Asbestos Trust Funds: Accessing Compensation

Over $30 billion has been set aside in asbestos trust funds to compensate victims of asbestos exposure. If you or a loved one has been diagnosed with mesothelioma, you may be eligible for significant compensation—often without ever going to court.

Legal documents for asbestos trust fund claims
Trust fund claims often provide faster compensation than lawsuits

What Are Asbestos Trust Funds?

Asbestos trust funds were established by companies that manufactured, distributed, or used asbestos products and later filed for bankruptcy due to overwhelming litigation. As part of the bankruptcy reorganization process, these companies were required to set aside money to compensate current and future victims of asbestos-related diseases.

Key Facts About Trust Funds:

  • Over 60 active trusts: Established by bankrupt asbestos companies
  • $30+ billion total: Estimated funds available
  • No lawsuit required: Claims are processed administratively
  • Faster than litigation: Payments often within 3-6 months
  • Can combine with lawsuits: Against non-bankrupt companies

Important Timeline Note

While trust fund claims are faster than lawsuits, they still take time to process. Additionally, mesothelioma patients may be eligible for expedited review due to the serious nature of their diagnosis. Starting the process as soon as possible is crucial.

Major Asbestos Trust Funds

Dozens of trusts exist. Here are some of the largest:

Company Trust Name Est. Initial Funding
Johns-Manville Manville Trust $2.5 billion
Owens Corning Owens Corning Trust $1.2 billion
USG Corporation USG Trust $900 million
Pittsburgh Corning PC Trust $800 million
W.R. Grace WRG Trust $3 billion
Armstrong World Industries Armstrong Trust $2 billion
Babcock & Wilcox B&W Trust $1.8 billion
Combustion Engineering CE Trust $1.4 billion

Note: Current payment percentages vary by trust and are subject to change based on fund solvency.

Eligibility Requirements

To File a Trust Fund Claim, You Typically Need:

  • Medical diagnosis: Of mesothelioma or other asbestos-related disease
  • Evidence of exposure: Documentation of working with or around asbestos products
  • Product identification: Specific asbestos products made by the trust company
  • Statute of limitations: Filed within required timeframes (varies by state)

Exposure Documentation May Include:

  • Employment records
  • Military service records
  • Witness affidavits from coworkers
  • Product identification through invoices or manifests
  • Social Security records

The Claims Process

Step 1: Case Review

An experienced mesothelioma attorney will:

  • Review your work and exposure history
  • Identify potentially responsible companies
  • Determine which trusts may apply
  • Evaluate all compensation options

Step 2: Evidence Gathering

Your legal team will collect:

  • Medical records and pathology reports
  • Employment documentation
  • Witness statements
  • Military records (if applicable)

Step 3: Filing Claims

Each trust requires a separate claim with:

  • Completed claim forms
  • Supporting documentation
  • Medical evidence
  • Exposure evidence

Step 4: Review Process

Trusts review claims through:

  • Individual review: Detailed evaluation of your specific case
  • Expedited review: Faster processing for mesothelioma (lower payment)
  • Extraordinary review: For exceptional circumstances

Step 5: Payment

If approved:

  • Payment percentage applied (varies by trust, typically 1-100%)
  • Payment issued to claimant
  • Process repeats for additional trusts

Payment Percentages

Most trusts pay a percentage of the scheduled claim value to preserve funds for future claimants:

How Payment Percentages Work:

  • If a trust's scheduled value is $100,000 and payment percentage is 25%
  • The actual payment would be $25,000
  • Percentages change based on trust solvency

Current Payment Percentages (Examples):

  • Manville Trust: Varies based on claim type
  • Owens Corning: Approximately 40%
  • USG: Approximately 20%
  • WRG: Approximately 35%

Note: These percentages are subject to change. Check current rates when filing.

Combining Trust Fund Claims with Lawsuits

You Can Pursue Both:

  • Trust fund claims: Against bankrupt companies
  • Lawsuits: Against solvent (non-bankrupt) companies—learn about lawsuit funding options if you need financial assistance during litigation
  • VA benefits: For veterans
  • Workers' compensation: In some states

Setoffs and Offsets

Important considerations:

  • Some states reduce lawsuit recoveries by trust payments
  • VA benefits may be offset by trust payments in some cases
  • Your attorney will advise on optimal strategy

Average Trust Fund Compensation

Factors Affecting Payment Amount:

  • Disease severity: Mesothelioma typically receives highest values
  • Number of trusts: More exposure = more potential claims
  • Payment percentages: Vary by trust
  • Review type: Individual vs. expedited

Typical Ranges:

  • Single trust: $10,000 - $100,000+
  • Multiple trusts: $100,000 - $1,000,000+
  • Combined with lawsuit: Can exceed $2-3 million

These are ranges only. Actual amounts vary significantly by case.

