Collateral Benefits in United Kingdom

Definition of Collateral Benefits

In accordance with the work A Dictionary of Law, this is a description of Collateral Benefits : Benefits received from a third party by the victim of a tortious injury in consequence of the injury, such as insurance money, sick pay, disability pensions, loans, social security benefits, or gifts from a disaster appeal fund. Some collateral benefits are taken into account when assessing the damages to be paid by the person liable for the injury; others, such as insurance money and gifts, are not. Under the Social Security Administration Act 1992, the amount of social security benefits received by the victim for the first five years after the injury must, with a few exceptions, be deducted from the total damages and repaid to the Department for Work and Pensions by the person liable for the injury (or his insurer).