What type of damages are awarded above the compensation requirements for injury or damage?

The correct answer pertains to punitive damages, which are specifically awarded to punish a defendant for particularly egregious conduct and to deter similar behavior in the future. These damages go beyond mere compensation for injury or damage, which means they are not simply meant to make the injured party whole. Instead, punitive damages are intended to serve as a societal condemnation of the offending behavior, often in cases where the defendant's actions were found to be malicious, reckless, or grossly negligent.

Punitive damages are usually determined during a trial when the jury finds that the defendant's behavior warrants such a response. The rationale is that sometimes compensatory damages alone are insufficient to address the severity of the wrongdoing; thus, these additional penalties are applied to reinforce accountability and safeguard public interest.

In contrast, compensatory damages cover actual losses suffered by the plaintiff, consequential damages refer to secondary losses that arise from the initial harm, and exemplary damages are often considered synonymous with punitive damages but have specific uses in varying jurisdictions. This key difference highlights why punitive damages specifically fit the criteria of being awarded above mere compensation for direct injuries or damages.