and punitive damages are important elements of personal injury law in California and can make a difference in the outcome of a case.

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What is the difference between compensatory and punitive damages?

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