Pooled Trust for Settlement Proceeds

NYSARC Community Trust I & III

Are you, or a loved one, entitled to receive settlement proceeds from a personal injury, medical malpractice or other lawsuit that would jeopardize your eligibility for means-tested government benefits such as Medicaid and/or SSI? 

NYSARC's Community Trust I and Community Trust III programs qualify as pooled supplemental needs trusts that allow people with disabilities to deposit proceeds from a lawsuit, as a lump sum payment or structured settlement, so that those funds are disregarded for benefit eligibility purposes.

This allows people with disabilities to safeguard the essential benefits that support their daily living needs while the settlement proceeds deposited into the trust can pay for uncovered medical expenses and purchase life-enhancing items and services not covered by Medicaid and/or SSI.

Benefits of a NYSARC Pooled Trust?

• Easy and low cost setup
• Affordable alternative to an individual SNT
• Pooling funds reduces trust administration costs
• Can increase investment power for modest sums of money
• Professional trust administration by experienced not-for-profit trustee
• Extensive knowledge of government benefits and the needs of people with disabilities
• Dedicated case manager for each trust beneficiary

When to consider a pooled trust for settlement proceeds?

Establishing an SNT on your own can be costly to set up and maintain. With a pooled SNT, you get all of the benefits of working with a professional trustee with extensive fiduciary and wealth management experience and the cost savings and efficiency of a pooled trust. You may consider a pooled trust when:

• You want to maximize the value of settlement proceeds with lower fees and greater investment power
• You are receiving a modest sum of money that does not warrant an individual trust (SNT)
• The trust beneficiary has complex medical needs and could benefit from a professional trustee who understands government benefits and the needs of people with disabilities
• There is not an appropriate person to serve as trustee of an individual SNT
• The trust beneficiary is over the age of 65, therefore, they must use a pooled trust to spend-down funds for benefit eligibility purposes

Are you an attorney assisting a client with a disability who needs to protect settlement proceeds? Download this brochure for more information.