Bankruptcy Question & Answer Forum - Canada

Author:		Bob
Date:		October 14, 2005
Question:		I am thinking I may have to file for bankruptcy. I currently have a insurance claim in and probably will get a payout within the next 2 months. Will that money go to my creditors?
From:		Bruce, Alger & Associates Inc.
Date:		October 19, 2005
Answer:		It is impossible to tell from your information what, if any of the insurance claim payout would go to your creditors. It is accepted law that payments on account of personal injury, pain and suffering are not available to creditors. However, that portion of any settlement relating to property loss or income loss, both past and future might be at least partly available to your creditors. You need to have your specific situation reviewed by a lawyer or trustee knowledgeable in this area. Bruce Alger phone: (403) 296-2970 balger@alger.ca