Proving loss of earnings in Road Accident Fund Claims – Expert Evidence
Loss of earnings or earning capacity is an important portion of the damages in claims against the Road Accident Fund. It ensures that a claimant will be compensated for any income and/or capacity to earn income lost due to the inability to work as a result of injuries sustained in a motor vehicle road accident. To succeed in a claim, a claimant needs to collate factual, documentary and expert evidence. This article discussed the expert evidence need for a successful claim.
The claimant must prove that they are incapable of working to earn an income and/or their capacity to do so has been diminished due to the injuries sustained as a result of the accident and show what they would have otherwise earned but for the accident.
Expert evidence is an integral part of proving the true extent of loss of earnings or earning capacity, which includes medico-legal reports from the following experts:
- Medical experts – usually orthopaedic surgeons, neurologists or any other treating specialists to diagnose and access the severity of the injuries and provide a long-term prognosis;
- Occupational therapist – provides insight into how the injuries affect the claimant’s ability to perform tasks related to work and daily activities;
- Industrial psychologist – usually builds on the occupational therapist’s report and evaluates how the injuries and limitations caused thereof affect the claimant’s career prospects, earning capacity, and employability by providing a pre-accident and post-accident analysis.
- Actuaries – using the findings of the above experts to calculate the actual past and future loss of earnings (rent and cent value). The actuary’s calculations are subject to contingency deductions to account for life’s uncertainties such as illness, job changes, and/or early retirement. The percentage deducted depends on factors such as the severity of the injury, the claimant’s work history, and their chances of staying employed.
Proving loss of earnings in RAF claims requires sufficient and reliable expert evidence that clearly links the injury to reduced earnings and/or earning capacity.
