Life Care Plan Cost Projection and Present Value for Personal Injury Cases in Arizona

By KW Economics Editorial Team · Updated

KW Economics prepares life care plan costing for personal injury cases venued in Arizona: what the loss claim consists of, the records that drive it, and a present value built to Arizona damages rules and venues. Plaintiff and defense.

How Life Care Plan Cost Projection and Present Value applies to Personal Injury in Arizona

For a personal injury claim the life care plan supplies the future medical and care items, and the economist's role is the economic translation of those items into a present value that reconciles with the plan. Each item's frequency, duration, and unit cost is carried forward with the medical cost growth appropriate to its category, summed year by year over the applicable life expectancy, and discounted with the rate stated. The result can stand alone or enter an integrated damages report on the same growth, discount, and life expectancy assumptions as the earnings and household services components.

Reduction of a life care plan's line items to a single present value. The plan's items, frequencies, durations, and unit costs are carried forward with medical cost growth appropriate to each category, then discounted over the applicable life expectancy. Plan authorship stays with the life care planner; our role is the economic translation of the plan into a damages figure that reconciles with the plan and can be examined item by item.

Where the damages concentrate

Which component dominates depends on the person's age, occupation, and residual capacity. For a young worker who can no longer perform a skilled trade, future earnings loss over a long worklife usually outweighs everything else. For a person who returns to work at reduced hours or lower pay, the loss is the gap between the but-for path and the post-injury path, and the size of that gap is the contested question. Where a life care plan exists, its present value is often the largest single figure in the report, and household services losses can be substantial when the injured person did most of the home's unpaid work.

Arizona courts and expert standards

Arizona courts screen expert opinion for reliability before it reaches the jury: the judge asks whether the witness is qualified, whether the method rests on sufficient facts and reliable principles, and whether those principles were applied reliably to the case. An economic damages report is written to that inquiry, with each input tied to the record and each data series identified by source.

Where these cases are heard

Highest court: Arizona Supreme Court. Court system: azcourts.gov.

Federal venues: District of Arizona.

Outside the civil courts, wage-loss disputes in workers' compensation matters proceed before the Industrial Commission of Arizona.

Damages framework

Arizona's wrongful death action belongs to the surviving spouse, children, parents, or estate and is measured by their own losses, while the decedent's pre-death claims survive to the estate without damages for the decedent's pain and suffering. The state constitution bars legislative limits on the amount recovered for death or injury, pure comparative fault reduces the award in proportion, evidence of collateral-source payments is admissible in medical malpractice cases but not in ordinary injury claims, and prejudgment interest is generally limited to liquidated sums.

Typical deliverables

We issue the final report and provide deposition and trial testimony, rebuttal of opposing present value opinions, and revaluation when the plan is updated.

Life Care Plan Costing for Personal Injury in other states

Frequently asked: Life care plan costing in Arizona personal injury matters

How is life care plan costing built for a personal injury case in Arizona?

The same four steps apply to a personal injury case venued in Arizona; the damages framework above decides which components enter the total. Establish the but-for earnings and fringe benefit base from the tax, wage, benefit, and personnel records, or from occupational data for a career still in training. Project the base over a statistically expected worklife with a stated wage growth rate and compare it with the post-injury path the record supports. Value household services from time-use data and local replacement rates, and price the future care in the life care plan item by item with medical cost growth. Discount every future stream to present value at a stated rate and show the sensitivity of the total to the contested assumptions.

What do Arizona courts ask of life care plan costing before it reaches the fact finder?

Arizona courts screen expert opinion for reliability before it reaches the jury: the judge asks whether the witness is qualified, whether the method rests on sufficient facts and reliable principles, and whether those principles were applied reliably to the case. An economic damages report is written to that inquiry, with each input tied to the record and each data series identified by source. Personal Injury cases venued in Arizona are heard in the Superior Court (General jurisdiction; larger civil cases, felonies, family law, probate), with final appeals to the Arizona Supreme Court. Matters within federal jurisdiction proceed in the District of Arizona.

How does the Arizona damages framework shape life care plan costing in a personal injury case?

Arizona's wrongful death action belongs to the surviving spouse, children, parents, or estate and is measured by their own losses, while the decedent's pre-death claims survive to the estate without damages for the decedent's pain and suffering. The state constitution bars legislative limits on the amount recovered for death or injury, pure comparative fault reduces the award in proportion, evidence of collateral-source payments is admissible in medical malpractice cases but not in ordinary injury claims, and prejudgment interest is generally limited to liquidated sums. The report presents past and future amounts separately, states every rate and table with its source, and shows the result under the alternatives the other side is likely to argue, so counsel can apply the Arizona rules to a documented figure.

References

Request a consultation on Life Care Plan Costing or call (201) 343-0700. Plaintiff and defense counsel.