Asbestos Trust Funds for Veterans: A Practical Guide

If you are a veteran with mesothelioma, you may be eligible for VA disability compensation AND payments from one or more asbestos personal injury trust funds. The two systems are entirely separate. Trust fund payments do not reduce your VA benefits. VA benefits do not affect your trust fund eligibility. Most veterans who file VA claims never realize the trust funds also exist.

Approximately $30 billion is set aside in roughly 60 active asbestos trust funds. The funds were established by companies that filed for bankruptcy because of asbestos liability. Most of those companies sold products to the US military between 1940 and 1980. Most veterans were exposed to multiple manufacturers’ products simultaneously. That means most eligible veterans qualify for multiple trust claims.

Why veterans qualify for trust fund claims

You cannot sue the US government for asbestos exposure during military service. Sovereign immunity blocks that path, with limited exceptions. But you can file claims against the private companies whose products were on the ships, in the boiler rooms, and in the vehicles you worked on.

The trust funds exist because those companies filed for Chapter 11 bankruptcy after losing or settling enough asbestos lawsuits that they could not stay solvent. As part of bankruptcy reorganization, they were required to set aside money for current and future asbestos victims. The federal courts approved trust documents that govern who can file, how much each claim type pays, and what evidence is required.

The trusts that most often pay veterans

The following trusts have well-documented histories of compensating veterans, with significant funds remaining as of 2026.

Manville Personal Injury Settlement Trust

Johns-Manville sold asbestos insulation products throughout US military procurement. Pipe lagging, block insulation, asbestos cement, and joint compounds. Their products were on most pre-1980 Navy ships, in Army base boiler rooms, and in Air Force hangars. The Manville Trust is the largest US asbestos trust by historical payout. Average individual payouts have ranged from $20,000 to $80,000 depending on disease type and exposure history. Mesothelioma claims pay at the highest scheduled value.

Owens Corning / Fibreboard Asbestos Personal Injury Trust

Owens Corning’s Kaylo asbestos pipe and block insulation was widely used in Navy and merchant marine ships. Fibreboard’s Pabco insulation was standard in industrial and military boiler rooms. The combined trust pays mesothelioma claims at ranges between $20,000 and $100,000 depending on exposure documentation.

Babcock and Wilcox Asbestos Personal Injury Settlement Trust

Babcock and Wilcox built and serviced boilers for the Navy from before WWII through the 1980s. If you were a Boiler Technician, Machinist’s Mate, or Engineman who worked on a Navy ship’s main steam plant, you almost certainly worked alongside B&W boiler insulation. The trust prioritizes Navy claims because the historical evidence is so well-documented.

Owens-Illinois Asbestos Personal Injury Trust

Owens-Illinois manufactured Kaylo asbestos pipe and block insulation. Sold extensively to the Navy through the 1950s. Trust pays mesothelioma claims at scheduled values between $25,000 and $90,000.

Combustion Engineering 524(g) Asbestos Personal Injury Trust

Combustion Engineering supplied boiler equipment to the Navy and to commercial shipyards. Pays mesothelioma claims at scheduled values around $35,000 to $75,000.

Pittsburgh Corning Personal Injury Trust

Pittsburgh Corning’s Unibestos pipe insulation was used on Navy ships and at base power plants. Trust pays mesothelioma claims at scheduled values around $40,000 to $90,000.

Eagle-Picher Personal Injury Trust

Eagle-Picher’s Mundet and Super 66 cements and insulation products were used in shipyards. Trust pays mesothelioma claims at scheduled values around $30,000 to $80,000.

Other significant trusts

Additional trusts that often pay veterans: Halliburton (DII), W.R. Grace ZAI, Quigley, Federal-Mogul, Asbestos Settlement Trust (formerly Armstrong World Industries), Kaiser Aluminum, USG, GAF, Garlock GST. The total list of approved 524(g) trusts exceeds 60.

