Medical negligence compensation

How is compensation assessed?

Compensation is awarded to provide a person with the financial resources to obtain appropriate support and care and to exercise choice in this provision. It aims to place the disabled person in the position she would have been in had the negligence not occurred. But this is clearly impossible for someone whose impairment will affect every aspect of daily living for the rest of her life.

To help with your claim:

• Keep a diary of additional expenses that you incur due to your or your child’s disability
• Keep receipts of these expenses and fix them to the relevant sections of your diary

Future expenses specific to the individual’s need are calculated following advice from a range of experts such as occupational therapists, physiotherapists, architects, accountants, employment consultants, rehabilitation consultants and others. The amount awarded should reflect:

• The capital and annual cost of providing appropriate accommodation and adapting that accommodation to meet the person's needs
• Loss of earnings where employment potential is compromised
• The cost of adequate care provision and specialist equipment
• Transport and mobility aids
• Social and leisure pursuits
• Other factors relevant to each specific case such as the cost of continuing education, occupational therapy, physiotherapy and speech and language therapy
• Costs involved with administering the award in the Court of Protection

An award of compensation will normally be split into two elements:

• A lump sum - a capital award designed to meet past expenses and immediate future expenses.
• Periodical payments - these may be made quarterly, bi-annually or annually in advance. They provide a guaranteed index linked, tax free, annual income and are intended to meet future costs as they arise on a predicted basis. 

What happens to the money awarded?

Money awarded in compensation for a child will usually be held by the court until the child reaches 18. After that it can be paid out of court to be under that person’s control, often with the assistance of a case manager. If the individual is incapable of properly managing her own affairs, the Court of Protection will administer the money. However, parents are usually involved in the management of the award and the decision-making process relating to that.