Which legal term refers to the payment made to victims for losses due to injury?

The correct term for the payment made to victims for losses due to injury is compensatory law. This concept encompasses compensatory damages, which are typically awarded in civil cases to reimburse a plaintiff for actual losses or injuries they have suffered. The primary goal of compensatory damages is to restore the injured party to the position they would have been in had the injury not occurred, thereby covering tangible aspects such as medical costs, lost wages, and emotional distress.

Punitive damages, on the other hand, serve a different purpose; they are imposed to punish the wrongdoer and deter similar behavior in the future. Restitution focuses on restoring the victim to their previous state but is often concerned with the return of property rather than monetary compensation for injuries. Consequential damages refer to losses that are not directly caused by an action but are a secondary effect of that action. While they can also be related to compensatory damages, they do not explicitly refer to the broad context of payments for injury losses. Thus, compensatory law captures the essence of payments made specifically for losses due to injury.