South Dakota: Multiplier vs. Per Diem Method Compared

Two different ways to turn pain and suffering into a dollar figure — but in South Dakota, the slight/gross fault question comes first.

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.

Why the slight/gross question comes before either method

Most states ask a percentage question — was the claimant under 50% or 51% at fault? South Dakota asks something different entirely: was the claimant's fault "slight" compared to the defendant's "gross" negligence, under SDCL § 20-9-2. That's a threshold, all-or-nothing question the jury answers before either valuation method becomes relevant — if fault wasn't "slight," there's no noneconomic recovery to multiply or count by the day at all.

So the fault characterization comes first

Before investing effort in choosing between the multiplier and per diem methods for a South Dakota claim, it's worth understanding how a claimant's own conduct is likely to be characterized under the slight/gross standard — that qualitative judgment call can determine whether there's anything left to value at all.

Neither is required by South Dakota law

Both methods remain negotiating tools, not a formula South Dakota courts are required to apply. A jury retains discretion to award whatever amount it finds appropriate for noneconomic damages, once the slight/gross threshold is cleared — subject only to the malpractice cap when that type of claim is involved.

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.

Why does the slight/gross fault question overshadow both methods in South Dakota?

Because unlike most states' percentage fault bars, South Dakota's standard determines whether you recover anything at all based on a qualitative jury finding — a threshold question that comes before either valuation method is even relevant.

Does either method's output run into the malpractice cap outside medical malpractice in South Dakota?

No — South Dakota's $500,000 cap under SDCL 21-3-11 applies only to medical malpractice noneconomic damages. Every other type of personal injury claim has no cap at all.

Is either method required by South Dakota 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 SDCL § 20-9-2, verified per our methodology. Confirm how these methods apply to a specific claim with a licensed South Dakota attorney before acting.