Multiplicand

The Multiplicand

This is valuing the dependency following a fatal accident, the multiplicand, which is an arithmetical exercise.There are 3 ways to calculate this figure;

  • 1. Add each item of expenditure by the deceased on the dependants to provide a net figure.
  • 2. Assess the deceased net income and deduct his estimated expenditure on himself. Do not forget to add into the calculation fringe benefits such as a company car or free accommodation provided by his employers.
  • 3. To deduct a percentage from the deceased income to represent what he would exclusively spend on himself. The court’s are favouring this method.

However in one fatal accident case, the conventional percentage may be unsuitable if the wife had been earning a considerable sum herself before her husband’s death.

The fact that a deceased widow would have given up work to start a family but for the deceased death, will not increase her dependency on the deceased from the date when she would have given up work.

Other losses in a fatal accident claim, include a loss of pension, gratuitous services and fringe benefits, amounts others. They are recoverable provided that there was a realistic expectation of the benefit, regardless of whether or not it was previously enjoyed. Thus a separated spouse must show a significant prospect of reconciliation; if the deceased was not working at the time of death, he would have returned to work in the future.

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