Illinois: Multiplier vs. Per Diem Methods Compared

Two different ways to turn pain and suffering into a dollar figure — and in Illinois, neither one runs into a ceiling, after the state's highest court struck down two separate caps.

The multiplier method: scaling off your damages

The multiplier method is the industry's default approach. It takes your economic damages — medical bills and lost wages — and multiplies that total by a factor generally between 1.5 and 5, chosen based on injury severity, recovery time, and whether any permanent impairment is involved.

The per diem method: valuing each day

The per diem (Latin for "per day") method works differently. It assigns a specific dollar value to a single day of pain and suffering and multiplies that rate by the total number of days of documented recovery, tying the value directly to time rather than to the size of your medical bills.

A genuinely Illinois-specific point: struck down twice, on a different theory

Illinois's legislature tried to cap non-economic damages twice, and the Illinois Supreme Court struck both attempts down — first a general cap across all common-law actions in Best v. Taylor Machine Works (1997), then a medical malpractice-specific cap in Lebron v. Gottlieb Memorial Hospital (2010). Both rulings rested on separation of powers, not the equal protection theory some other states have used — the courts held that a legislative cap improperly substitutes for the jury's own deliberative judgment. Whichever method you use, the result runs into no statutory ceiling today.

When the per diem method still earns its keep

Even without a cap in play, the per diem method can carry real persuasive weight in a case with a long, clearly bounded recovery period, where counting days produces an easy-to-follow number for a jury or an adjuster — sometimes a more compelling story than a multiplier applied to a modest economic damages total.

Neither is required by Illinois law

Both methods remain negotiating tools, not a formula Illinois courts are required to apply. A jury retains broad discretion to award whatever amount it finds appropriate for pain and suffering, within the bounds of the evidence presented — subject only to Illinois's fault rules reducing or barring the total based on your own share of blame.

Multiplier vs. per diem — frequently asked questions

What is the multiplier method for valuing pain and suffering?

It takes your economic damages — medical bills and lost wages — and multiplies that total by a factor, generally between 1.5 and 5, based on how severe and lasting the injury is.

What is the per diem method, and how does it differ?

The per diem method assigns a specific dollar value to each day you experience pain and suffering, then multiplies that daily rate by the number of days of recovery, rather than scaling off your economic damages.

Does either method run into a ceiling in Illinois?

No. The Illinois Supreme Court struck down the state's damages caps as violations of the separation of powers clause, in Best v. Taylor Machine Works (1997) and Lebron v. Gottlieb Memorial Hospital (2010), so neither method's result is limited by a statutory ceiling.

Why did Illinois courts strike down the caps on a different theory than some other states?

Illinois relied on separation of powers — the idea that a legislative cap improperly overrides the jury's deliberative role — rather than an equal protection theory some other states have used to strike similar caps.

Is either method required by Illinois law?

No. Neither is a formula set by statute. Both are negotiating tools used by attorneys and insurance adjusters to reach a number for the jury or the settlement table.

This page provides general guidance only and is not legal advice. Figures are based on the multiplier and per diem methods commonly used across the personal injury industry and Illinois case law (Best, Lebron), verified per our methodology. Confirm how these methods apply to a specific claim with a licensed Illinois attorney before acting.