Can a Personal Injury Settlement Award Be Included in an Estate Plan?
When an individual is injured in an accident by the irresponsible actions of another it can have long-term or permanent consequences. The U.S. Department of Justice reported that:
52% of personal injury cases were caused by motor vehicle accidents.
15% of personal injury cases were caused by medical malpractice.
5% of personal injury cases were due to product liability.
28% were from other causes.
Along with pain and suffering, a victim’s injury can require continuous medical care. As the they recuperate, he or she will probably have many questions, which is a normal reaction. When an injured victim takes the time to understand his or her options, they can help protect their best interests. A personal injury attorney can help protect their rights and provide guidance as to which of their legal options is in their best interest.
After an accident, the victim may be terrified and baffled. He or she will likely be extremely frustrated if the incident occurred because of another person’s negligent conduct. The bright side is that with the guidance of a knowledgeable attorney, the victim may increase their chances of receiving the compensation that is deserved.
Damages in a Personal Injury Lawsuit
An individual should keep in mind the monetary award from a personal injury case typically depends upon the kind of accident and the severity of the injury. In some states, if an individuals was harmed in a car crash, he or she may only be awarded monetary damages for pain or if there is an economic loss above $50,000. In most states, there are caps on monetary damages to avoid victims seeking unjust compensation.
Personal Injury Settlement Estate Planning
Can you include a personal injury settlement in an estate plan? Yes. The process can be complicated, however, which is why many choose to work with an estate planning attorney. He or she can make sure that all legal requirements are met and that the estate plan will be legally binding.
The Benefits of an Estate Planning Lawyer
Life can be unpredictable, and unfortunately, a serious injury can force the person to reassess how they want to care for their heirs after they pass away. By making prior arrangements for distribution of one’s settlement award, it can greatly benefit one’s heirs. By planning your estate in advance, your heirs will have greater clarity as to your final wishes. Our Sacramento estate planning lawyer can also make sure that your estate does not become a tax burden. Find out more about your estate planning options by speaking with a attorney who focuses on this area of the law.
Thanks to our friends and contributors from Yee Law Group for their insight into Estate Law.