Beyond the settlement: Helping clients make their compensation last

Solicitors often play a central role throughout the compensation process, supporting individuals from the early stages of a claim through to securing a settlement or compensation award. While legal advice remains at the centre of achieving their desired outcome, there’s a specialist area that cannot be overlooked: financial planning. Decisions around preserving, investing and structuring an award can have a lasting impact and may make a significant difference to an individual’s long-term financial security.

That was the case for Derek Martindale and his family, who were profoundly affected by the infected blood scandal in the 1970s and 1980s. After decades of waiting, Derek shares how specialist financial planning support by Lumin Wealth has helped his family plan for the future, following receipt of this long-awaited compensation award.

About the infected blood scandal

The infected blood scandal saw thousands of people in the UK infected with HIV, hepatitis B and hepatitis C through contaminated blood products during the 1970s and 1980s. Following decades of campaigning by those affected and their families, the government is offering recognition and compensation through the Infected Blood Compensation Scheme (IBCS). 

Derek’s story

Provide some background of your compensation claim

“I (Derek) was born in 1963 with severe haemophilia A – a genetic condition which affects the ability of the blood to clot. In 1985, I was infected with HIV and hepatitis C from contaminated, US-imported Factor 8. My younger brother Richard, also a haemophiliac and infected at the same time as me, died of AIDS in 1990 aged 23.

“During my life, there has been severe stigma around HIV and I struggled keeping it a secret. I was grateful to be the first witness to provide evidence and testimony at the launch of the Infected Blood Inquiry in 2019. My son John, who lived through the awful Interferon treatment for hepatitis C, sat with me and supported me when giving evidence.”

After decades of waiting, what did it mean to receive government compensation?

“Given that most HIV and hepatitis C infections occurred in the early 1980s, it is unconscionable that it took four decades for the government to launch a public inquiry and face scrutiny. For 40 years, we were told that ‘nothing could have been done to prevent it’.

“The inquiry has now confirmed that these infections were not an ‘unfortunate accident’. We will never know how many infections and deaths could have been prevented if they had acted in a timely manner.”

What made you feel Lumin were the right people to help manage your compensation payment?

“They did not try to force us down a particular route and listened more than they talked. Scenarios were explained clearly and without judgement and were customised based on our personal needs and circumstances, before leaving us in peace to consider our options. Handing our compensation to a third party was initially fraught with nerves, and we needed to believe in the people we entrusted to handle our finances. Lumin provided that reassurance throughout the entire process.”

What support has Lumin provided since you received your lump sum?

“We receive regular updates from Lumin and the platforms our compensation is invested in. The Lumin portal is fantastic – the ability to log in whenever we like to see how our compensation is doing, and knowing that they are not locked away makes everything feel transparent and secure. Through regular meetings and updates, Lumin have alleviated our worries and given us the peace of mind that we are in safe hands.”

For others in a similar situation, what advice would you give?

“Do not rush out and spend it all. We can now pay for many things that were previously unobtainable. But we also want to balance this with the future and securing a foundation for ourselves and our loved ones. Also, with higher inflation and interest rates, what we received will decrease in value over time. Without speaking to an expert, we could end up worse off.”

How Lumin can support you as a lawyer

While Derek’s experience relates to the IBCS, it is just one example of how Lumin Wealth can work alongside solicitors to support clients receiving compensation payments of all kinds – from personal injury and clinical negligence to serious illness and other life-changing claims. Whatever the circumstances, we work collaboratively with solicitors to help individuals confidently navigate an important financial event; managing a significant lump-sum payment.

That is rarely a straightforward endeavour. For many recipients, the process can feel overwhelming and daunting, leading important financial decisions to be left “for another day” or avoided entirely. Left unaddressed, this can reduce the client’s opportunity for compensation funds to be structured effectively, protected from inflation and positioned for long-term growth.

Our team of financial consultants help clients navigate these complexities, ensuring their personal circumstances, objectives and future needs remain at the heart of every recommendation. Lumin’s role is not to replace the trusted relationship between solicitor and client, but to enhance it by providing specialist expertise, helping clients feel more confident about the future while allowing legal professionals to focus on delivering legal advice.

If you work with clients receiving compensation awards and would like to understand how Lumin Wealth can support both you and your clients, we’d be happy to discuss how we can work together.