Chat With Us




When we represent personal injury compensation cases, we often encounter such cases: the injured person who has suffered serious bodily injury will also have a great impact on their work and life. However, it is often not easy to make an accurate assessment of the amount of losses caused by this impact.

Estimating such losses is even more difficult, especially if the injured person is self-employed or contracted. In some cases, such injured persons may have the same or even higher income after the injury than before the injury, a superficial phenomenon that often leads to the assumption that they have no income loss at all before and after the injury.

In other cases, the loss of income of the injured person can only appear after a period of time, because after the injury, he/she cannot do the work that could easily be done before the injury, and the work ability decreases, and the income is naturally affected. .

In many cases, the injured person still faces permanent damage after treatment and a period of recovery. However, at this time, many injured people do not have many options and have to return to work, because they need this income to support their families and raise children. However, because of their physical injuries, their job responsibilities may change, and they may lose many new businesses, resulting in a significant drop in their business revenue and personal income. The question is: how can the injured seek compensation for such losses?

For decades, courts have recognized the “capital assets” of a business owner, and when the business owner suffers serious bodily harm, they will “lose a competitive advantage” as a result. From this point of view, the court has also recognized the economic losses of the injured person after “losing their competitive advantage” in many cases. The court’s judgment is mainly based on the following:

  • “The person was significantly affected by the injury” or “their ability to secure or obtain new business was negatively affected by the injury”;
  • “The injury has made the person more difficult to run the business and has had more managerial responsibilities in the business than before the injury”, or was unable to “recover the nature and intensity of the work that he was able to undertake before”;
  • A person with permanent bodily injury may “need to find a job again for various reasons, and the physical injury has made him/her difficult to find a job again”.


However, although the court in similar cases has decided to pay the injured a certain amount of lost income, in most cases, the inference of these lost income can be said to be arbitrary, and it is more likely to be far lower than the actual economic loss suffered by the injured.

Obviously, the traditional method of justifying loss of income is to calculate possible future losses based on past income. The reality is that sometimes such calculations are not accurate and efficient.

In previous court cases, claimants have also tried new ways to calculate lost income. For example, the difference in income between the injured person and a normal person in the same position when the injured person “loses the competitive advantage” according to the degree of injury is compared.

For example, there may be data to support the loss of promotion opportunities, loss of more job opportunities, or even the inability to keep jobs due to physical injuries of varying degrees (minor, moderate, and severe). There are also related reports in the industry that, compared with healthy job seekers, job seekers who have suffered physical injuries have a significantly lower chance of being hired, and even if they are lucky enough to get hired, their wages are usually less than the former.

From a legal point of view, it is indeed very difficult to make a proper assessment of the financial loss suffered by a physically injured person who has lost a competitive advantage, especially a self-employed person or a contract worker who is paid by contract. Through a professional accounting team, we will conduct a detailed assessment of the customer’s income loss, and strive for the customer’s deserved income loss compensation.

Our client, Ms. Yu, is a self-employed person. Before signing the contract with our law firm, she hired a legal counsel to help her with her car accident claims for nearly two years. The insurance company has not compensated her for the loss of income. Shortly after we took over the case, we discussed the evidence with our team of accountants, and through detailed professional analysis of the data, successfully secured all the lost income for the client over the past two years. Therefore, if you are self-employed or earn income through contracts, and unfortunately suffer an accidental economic loss, but the insurance company ruthlessly refuses to compensate for the loss, please contact us in time.

Remarks: The above articles are for reference only, not legal advice. If readers want to understand the relevant laws, or seek professional advice on individual cases, please make an appointment to consult the lawyers of our law firm.