How to Document and Claim Lost Self-Employed Income After an Accident in Connecticut

Disclaimer: This article provides general legal information and does not constitute legal advice. Consult an attorney for guidance specific to your situation.

Detailed Answer

After an accident in Connecticut, you can claim lost self-employed income as part of your personal injury damages. You may pursue benefits through:

• Personal Injury Protection (PIP): Under Conn. Gen. Stat. § 38a-334, your auto insurer must cover up to 80% of lost earnings. Learn more at https://www.cga.ct.gov/current/chap_700.htm#sec_38a-334.
• Third-Party Claim: If another party caused the accident, file a negligence claim. Connecticut law allows recovery of past and future lost income. The statute of limitations for personal injury claims is two years. See Conn. Gen. Stat. § 52-577: https://www.cga.ct.gov/current/pub/chap_925.htm#sec_52-577.

Step 1: Gather Income Documentation

Compile records that show your normal earning history and your lost earnings after the accident. Examples include:

• Tax returns (Form 1040 with Schedule C)
• Profit-and-loss statements
• Bank statements and deposit records
• Client invoices and contracts
• Accounting software reports
• Affidavits from accountants or financial experts

Step 2: Calculate Your Lost Earnings

Work with a forensic accountant or financial advisor to:

• Compare pre-accident income averages to post-accident earnings
• Project future earnings losses if your recovery delays your business
• Document any increased expenses caused by the accident

Step 3: File Your Claim

File a PIP claim with your auto insurer within 30 days of the accident. Submit all income documentation and medical records. For third-party claims:

• Draft a demand letter outlining your damages, including lost income
• Include copies of all supporting documents
• Negotiate a settlement or file a lawsuit in superior court

Step 4: Understand Deadlines

Keep these deadlines in mind:

• PIP: Benefits available immediately after the collision.
• Personal Injury Lawsuit: File within two years of the accident date. See Conn. Gen. Stat. § 52-577.

Helpful Hints

• Start documenting income loss immediately, even if you expect a quick recovery.
• Keep a daily journal detailing how the injury affected your ability to work.
• Save all medical bills and receipts for rehabilitation costs.
• Obtain expert testimony to strengthen future income loss claims.
• Consult a personal injury attorney to understand settlement vs. trial options.