Timeframe for Receiving Payment

Expedited Review:

  • Initial review: 3-6 months
  • Payment: 1-3 months after approval

Individual Review:

  • Review process: 6-12+ months
  • Higher potential payment: May be worth the wait

Factors That May Delay Payment:

  • Incomplete documentation
  • Multiple rounds of information requests
  • Trust fund liquidity issues
  • Disputes over exposure evidence

Do You Need a Lawyer?

While Not Required, Attorneys Help With:

Many patients also benefit from understanding all available compensation sources, including insurance coverage options and Social Security disability benefits.

  • Identifying all applicable trust funds
  • Gathering required documentation
  • Navigating complex claim requirements
  • Maximizing compensation
  • Coordinating with lawsuit filings
  • Handling appeals if claims are denied

Attorney Fees:

  • Typically 25-40% contingency fee
  • No upfront costs
  • No fee if no recovery

Frequently Asked Questions

Can I file if the company is out of business?

Yes, if the company established a trust fund during bankruptcy proceedings. Many defunct companies have active trusts.

What if I don't remember all the products I worked with?

An experienced attorney can help identify potential exposure through employment records, coworker testimony, and company documents.

Can family members file after a loved one passes?

Yes, surviving family members may be able to file claims. Time limits apply, so act promptly.

Will trust payments affect my Medicare or Medicaid?

There may be implications. Special needs trusts can sometimes protect benefits. Consult an attorney.

Can I file claims with multiple trusts?

Yes, if you were exposed to products from multiple companies, you can file claims with each applicable trust.

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Legally Reviewed

James R. Peterson, J.D.

Attorney specializing in asbestos litigation with 20+ years experience

Last reviewed: March 2026

How Trust Funds Were Established

Asbestos trust funds were created as a result of the massive wave of asbestos litigation that began in the 1970s and continues today. As thousands of lawsuits were filed against companies that manufactured, sold, or used asbestos-containing products, many of these companies faced liabilities far exceeding their ability to pay. Under Section 524(g) of the U.S. Bankruptcy Code, companies could reorganize through bankruptcy and establish trust funds to compensate current and future asbestos claimants, while the reorganized company could continue operating free from future asbestos lawsuits.

Each trust fund has a specific set of rules, called Trust Distribution Procedures (TDP), that govern how claims are evaluated and how much compensation is paid. These procedures define which asbestos-related diseases qualify for compensation, what evidence is required to prove exposure to the trust's products, and the scheduled payment amounts for different disease categories. Mesothelioma is categorized as the most serious disease level in virtually all trust funds, qualifying for the highest scheduled payment amounts.

Filing a Trust Fund Claim

The trust fund claims process is separate from filing a lawsuit and can proceed simultaneously with litigation. To file a claim, you must provide medical documentation confirming a mesothelioma diagnosis, evidence of exposure to the specific company's asbestos-containing products, and supporting documentation such as employment records, union records, or affidavits from coworkers. An experienced mesothelioma attorney can identify which trusts you are eligible to file claims with and handle the paperwork on your behalf.

Most trusts offer two review options: expedited review and individual review. Expedited review applies standardized criteria and scheduled values for faster processing, typically paying a fixed amount based on the disease category. Individual review allows claimants to present additional evidence of damages—such as medical costs, lost income, and pain and suffering—to potentially receive a higher payment. Processing times vary by trust, ranging from a few months to over a year depending on the trust's current claim volume and review capacity.

Payment Amounts and Percentages

Trust fund payments for mesothelioma vary significantly between trusts, with scheduled values (the base payment amount for a disease category) ranging from several thousand dollars to over $100,000 per trust. However, most trusts apply a payment percentage to the scheduled value to ensure the fund can pay all current and future claimants fairly. This percentage is reviewed and adjusted periodically by the trust based on the fund's assets and projected future claims.

Because many mesothelioma patients were exposed to products from multiple companies, it is common to file claims with several trusts simultaneously. An attorney experienced in asbestos trust fund claims can maximize the total recovery by identifying all applicable trusts based on the patient's exposure history. Trust fund payments do not reduce or offset the patient's right to pursue additional compensation through lawsuits against solvent (non-bankrupt) defendants.

Major Asbestos Trust Funds

More than 60 active asbestos trust funds currently exist in the United States, established by companies across a range of industries. Some of the larger trusts include the Manville Personal Injury Settlement Trust (established by Johns-Manville, one of the largest asbestos product manufacturers), the Celotex Asbestos Settlement Trust, the Owens Corning/Fibreboard Asbestos Personal Injury Trust, the USG Asbestos Personal Injury Settlement Trust, and the W.R. Grace Asbestos Personal Injury Trust. Each trust operates independently with its own claims procedures, scheduled values, and payment percentages.

The total assets remaining across all asbestos trust funds are estimated at over $30 billion. However, because trusts must balance current payments with the need to compensate future claimants (the latency period means new mesothelioma cases will continue to be diagnosed for decades), individual payment percentages may be adjusted over time. Working with an attorney who regularly files trust fund claims ensures that claims are filed correctly, all applicable trusts are identified, and the documentation meets each trust's specific requirements for evidence of exposure.