Legal Glossary

A

Adjusted Gross Income (AGI)

Your total income after certain deductions. In injury cases, income figures may be used to calculate lost wages.

Adjudication

The legal process of resolving a dispute. This can include a settlement, a judge's ruling, or a jury verdict.

Arbitration

A private process where a neutral third party hears both sides and makes a decision. Arbitration is usually faster than going to court but may limit your right to appeal.

At‑Fault Party

The person or entity legally responsible for causing an accident or injury.

B

Bad Faith Insurance

When an insurance company unreasonably delays, denies, or underpays a valid claim.

Bodily Injury

Physical harm suffered by a person, such as broken bones, burns, or head injuries.

Burden of Proof

The obligation to prove your claim with evidence. In personal injury cases, this usually means showing the other party was more likely than not responsible.

C

Case Value

An estimate of what a claim may be worth based on injuries, medical bills, lost income, and other damages.

Claim

A formal request for compensation made to an insurance company.

Comparative Negligence

A legal rule that reduces compensation if the injured person is partially at fault. In Nevada, recovery is still possible as long as you are less than 51 percent at fault.

Compensatory Damages

Money awarded to cover losses such as medical expenses, lost wages, and pain and suffering.

D

Damages

The money sought or awarded for injuries or losses.

Demand Letter

A written request sent to the insurance company outlining injuries, damages, and the amount of compensation requested.

Deposition

A sworn, out‑of‑court testimony where attorneys ask questions and record answers for use later in the case.

E

Economic Damages

Financial losses that can be calculated, such as medical bills and lost income.

Evidence

Information used to prove a claim, including medical records, photos, videos, and witness statements.

F

Fault

Legal responsibility for causing an accident or injury.

Future Medical Care

Expected medical treatment needed after a settlement or verdict, often included in case value calculations.

G

General Damages

Compensation for non‑financial losses such as pain, emotional distress, and loss of enjoyment of life.

H

Health Insurance Lien

A claim by a health insurer to be repaid from your settlement for medical bills they covered.

I

Insurance Adjuster

The person hired by an insurance company to investigate and evaluate claims.

Intentional Tort

An act done on purpose that causes harm, such as assault.

J

Judgment

The final decision of a court resolving the case.

L

Liability

Legal responsibility for damages or injuries.

Lien

A legal right to be repaid from a settlement or judgment.

Litigation

The process of taking a dispute to court.

M

Maximum Medical Improvement (MMI)

The point at which a doctor believes further recovery is unlikely.

Medical Records

Documents that show diagnosis, treatment, and prognosis. These are critical in injury cases.

N

Negligence

Failure to use reasonable care, resulting in harm to another person.

Non‑Economic Damages

Losses that are not tied to bills or receipts, such as pain and suffering.

P

Pain and Suffering

Physical pain and emotional distress caused by an injury.

Personal Injury

Harm to a person's body, mind, or emotions due to someone else's negligence or wrongdoing.

Policy Limits

The maximum amount an insurance policy will pay for a claim.

R

Release

A document that ends the case and prevents future claims once a settlement is accepted.

Retainer Agreement

A contract between a client and attorney explaining fees and responsibilities.

S

Settlement

An agreement resolving a case without going to trial.

Statute of Limitations

The legal deadline to file a lawsuit. Missing this deadline can permanently bar your claim.

Subrogation

When an insurer seeks reimbursement from the at‑fault party or your settlement.

T

Trial

A formal court proceeding where evidence is presented to a judge or jury.

V

Verdict

A decision reached by a jury at the end of a trial.

W

Wrongful Death

A claim brought by family members when a loved one dies due to another party's negligence.