Personal Injury Trusts
A personal injury trust is a legally recognised arrangement that allows clients who receive financial settlements to retain their state benefits. This is irrespective of the size of the compensation awarded.
Whether the settlement is under £10,000 or over £1m, a personal injury trust ensures clients keep the state benefits they are entitled to receive.
Essentially, a trust puts a protective barrier between the compensation received and benefit entitlement. Properly structured, clients will have full access to the money held within the trust as and when they need it.
Personal injury trusts require two trustees. The client is one, and they can appoint a family member, close friend or whoever they choose.
However, it is important to note that there are certain limits imposed by the state for the trust to be effective. Specialist advice is required to ensure these limits are not breached.
Mutual Financial are experts in investment management for personal injury trusts and we are committed to providing clients with flexible, long-term financial security.
The cost of setting up the trust can often be recovered from the negligent party, although this will vary from case to case.
Mrs C Client