Detailed answer — how demand amounts are calculated

When you demand a settlement for a broken arm in Montana, you ask the at-fault party (or their insurer) to pay a specific dollar amount to resolve the claim. The right demand amount balances what your injuries objectively cost, what they subjectively cost you, how strong your legal position is, and what the insurer is likely to pay. Below are the key components and a step-by-step method to reach a reasoned demand.

Primary damage categories to include

• Past medical expenses (economic damages): hospital bills, ER fees, imaging (X-rays, CT), surgery, physical therapy, medications, medical supplies (slings, braces). Use billed amounts and, if available, the amounts actually paid by you or your insurer.
• Future medical costs: ongoing physical therapy, follow-up visits, future surgery, assistive devices, or anticipated rehabilitation. Ask a treating physician for a written prognosis and cost estimate or obtain an expert report if future care is substantial.
• Lost wages and lost earning capacity: wages you already missed because of recovery plus reasonable projections if your injury affects future earning ability (for example, if your dominant arm was fractured and you perform manual labor).
• Non-economic damages (pain and suffering): physical pain, emotional distress, loss of enjoyment of life. These are subjective and often make up much of the settlement value in broken-arm claims.
• Property damage and out-of-pocket expenses: transportation to appointments, home modifications, childcare costs, or other tangible losses related to the injury.

Common valuation methods for non-economic damages

Because pain and suffering lacks a fixed price tag, claimants and insurers use formulas to estimate it:

• Multiplier method: Add all economic damages (medical bills + lost wages) and multiply by a number (commonly 1.5–5). Low-impact, short recovery injuries get lower multipliers; severe, long-term injuries get higher ones. For a straightforward broken arm that healed with full function, use a lower multiplier (e.g., 1.5–2.5); for complicated fractures or permanent impairment, use higher (3–5).
• Per diem (daily rate): Assign a daily monetary value to pain and suffering and multiply by the number of days you suffered. This method can work for clearly defined recovery periods.

Adjustments that affect the demand

• Comparative fault: If you share fault, Montana reduces your recovery proportionally. Montana applies modified comparative negligence (you may be barred from recovery if you are more responsible than the defendant). Factor in likely percentage fault when setting a demand.
• Insurance policy limits: Insurers will not pay more than the defendant’s policy limit. If the at-fault driver has a $50,000 policy, a demand of $250,000 may be unrealistic unless alternative defendants or uninsured-motorist coverage exist.
• Strength of liability and evidence: Strong records (photos, video, police reports, clear witness statements) support higher demands. Weak causation or conflicting facts lower realistic demand amounts.
• Preexisting conditions and mitigation: If the injury aggravated a preexisting condition, expect the insurer to discount the claim. Also show you reasonably mitigated damages (followed medical advice); failing to do so reduces value.
• Medical liens and subrogation: If an insurer or government program paid for care, they may assert repayment rights. Account for these when deciding net demand and settlement allocation.

Step-by-step example (hypothetical)

Hypothetical facts: You broke your forearm in a fall caused by a negligent driver. You had $12,000 in past medical bills, $1,800 in lost wages, and your doctor expects a small chance of future physical therapy costing $2,000. You still have moderate pain for three months.

1. Economic damages = $12,000 + $1,800 + $2,000 = $15,800.
2. Choose a multiplier for pain and suffering. For a straightforward fracture with several weeks of notable pain, a multiplier of 1.5–2.5 might fit. Using 2.0: non-economic = $15,800 × 2 = $31,600.
3. Total demand = economic + non-economic = $15,800 + $31,600 = $47,400.
4. Adjust for comparative fault (if you were 10% at fault): expected recovery ≈ $47,400 × 0.90 = $42,660.
5. Compare to insurance policy limits and strategic considerations. If the at-fault driver’s policy limit is $25,000, your realistic maximum from that insurer is $25,000 unless you have other sources.

Practical negotiation strategy

Begin with a demand that is supportable by the documentation and allows room to negotiate. Do not demand an amount so low that you leave value on the table, or so high that the insurer dismisses the claim. Provide a clear demand letter with organized medical records, bills, wage documentation, and a short narrative of liability and damages. Set a reasonable deadline for response and state that you are willing to discuss but expect timely communication.

Montana-specific timing and law

Montana law creates deadlines and rules that affect claims. For example, personal injury claims must be brought within Montana’s statutory time limits. For the Montana Code and to confirm exact statutes that apply to your case, see the Montana Code Annotated searchable site: https://leg.mt.gov/bills/mca/. Because state law affects whether you can sue and how fault is allocated, check these rules early in your case and consult an attorney if you face limitations or complex issues.

Helpful hints — practical checklist for preparing a strong demand

• Collect complete medical records and itemized bills. Insurers value precise documentation.
• Keep a detailed pain and symptom diary with dates and how pain changed daily activities.
• Save wage documentation: pay stubs, employer notes, tax returns for lost-earnings proof.
• Take clear photos of the injury, the scene, and property damage as soon as possible.
• Get written statements from witnesses and a copy of the police or incident report if one exists.
• Ask your treating doctor for a prognosis and, if needed, a written estimate of future care costs.
• Check the at-fault party’s insurance limits early so you set realistic expectations.
• Consider consulting a personal injury attorney before sending a demand—many offer free case evaluations and can identify value you might miss.
• Keep settlement negotiations documented in writing and be cautious signing releases until you understand the full scope of damages.

When to get an attorney: If medical bills are high, future care is likely, fault is disputed, multiple parties are involved, or the insurer’s initial offers are low, an attorney can help quantify damages, negotiate effectively, and protect your rights. If you decide to consult counsel, bring your documentation and a clear timeline of events.

Disclaimer: This article explains general principles and is not legal advice. Laws and rules change. For advice tailored to your situation, contact a licensed Montana attorney. For Montana statutes and official text, visit the Montana Code Annotated at https://leg.mt.gov/bills/mca/.