How trust fund payouts compare to VA benefits

The two systems serve different purposes. Here is how they typically compare for a Navy veteran with mesothelioma:

• VA disability compensation at 100 percent: approximately $3,737 to $3,946+ monthly, tax-free, ongoing for life. Total over 5 years (typical mesothelioma survival): about $225,000 to $240,000.
• VA Aid and Attendance: additional approximately $2,300 to $2,727 monthly. Over 5 years: about $138,000 to $164,000.
• Asbestos trust fund payouts (combined): typical Navy veteran with documented exposure files claims against 8 to 15 trusts. Average combined payout has ranged from $250,000 to $750,000 historically, paid in lump sums or scheduled installments depending on the trust.
• VA survivor benefits (DIC): approximately $1,663 monthly to surviving spouse, tax-free, for life or until remarriage after age 57.

These numbers vary substantially by individual case. Some claims settle for less. Some settle for more. The key point: a veteran who files only the VA claim leaves substantial money on the table. A veteran who files only trust claims forgoes the VA healthcare and survivor benefits. Both systems are designed to be used together.

Filing trust fund claims

Trust fund claim processes vary by trust. Some accept claims by mail. Others require electronic filing through specific case management systems. All require similar core documentation:

• Proof of mesothelioma diagnosis (pathology report)
• Proof of exposure to that company’s products (work history, ship assignments, base assignments, witness statements)
• Identification documents
• For some trusts, medical records showing disease progression

The complexity is not in any one trust. The complexity is filing 8 to 15 trust claims simultaneously, tracking each one through processing (which can take 6 to 24 months per trust), and ensuring evidence is appropriately presented to each.

Most veterans filing trust claims work with an asbestos law firm or a specialized claims administration service. The fee structure is contingency-based: typically 25 percent to 40 percent of recovered funds, with no upfront cost. We are a claims administration service. We can help you understand which trusts may apply to your specific service history. Call (800) 763-9692 or read our FAQ for background.

Trust funds for surviving spouses and children

If a veteran with mesothelioma died before filing trust claims, the surviving spouse or estate can file the claims. Most trusts accept survivor claims at scheduled values that match what the veteran would have received. Filing deadlines vary by trust, but most allow survivor claims within 1 to 3 years of death.

Surviving spouses are also eligible to file the VA Dependency and Indemnity Compensation (DIC) claim. The two systems do not interact. A surviving spouse who files trust claims alongside the DIC claim does not lose any benefit.

Avoiding common trust fund mistakes

• Do not sign a settlement on the first contact. Some companies and law firms reach out aggressively after a diagnosis. You are not obligated to respond. Take time to understand which trusts apply to your specific service history before committing.
• Do not assume one trust = one veteran. Most veterans qualify for 8 to 15 separate trusts based on the breadth of products they were exposed to during service. A claim service that files only against one or two trusts is leaving money on the table.
• Do not rely on memory alone for exposure history. Pull your service personnel records from the National Personnel Records Center. Cross-reference your ship and station assignments with documented asbestos use at those locations.
• Do not delay. Some trusts have payout schedules that decrease over time as funds are exhausted. Some trusts have eligibility deadlines tied to time-of-diagnosis. Trust claims filed quickly tend to recover more than claims filed years after diagnosis.

What happens to trust funds when they run out

Several trusts have already been closed or have reduced payout percentages because their funds are depleted. As of 2026, the Manville Trust pays approximately 5.1 percent of scheduled values; Owens Corning Fibreboard pays approximately 6.6 percent; Pittsburgh Corning pays approximately 16.3 percent. These percentages are revised annually based on remaining trust assets and projected future claims.

The percentage is not a reduction in the validity of your claim. It is the trust’s payment ratio on top of the scheduled value. A claim valued at $80,000 against the Manville Trust pays approximately $4,080 in 2026 dollars, not the full $80,000. This is not unusual; it is how the bankruptcy mechanism distributes finite funds across many claimants.

The math is what makes filing multiple trust claims (rather than just one) so important. Eight to fifteen trusts at 5 to 50 percent of scheduled value each typically aggregates to a meaningful payout, even though no single trust pays at full value.

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This page was reviewed by the editorial team at Mesothelioma Funds Administration. Trust fund payment percentages are revised annually; we update this page when the trustees publish new ratios. For our editorial standards, see Editorial Policy. Last reviewed: 2026-05-07.