Trust Services: Ensuring the Best Quality of Life for a Special Needs Child
A Case Study

Steve and Amy's daughter, Hannah, was seriously injured at age six when she was hit by a reckless driver while riding her bike. Steve and Amy sued on behalf of their daughter and won a significant settlement. By then, Hannah was ten years old.

While she had made significant strides in her recovery, it was clear that Hannah would need special care for the rest of her life. Steve worked as a computer programmer at a well-known insurance company; Amy had left her job as a public relations executive to take care of Hannah. The couple's one other child, David, was about to start college.

Needs and Goals
After enduring an expensive and emotionally draining litigation process, Steve and Amy now wanted to focus on what was important to Hannah - making sure her quality of life was as good as it could be and ensuring that she received all government assistance that she was entitled to. To cover medical expenses, Steve and Amy had been dependant upon the $2,000 that Hannah received each month from Supplemental Security Income (SSI) and Medicaid. No doubt these expenses would rise in the future. It was critical that Hannah remain eligible for the benefits she was currently receiving, and that the proceeds from her settlement be available for expenses beyond her medical costs.

Steve and Amy needed their household income to continue to cover the day-to-day needs of the whole family, and to supplement their savings for sending their son to college. They also expressed concern about the future. They were not comfortable with the prospect of leaving the responsibility for Hannah's care to their son or any other family member. In all fairness, how could they ask David to take on that role when it was likely he would have a family and career of his own to tend to? How could Steve and Amy ensure that Hannah would receive the care they knew she needed for her entire lifetime, even when they were no longer around?

Trust Solutions
Working with Steve and Amy's attorney, accountant, and Hannah's doctors, Washington Trust set up a Special Needs Trust for Hannah. The Special Needs Trust enabled the family to:

• Appoint Washington Trust as an independent bonded and insured trustee on behalf of Hannah, and order the transfer of the settlement proceeds to the trust
• Maintain Hannah's eligibility for critical government benefits, including Supplemental Security Income (SSI) for food, clothing, and shelter, and Medicaid for the majority of her medical-related expenses
• Use trust assets for quality-of-life purchases - a trip to Williamsburg, private schooling, a visit to a favorite cousin in another part of the country, a DVD player, recreation, theater tickets, etc.
• Shelter assets from creditors, and protect Hannah from financial and legal exploitation
• Ensure that the family would not be required to pay back benefits received from Medicaid in the event of Hannah's death
• Avoid any future guardianship roles for Hannah's bother David or other family members, allowing them to continue to provide her with love and emotional support while enabling them to focus on the responsibilities in their own lives
• Place responsibility for the ongoing oversight of Hannah's financial affairs in the hands of a qualified third party who can be an effective lifetime advocate for her

Do you have a special needs child? Washington Trust can help you address the unique financial challenges that you and your child face - from navigating the complex government benefits system to ensuring the best quality of life possible, now and well into the future.

To arrange an appointment at any of our offices or your home or business, please call 800-582-1076 or contact us.