Opinion ID: 2628016
Heading Depth: 3
Heading Rank: 5

Heading: Did the Superior Court Abuse Its Discretion by Calculating Prejudgment Interest Based on the Reduced Amount?

Text: Gibson argues that the superior court should have calculated prejudgment interest based on the jury's finding of total past damages of $64,161. Prejudgment interest is awarded to compensate prevailing plaintiffs for the time value of money. When Gibson received the $50,000 settlement, she received add-ons that included prejudgment interest, compensating her for the difference in value between the $50,000 in damage at the time of the accident and the $50,000 she received at the time of settlement. Since Gibson actually received the $50,000 and was awarded prejudgment interest, she has already been compensated for any loss in value of that portion of her damages that was caused by the passage of time. In any case, GEICO as the UIM carrier was only liable for damages in excess of $50,000. Prejudgment interest was awarded on the excess. We see no error.