Can I Claim Loss of Earnings If I’m Self-Employed?
Yes, you can claim for loss of earnings if you’re self-employed and you’re making an ICBC claim. or any other kind of personal injury claim. However, the process is more complicated if you’re self-employed because you must provide evidence of your pre-accident and post-accident earnings.
Loss of earnings and personal injury claims
When you’re injured through no fault of your own, you’re entitled to make a personal injury claim. If you’ve been harmed in a motor vehicle accident, this will be an ICBC claim. The purpose of a personal injury claim is to ensure you are properly compensated for your damages – including your past and future loss of earnings.
Proving your loss of earnings
To get compensation for your loss of earnings, you’ll need to provide evidence that shows how much you would have earned, were it not for the accident. If you’re an employee, you can use pay stubs from before and after the accident. These confirm how much income you normally take home, compared to how much you’ve earned since sustaining your injuries.
However, as a self-employed person, you’re not on the payroll – meaning you don’t have any pay stubs to produce. Your usual income may also be affected by things such as:
- Seasonal or monthly income fluctuations
- Tax deductible expenses
- Different streams of income
- Cash payments or non-declared earnings
This can make it hard to prove exactly how much you’ve lost because of your accident. Even so, that’s not to say it can’t be done. The key to proving your loss of earnings as a self-employed person is good record keeping. Ideally, you’ll have complete tax returns dating back over the past few years. You should also record every business loss you’ve incurred since the accident.
So long as you can provide sufficient evidence, your compensation claim can reflect losses such as:
- Contracts, sales or business lost because of the accident
- The cost of hiring extra contractors, sub-contractors or employees, which you would not normally have needed
- Diminished earning capacity
- Lost tips
Vancouver personal injury lawyers
Personal injury claims are especially complex when they involve self-employed people. That’s why expert legal representation is so important.
If you’re a sole proprietor or business owner and you’re involved in an accident through no fault of your own, please contact us at John Mickelson Law Corporation. We specialize in personal injury claims, including ICBC claims. We know how important it is to recover your financial losses in full and will work hard to get you the maximum amount of compensation.
It’s true that proving your loss of earnings as a self-employed person is more difficult than if you were an employee. However, we have the skill and expertise needed to handle these claims. We’ll help you gather the evidence needed to prove your loss of earnings, ensuring you’re not left out of pocket.