Loss of Wages Due to Car Accident: What You Need to Know

Dealing with the loss of wages due to car accident injuries isn’t just frustrating—it can feel like you’re getting hit twice, once by the car and again by your empty paycheck. Florida’s insurance system tries to patch the gap, but actually getting compensated for your lost income isn’t automatic or easy.

What Are Lost Wages?

When people ask what lost wages are, it’s not a trick question. Lost wages simply mean the income you would have earned if the accident hadn’t disrupted your life. It includes your regular pay, but it can also cover overtime, bonuses, commissions, tips—any money you were on track to earn before the crash flipped your plans upside down.

In Florida, Personal Injury Protection (PIP) insurance is supposed to help with lost wages after a car accident, paying 60% of your lost income up to the $10,000 coverage limit. But that doesn’t mean you’ll be made whole. In fact, for many workers, even getting partial compensation can be a bureaucratic mess.

How To Calculate Lost Wages

So, how do we calculate lost wages? As our auto accident lawyers know very well, it’s not just pulling a number out of thin air. First, you need to figure out how much income you missed when you were unable to work. That includes:

• Hourly employees: multiply your hourly rate by the hours missed.
• Salaried employees: divide your annual salary by 52 to get your weekly wage, then multiply by the number of weeks you missed.
• Gig workers or freelancers: this gets trickier. You might need to show average earnings over the past year.

Don’t forget things like missed bonuses, sales commissions, or other performance-based pay. In some cases, even missed promotions or career advancement opportunities could become part of the conversation—although proving those is much harder.

Who Pays for Lost Wages in a Car Accident?

If you’re wondering who pays for lost wages in a car accident, the answer—like everything in insurance—is “it depends.” In Florida, your PIP coverage pays first, covering 60% of your lost wages up to your policy’s limit. If your lost income exceeds that cap or your injuries qualify as serious under Florida’s legal definition, you might be able to file a claim against the at-fault driver’s insurance.

And is that driver uninsured or underinsured? Hopefully, you have uninsured motorist coverage. If not, you might be stuck trying to collect directly from the at-fault driver’s personal assets, which is typically not likely.

How To Prove Lost Wages

Knowing how to prove lost wages is key to getting paid. Insurance companies and courts aren’t going to just take your word for it. You’ll need actual evidence, such as:

• Medical records showing you were unable to work.
• Pay stubs or W-2 forms showing what you earned before the accident.
• Employer statements confirming the days you missed and your usual pay.
• Tax returns, if you’re self-employed.

The stronger your documentation, the harder it is for insurers to stall or lowball your payout. Otherwise, expect plenty of “We need more information” emails to outlast your patience.

How to Claim Lost Wages From a Car Accident

Now, for the meat of it, how can we claim lost wages from car accident injuries? First, file a claim with your insurance company under your PIP policy. You’ll need to provide all that documentation—medical records, wage statements, employment letters. Miss a piece, and your claim could get delayed or denied.

If your injuries qualify you to step outside the no-fault system, you can pursue a claim against the at-fault driver’s insurer. That’s a more complex process and usually involves negotiating—or fighting—for every penny.

Deadlines matter here, too. In Florida, you must seek medical treatment within 14 days of the accident to qualify for PIP benefits. Plus, there are statute of limitations for filing lawsuits if you need to go that route, usually two years for injury claims in Florida.

Why Legal Assistance is Crucial for Claiming Loss of Wages Due to a Car Accident

Insurance companies aren’t eager to hand over checks—especially regarding lost income. Claiming loss of wages due to a car accident often means pushing back against denials, delays, and low settlement offers. And if your injuries are severe enough to step outside Florida’s no-fault limits, the legal process can get even messier.

That’s where SS&W comes in. Our team personal injury lawyers have experience helping clients across Florida fight for the full compensation they’re owed after serious car accidents. Whether you’re trying to get basic lost wages covered or pursuing damages for catastrophic injuries, we’re ready to advocate for you. So you don’t have to navigate the insurance maze alone. Contact us for more information today.