Asbestos trusts were started as a way to compensate people injured by the toxic materials. Companies that have used asbestos and file bankruptcy must put money in a trust to pay for current and future claims.Find Out If You Qualify
With billions of dollars available to help sick and injured people, asbestos trusts are a reliable and risk-free way of accessing vital funds. The first step to compensation from an asbestos bankruptcy trust is determining eligibility.
The amount of mesothelioma trust fund compensation depends on factors that include the severity of the disease, the level of exposure, the amount of funding in the trust and the time elapsed between the diagnosis and filing a claim.
Asbestos trust funds were created to make access to compensation relatively easy for injured victims. However, the process can be challenging due to the amount and complexity of the documentation needed.
In addition, family members of asbestos victims who have died must also submit the following information for a successful claim:
The trustees that run trusts also consider overall hardship when determining trust allocations.
All claims are paid in a first-in, first-out (FIFO) process, meaning claims are paid based on the order of receiving and processing.
Factors that slow the process include:
Factors that accelerate the process include:
Instead of doing all the legwork themselves, many claimants choose to contact attorneys who specialize in asbestos trust claims. They help asbestos victims find the correct documentation and get the necessary paperwork to file the financial request promptly. Our skilled attorneys also help victims identify the at-fault companies for the best settlement amount.
The level of funding from trust funds depends on several factors, including the victim’s disease and the exposure site. The most severe diseases, including mesothelioma and asbestos-related lung cancers, usually receive compensation in the five- and six-figure range.
In addition to the extent of the disease (and the impact on the patient), the amount of the settlement depends on the level of funding in the trust. All asbestos trusts only pay a percentage of the pre-assigned financial award to ensure there is enough money for everyone. The trusts usually change the percentage rates periodically. In all, the 30 biggest trusts have about $30 billion in assets for compensation.
Claimants who submit documentation for an expedited review can expect to receive a fixed amount based on the trust’s payment guidelines. Claimants who file under the individual review may receive compensation based on specific individual circumstances.
Even though there are dozens of individual companies that have established bankruptcy trusts, they all share a commonality — reckless use of asbestos. Since the companies have acknowledged their asbestos misuse by creating the trusts, they are eager to settle claims.
Asbestos trust funds are designed to provide financial compensation for asbestos victims and their families. They are created when companies that used asbestos file for bankruptcy. Unlike asbestos lawsuits, asbestos trust fund compensation is easy to access and provides victims with quick access to money that can be used for anything, including treatment and recovery.
Determining the best option for financial compensation (either a trust fund or an asbestos lawsuit) can be confusing. An asbestos lawsuit may be risky because the chances of a hefty payout depend primarily on the will of a judge or jury.
A more straightforward way to pursue financial compensation for asbestos injuries is bankruptcy trusts. Once all the necessary paperwork is filed and approved, victims get quick access to funds that can be used for anything.
In some situations, victims file both trust fund claims and asbestos lawsuits. No matter which path to compensation is taken, patients who are considering seeking funds should use the services of a skilled mesothelioma attorney.
Scientist and healthcare professionals have acknowledged the dangers of asbestos for centuries. But those who stood to profit the most from asbestos use, like business owners, concealed and denied the risks to ensure they would not face any liabilities from sick workers. By the 1960s, ill and injured workers realized their deadly illnesses were a result of asbestos exposure in the workplace or by contact with asbestos-containing products.
Early on, injured workers did not sue the at-fault companies. Instead, they filed claims through state workers’ compensation programs. But most claims were denied because asbestos diseases, like mesothelioma, manifest so slowly they were not considered traumatic injuries to be eligible for workers’ comp. With no relief in sight, workers turned to the court system.
Even with mounting pressure from injured victims, the companies continued to lie about asbestos dangers and filed for Chapter 11 reorganization bankruptcy to eliminate their financial liabilities. The court system, under section 524 (g) of the federal bankruptcy code, demanded companies that faced asbestos liability create trust funds to pay current and future claimants.
The level of the total amount of compensation depends on the number of claimants to the individual trusts and the claimant’s disease.
In the past decades, asbestos trusts have paid out billions of dollars in claims. Due to a large number of claimants, trusts only pay a percentage of each financial request to ensure there is enough money available for all claims. The percentages change every few years. The level of the total amount of compensation depends on the number of claimants to the individual trusts and the claimant’s disease.
In 1988, the Johns Manville Corporation (Manville Trust), a longtime user of asbestos and manufacturer of asbestos-containing products, was designated as the first asbestos bankruptcy trust and funded with $2.5 billion. Since then, about 60 other companies have established trust funds for victims.
To ease the process, many asbestos victims use the services of attorneys who specialize in trust claims. Their expertise reduces the burden for asbestos patients and their families as they battle the disease.
Fill out our quick form and see if you qualify for trust fund compensationCheck Now