Francis Hanna & Co has a department specialising in Personal Injury Trusts. If you think that you will benefit from a Personal Injury Trust we have solicitors experienced in creating these trusts.
What is a Personal Injury Trust?
You can create a Trust by asking other individuals or a company to hold assets on your behalf - these people will be known as your 'Trustees'. A Personal Injury Trust describes a trust that has been set up using an award of compensation but does not describe the type of trust that holds the compensation. We can help you decide which type of trust is appropriate to your needs.
How can a Personal Injury Trust protect my entitlement to benefits?
If you are in receipt of means-tested benefits the capital value of any award of compensation you receive will be taken into account when calculating your entitlement to those benefits. However, if you set up a Personal Injury Trust with your compensation award, that capital is disregarded and will not affect your entitlement to means-tested benefits.
Even if you do not currently receive means-tested benefits, setting up a Personal Injury Trust when you receive your award can prevent loss of any future benefits you may claim if your circumstances change.
A Personal Injury Trust can also be used to protect your award from being taken into account for the cost of current or future long-term care. Placing your compensation award into a Trust will enable the capital to be disregarded when your contribution to care costs are considered.
In order to avoid any loss of benefits, a Personal Injury Trust should be set up before you receive your award of compensation. However, a Personal Injury Trust can be set up at any time using your compensation award. There is a period of 52 weeks, from the date you receive your award, in which your compensation will be treated as disregarded capital but this period is subject to special rules and we do not recommend that you rely on it