Wednesday, 02 November 2011 00:00
Ted Foulkes of Tozers LLP comments on this article in the Mail Online:
"This sad story highlights the need for sound professional advice and guidance in managing a compensation award. A substantial sum awarded for serious injury can seem to be untold wealth to a claimant with little or no financial experience, but full time care costs can be astronomical - even a generous settlement may not last a lifetime.
There are two main points to be considered. Firstly, a compensation award will affect entitlement to means tested benefits. This can be avoided by the use of a special trust established with the compensation award. The funds will still be just as readily available to you, but they will not be taken into account in assessing entitlement to most benefits and care packages. Continuing to receive these benefits can reduce the cost of care and help to preserve the compensation fund. Secondly, good quality investment advice and management is essential to protect the value of the funds.
As a leading firm in personal injury claims, Tozers recognise the importance of advice and guidance which continues beyond the compensation claim. Our specialists will advise you how to preserve your entitlement to benefits and manage your funds. We can introduce you to tried and trusted investment managers who will help you to invest and manage your compensation. Even if you have already received your compensation, we may still be able to help you."