Car Accident Settlement & Ch 7

[Hit From Behind]

What is the name of your state? Wisconsin

I was hit by another vehicle (rear-end collision) about a month ago. Car still in body shop and body still in repair (i.e., chiropracter treatments to neck/back 3 x week). My question is this: I will, more than likely, be filing a Ch. 7 bankruptcy in the next month (totally unrelated to this accident). Do I need to let my attorney and/or trustee know of the "possible" settlement I may receive from the uninsured motorist provision of my auto policy? I have no idea of what I will be getting for pain & suffering, and doctor bills, or when at this point. Other driver had no auto insurance, and believe me, I'm suffering. But if this possible settlement is legally the BK estate's, I need to know how to proceed. Any advice appreciated!

 

[Elmo-1]

Bad news, good news: the bad news, since the accident happened before filing, it will be part of your Bk estate when you file. Good news: WI has a $25k exemption for personal injury recoveries. Anything over $25k will be distributed to creditors.

Check with your attorney to make sure the shoe fits. Even if it doesn't (which it should), you have to list it as an asset of undetermined value and state your intention to claim the exemption. It's listed under Personal Property and can be found at http://www.thebankruptcysite.com/exemptions/wisconsin.htm

 

[Hit From Behind]

Car Accident Settlement & Ch. 7

Dear Elmo1:

Thanks much. I met with my BK attorney yesterday (after I posted) and he pretty much confirmed what you said. Good news and a relief!