For those unfortunate enough to be injured in an accident for which they were not to blame, there is often a sting in the tail when they receive compensation. This is because if they are in receipt of means tested state benefits, or if they intend to apply for such benefits in the future, then the receipt of the compensation monies could mean that they are no longer eligible.

However, there is a way around this problem. The law provides that if such compensation monies are placed into a trust fund, then they are disregarded for the purpose of calculating a person’s eligibility for means tested benefits. With entitlement to means tested benefits such as Income Support, Council Tax Benefit and Housing Benefit often worth several hundred pounds per week, it is an option well worth considering. It is also often forgotten that entitlement to payment of care home fees by the state is also a means tested benefit, and people who have suffered a serious accident are often more likely to require this kind of care in the future.

Trusts can also be used in this way to allow experts to deal with the investment of trust monies, and so that the assets can be protected on behalf of the injured party for whom they are supposed to provide.

Please arrange an appointment with our specialist solicitors for a free no obligation discussion about how your compensation monies and entitlement to means tested benefits can be protected.

If you would like any further information please contact us by clicking here, call us on our free phone number 0800 1073000 to arrange a free half hour appointment or come along to one of our weekly surgeries.