What are compensatory damages typically awarded for?

Compensatory damages are designed to compensate an injured party for losses that can be directly linked to another party's actions. These damages aim to restore the injured person to the position they would have been in had the harmful event not occurred. Typically, this includes covering actual expenses such as wages lost due to injury, medical bills incurred for treatment, and other related expenses that arise directly from the incident.

The goal of compensatory damages is to ensure that victims do not suffer financial hardship due to someone else's negligence or wrongful conduct. For example, if an individual is injured in an accident and unable to work, compensatory damages would cover their lost income along with medical costs related to the injury. This makes option B the most accurate description of what compensatory damages are awarded for, highlighting their purpose of addressing tangible financial losses.