Personal injury trusts (known as special needs trusts) are designed to protect your financial interests in the event of a personal injury compensation award.
Our financial planners can advise you on the benefits of placing your compensation award under the control of a trustee and how this may affect your financial situation, including the impact on any State benefits that you maybe receiving or maybe care entitled to in the future.
What is a personal injury trust?
A personal injury trust is a legal arrangement that can hold personal injury compensation and protect current or future means tested State benefits. The trustees can include the claimant, their family or professional trustees and it would be their responsibility to manage and administer the trust.
Do you need a personal injury trust?
The main reasons for setting up a Personal Injury Trust are to protect means-tested State benefits and to hold capital for those under the age of 18 years.
If an injured person has more than a certain amount of money held in their name, this can lead to any State benefits that they receive being reduced or even being stopped completely. By holding their compensation award in a trust, under the control of trustees, this will not be counted as part of the person’s capital, meaning that their benefits will not be affected. IM Asset Management offers straightforward and clear financial advice in relation to personal injury trusts.