Can I keep the money I am supposed to receive from a car accident injury I had last year?
Any "claims" you have against anyone (personal injury claims, worker's compensation claims, wrongful death claims, etc.) are property of your bankruptcy estate so long as the right to the claim arose prior to filing your case in bankruptcy.
The exemption value for such claims is currently set at $15,000. What this means is if your claim is litigated or settled and you receive money above and beyond what is necessary to pay your medical bills and attorney fees related to the claim, for your personal pain and suffering, you are only entitled to keep the first $15,000.
It is VERY IMPORTANT to know that if you fail to report that you have a claim against someone in your bankruptcy, there is considerable authority that states you lose your right to pursue the claim against the other party, because of your bankruptcy. What this means is, if you leave out your car accident injury claim because you do not want the bankruptcy court to take the value of the claim above the first $15,000 you are forever barred from pursuing the claim and you will end up with nothing and the party that harmed you will be off the hook.
