Senator Frist Casts A Shadow On Daschle Fund Plan -- MesoLink.org -- 08-12-04

US Senator Bill Frist has contacted Senator Tom Daschle by letter, stating that his trust fund proposal will not work.

Daschle’s asbestos compensation fund proposal was based upon a fund of $140 billion or more, which would be used for future asbestos related compensation claims.

Under Daschle’s proposal, existing claims would continue to be dealt with in court.

However, Frist has stated that insurers will not pay huge sums of money in to the trust fund to support mesothelioma and asbestos related compensation claims, when many claims that are in progress are still being allowed to go through the traditional court route. Frist has proposed a similar bill to Daschle’s, except under Frist’s proposal any current claims would automatically switch to the trust fund system, with any court proceedings being halted.

Frist has apparently implied in his letter that Daschle should consider his way of thinking, and support the idea that current claims should revert to the trust fund system unless they are at the final court judgement stage.

The trust fund that was originally proposed early this year was not passed through Senate, and these new proposals are similar ones but with a great deal more cash in the kitty with which to deal with mesothelioma compensation claims.

The funding will be provided for the most part by the insurers of manufacturers and industries that would otherwise face a large number of multi-million dollar court cases.