What is a "third-party" special needs trust?
A “third-party” special needs trust is funded with money
from someone other than the person with a disability – often a family member
who wants to leave the beneficiary an inheritance or gift. The person with a
disability never owns the money in the trust. In contrast, a “first-party”
special needs trust is funded with the beneficiary’s own money – perhaps money
received from an insurance settlement or through a prior inheritance or gift.
Learn more about First-Party
vs. Third-Party Special Needs Trusts.
Learn more about Special
Needs Trusts on Nolo.com