Per Diem Method for Injury Settlements: Daily Rate Pain and Suffering Calculation
Learn how the per diem method calculates daily pain and suffering in personal injury settlements. See how daily rates are set and when this method maximizes your award.
## What Is the Per Diem Method in Injury Valuation?
The per diem method — Latin for "per day" — calculates pain and suffering damages by assigning a specific dollar amount to each day a victim suffered as a result of their injuries. This daily rate is typically set equal to the victim's daily wage or earnings, based on the reasoning that enduring pain and suffering all day every day is at least as valuable as a day's work. The total is calculated by multiplying the daily rate by the number of days the victim experienced significant pain and limitation.
For a victim earning $300 per day who suffered measurable pain and limitation for 400 days, the per diem calculation yields $120,000 in pain and suffering — a compelling and defensible figure.
When the Per Diem Method Outperforms the Multiplier
The per diem method is particularly effective for cases involving extended recovery periods — injuries that cause significant pain and limitation for months or years. For victims with lower economic damages (lower medical bills and lost wages), the multiplier method can produce a relatively modest pain and suffering figure. The per diem method allows attorneys to independently document the duration and severity of suffering and arrive at a higher total that better reflects the victim's experience.
- Maintain a detailed daily pain journal with specific descriptions of limitations and activities avoided
- Have your physician document the expected duration of your recovery in medical records
- Track specific events or activities missed — family milestones, vacations, career opportunities
Presenting Per Diem Arguments to Juries
The per diem method is particularly persuasive to juries because it frames pain and suffering in concrete, relatable terms. Telling a jury "my client endured significant pain every single day for 365 days, and we value each of those days at her daily wage of $250" is more tangible and emotionally resonant than stating a lump-sum multiplier. Effective personal injury attorneys know which method produces a stronger result for each specific case.
Selecting the right calculation method requires understanding the facts of your specific case — consult an attorney to determine the best approach.
For informational purposes only. Not legal advice. Consult a licensed attorney.