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Topic starter
21/01/2020 12:33 pm
Hi, I am in my final 20 month of my TD. Today I was in a road traffic collision (other driver at fault) and my insurance company have asked me about claiming compensation for personal injury/time off work etc. My concern, is my car (PCP) will be a write off and I will not be accepted for pcp now I am in a TD. If I go ahead and put a claim in against the other driver do I get to keep the compo or does it go straight to creditors. My insurance will cover car damage and repairs/write offs but what about personal compo claims??
Thanks
M.Stockwell
21/01/2020 1:39 pm
Hi Stock565.
Sorry to hear about your accident this morning. I hope you're OK? Do you think the car will get written off?
If you have necessary medical costs for treatment related to the crash, your trustee might consider allowing you to keep part of a compensation payment to cover those costs. Likewise, if you experience a loss of salary as a result of the accident, your trustee is likely to allow you to keep an amount of compensation that's needed to cover the loss of income.
Any extra sum of money is likely to need to be paid into your trust deed I'm afraid. This is however one of those topics where you'd need to contact your trustee directly to be sure where you stand.
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21/01/2020 4:01 pm
hi Stock565
There is no short answer to this and I will try and keep this brief as possible.
A claim for pain and suffering (solatium) is a personal right of the individual and not the trustee. In practice, the trustee does not involve themselves in proceedings however in the event of a successful pay out, the trustee is entitled to receive the proceeds in line with the agreement of the trust deed and more specifically S167 of the Bankruptcy (Scotland) Act 2016 allows for this to happen.
However, in practice as there is no financial benefit in you raising an action for compensation the trustee would be open to a negotiated settlement in order for you to continue with your claim. Usually this would be a 50/50 split however this is down to discussions with you and your trustee.
Please have this agreed before commencing your claim.
Hope this helps.
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21/01/2020 4:16 pm
No doubt the 50/50 split will be after the solicitor's fees and outlays, the claimant's legal expenses and a funder's success fee. After all these costs I can't see much going to the claimant or their creditors.
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21/01/2020 4:32 pm
Hi Stock565,
Really sorry to hear about the car accident you were involved in today. I hope everyone involved is ok.
The main thing here is communication with your Trustee regarding the accident and any potential compensation claim and pay out for the car.
As Paul advised any claim for compensation will need to be run past your Trustee and an agreement reached in writing regarding this prior to starting it all.
Please speak with your Trustee when you feel up to it and let us know how you get on.
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