Which kind of case should you pursue if you want compensation for injuries or damages?
Which kind of case should you pursue if you want compensation for injuries or damages?
After a car accident, slip & fall (premises liability) accident, or other type of personal injury case, you have the legal right to pursue compensation for your injuries and losses through the court system. As a practical matter though, there is usually an insurance policy in place designed to cover your losses.
Will personal injury compensation affect my benefits?
If you receive a significant ‘lump sum’ compensation payment as part of a personal injury claim, then this can affect your entitlement in the future to receive certain means tested state benefits. Means tested benefits take into account your income, savings and capital assets to assess your eligibility to claim.
Can a personal injury trust be a Disabled Trust?
A personal injury trust may be set up as an absolute, interest in possession or discretionary trust. They may even qualify as a disabled trust provided it satisfies the conditions on who may benefit. A key reason for setting up a personal injury trust is to prevent the award causing a loss of means tested benefits.
How does accepting ei or disability benefits hurt my personal?
Suffering a catastrophic injury or dealing with a disability claim may render a person unable to work; but will the acceptance of disability benefits or EI further impact a potential personal injury claim? If you suffer a catastrophic injury in a motor vehicle accident, you may be legally disabled and therefore unable to return to work.
Can a disability claim be settled out of court?
In that case, an auto accident victim sought disability benefits from her own insurance company. She also filed a separate personal injury claim against the negligent driver. The personal injury claim settled out of court. The insurer then demanded to know the amount of the settlement, which the plaintiff refused to disclose.
Do you have to pay periodic and exit charges into a disability trust?
Gifts into these trusts will be a PET and there will be no periodic and exit charges. These IHT benefits will apply where: All payments must go to the disabled person, except for up to £3,000 per year (or 3% of the assets, if that’s lower) which can be used for someone else’s benefit
A personal injury trust may be set up as an absolute, interest in possession or discretionary trust. They may even qualify as a disabled trust provided it satisfies the conditions on who may benefit. A key reason for setting up a personal injury trust is to prevent the award causing a loss of means tested benefits.
Can a personal injury trust be used for tax planning?
Taxation Personal injury trusts are not created for tax planning purposes and don’t offer any special tax breaks unless they also qualify as disabled trusts. The tax treatment will depend on the type of trust used and whether it qualifies as a disabled trust. The injured person is deemed to be the settlor of the trust.
Gifts into these trusts will be a PET and there will be no periodic and exit charges. These IHT benefits will apply where: All payments must go to the disabled person, except for up to £3,000 per year (or 3% of the assets, if that’s lower) which can be used for someone else’s benefit
Can a personal injury trust be disregarded in the means test?
Personal injury trusts are disregarded in the means test for most means-tested state benefits, ancillary benefits such as free prescriptions and local authority support. It’s important that only personal injury payments are in the trust and money from other sources should not be added to trust.