Asbestos trust funds were established by bankrupt asbestos-containing product companies in order to compensate victims of asbestos-related diseases. A mesothelioma attorney can help victims pursue trust fund compensation if they have developed an asbestos-caused illness.
What Is an Asbestos Trust Fund?
Asbestos and mesothelioma trust funds are established by negligent asbestos companies that file for bankruptcy.
These special trusts are designed to have enough money to compensate all of a company’s current and future asbestos exposure victims.
Victims may be able to receive compensation for:
- Pleural plaques
- Lung cancer
Mesothelioma is the most serious of these asbestos-related health problems because of its low survival rate. Due to its severity, patients with this cancer often receive the highest compensation amount possible from asbestos trust funds.
How Much Trust Fund Money Can I Receive?
The median amount paid by trusts per mesothelioma claim is $41,000, but this amount varies on a case-by-case basis.
Many mesothelioma victims qualify for compensation from multiple trusts.
Accessing Multiple Trust Funds
Most companies that made and sold asbestos products did not do so alone. They were part of complex supply chains that included multiple companies.
This means more than one company may be responsible for a victim’s asbestos-related illness. If this is the case, they might be able to file claims against multiple trusts, all of whom bear part of the responsibility.
The more trusts a victim is able to make legitimate claims on, the higher the total amount of mesothelioma compensation.
Asbestos Trust Fund Payment Percentages
By their very nature, asbestos trust funds were established to provide compensation for future claimants. They deal with a limited amount of money that was set aside when the trusts were established.
Mesothelioma has a latency period of 20-50 years. This means that paying out a sum that bankrupts a company early on will use up all the funds for victims in the future.
To make sure that the trusts remain operational and future claimants have options for compensation, payment percentages were created. These percentages can range from 1-100% of the claim’s full value and can change over time as the financial status of the trust fluctuates.
For example, in a trust where the full claim amount is $100,000:
- A 1% payment percentage would be $1,000
- A 50% payment percentage would be $50,000
- A 90% payment percentage would be $90,000
This variation in payment amount makes filing a claim as soon as possible very important. Getting the best possible payment percentage is sometimes nothing more than a matter of speed.