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A man with a brain injury looks at a Brain Injury Group brochure on brain injury compensation claims with his carer

A Personal Injury Trust (PI Trust) is a trust set up by a solicitor to specifically hold compensation received from a personal injury claim or clinical negligence claim.

The Trust will be in writing and is legally binding. The benefit of creating a PI Trust is to separate compensation from other assets so that that money is protected, used for the purpose for which it was intended and ensures those funds can be appropriately disregarded in any future calculations for means-tested benefits and care fees.

Personal Injury Trust Glossary of terms

Definitions of the various terminology used in Personal Injury Trusts.

Bare Trust

A type of trust in which the Beneficiaries are fully entitled to the whole income and capital of the Trust Fund. In a Bare Trust, the Trustees are effectively just holding on to the Trust Fund for the Beneficiaries. A PI Trust can be a Bare Trust, and this is usually the most straightforward option.


A person who has a right, or a potential right, to benefit from a Trust. In the case of a PI Trust, this will usually be the person who suffered the injury.

Financial Advisor

someone qualified to advise on financial decisions, such as how the Trustees should invest the Trust Fund. A lawyer is not allowed to give this kind of advice, but may be able to put you in touch with a Financial Advisor.

PI Trust (Personal Injury Trust)

Also known as a Compensation Protection Settlement, this is a Trust set up by someone who has suffered a personal injury, to hold their compensation award. This will enable the funds held in trust to be disregarded when that person is being assessed for means-tested benefits. If the person who suffered the personal injury lacks Mental Capacity to manage their own finances then the PI Trust may require the authorisation of the Court of Protection. The Court may suggest, in such circumstances that a Property and Financial Affairs Deputy is appointed instead.

Read more – What is a Personal Injury Trust?

What is a Personal injury trust?


The person who provides the funds to set up a Trust. In the case of a PI Trust, this is the person who suffered the injury and was awarded compensation.


An arrangement where certain people (Trustees) hold assets on behalf of other people (Beneficiaries), on particular terms and subject to certain duties.

Trust Deed

The document legally establishing a Trust, which will appoint the Trustees, identify the Beneficiaries, set out the terms on which the Beneficiaries can benefit from the Trust Fund, and set out some of the Trustees’ powers and duties. However, in addition to anything in the Trust Deed, the Trustees will also have other powers and duties set out by statute and case law.


A person who is responsible for looking after the Trust Fund, on behalf of the Beneficiaries. The Trustees will have control of the Trust Fund and are responsible for making sure it is properly invested. They can be either professionals or laypeople (such as trusted friends or family).

Trust Fund

This is the assets that are held on a Trust. It can be cash, or a house, or investments, for example.

Read about protecting benefits when making a brain injury compensation claim

Protecting benefits when making a brain injury compensation claim

This article has been written by Francesca Tubb & Jack Burroughs TEP at Ashtons Legal

Ashtons legal serve clients nationwide and are based in Bury St Edmunds.

LAWS – providing initial free legal advice

Legal & Welfare Service (LAWS) online for brain injury help, advice and support

What is the Brain Injury Group?

Brain Injury Group is a free service designed to connect those affected by a brain injury (whether there is a claim or not) to a range of experts who may be able to offer advice and assistance.

If you’d like to find out more about the work of Brain Injury Group, you are at the right place! You can follow the links below to:

The Brain Injury Group exists to support individuals and families affected by brain injury and the health and social care professionals working in this specialist field. Our mission is to provide anyone affected by brain injury with access to advice on legal, financial and welfare benefit issues delivered by proven experts in the field who have been chosen not only for their skills and knowledge, but also for their passion and dedication to helping people.

As well as providing legal and welfare advice, Brain Injury Group provide training for legal, health and social care professionals. View our award winning Brain Injury Group brain injury training events.

The Brain Injury Group brain injury directory

The BIG Brain Injury Services Directory

How can Brain Injury Group help you?

If you would like advice about bringing a brain injury claim, capacity, deputyships, managing the award of compensation or any other aspect of brain injury welfare, legal or financial advice, we have specialist brain injury solicitors and Court of Protection solicitors who can assist.

You can find full details of Brain Injury Group members on our website or there are several ways to get in touch:

  1. Call us on 0800 612 9660 or 03303 112541
  2. Email us at
  3. Complete this short enquiry form and we’ll get back to you
  4. Find a specialist brain injury solicitor near to you
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