In addition to disrupting public order, a crime causes material, moral, and social damages to the victims. Therefore, effective compensation for damages caused by a crime is one of the most important mechanisms for protecting the rights of victims and achieving criminal justice. The purpose of this research is to examine the examples and criteria for recognizing damage caused by a crime and the methods of compensating for it in the legal systems of Iran and England with a comparative approach. The present research was conducted using a descriptive-analytical method and library resources. The research findings show that the Iranian legal system, relying on the foundations of Islamic jurisprudence and statutory laws, emphasizes more on compensating material damages and in some cases moral damages, while the English legal system, using judicial practice and support mechanisms, has identified a wider range of compensable damages, including direct and indirect damages, and has used more flexible criteria for assessing damage. Also, comparing the two legal systems shows that developing mechanisms to support victims and using clearer criteria in identifying and assessing damages can play an effective role in achieving justice, protecting the rights of victims, and increasing the efficiency of the compensation system in Iranian law.