Irina Balashova, CPA, CIA, CFE, Forensic Accountant Consultant ::::

When assessing economic losses, be aware of potential double counting of damages utilizing different categories of loss.

Case Synopsis: A mechanic was involved in a slip-and-fall accident, injuring his back, which resulted in a partial paralysis. Plaintiff now requires assistance with most activities of daily living. Claims were made for future medical costs and for loss of household services (“HHS”).

Expert Analysis: The plaintiff’s future medical costs claim was detailed in a life care plan, which included assistance with activities of daily living, such as personal care activities, as well as HHS that plaintiff was unable to perform post-injury, such as cooking, cleaning, transportation and shopping. The annual loss amount in this category totaled approximately $50,000. The claim for lost HHS also included a variety of general domestic chores that could be performed by repair workers, maids, landscapers, cooks, and laundry workers. The annual loss amount in this category totaled approximately $8,000. Based upon the descriptions of services provided, it was apparent the plaintiff’s claimed loss of HHS included many of the same services included in the life care plan, as a subset of the activities of daily living.