How are Wrongful Death Settlements Paid Out?

 Posted on October 14, 2026 in Wrongful Death

In Illinois, wrongful death settlements are distributed to eligible family members. This is after the court determines how the money should be divided. The process can take time, especially when children are involved, or family members disagree about their shares.

If your family is pursuing a wrongful death settlement in 2026, Kanoski Bresney can help. Our Champaign, IL personal injury lawyers will explain the process and help protect your interests.

Who Receives a Wrongful Death Settlement in Illinois?

In Illinois, the person responsible for bringing a wrongful death claim is either the estate’s personal representative or a special administrator appointed by the court. However, the money belongs to the surviving spouse and next of kin, not the person handling the claim.

Under 740 ILCS 180/2, the court divides the money based on each family member's level of dependency on the deceased person. Next of kin are determined under Illinois inheritance rules. They may include a spouse, children, parents, or siblings, depending on the family circumstances.

How Does an Illinois Court Divide a Wrongful Death Settlement Among Family Members?

Illinois courts divide wrongful death settlements based on how much each family member depended on the person who died. This includes financial support and the loss of companionship.

When determining each person's share, the court may consider:

• How much financial support the deceased person provided
• The relationship between the deceased person and each family member
• The age and needs of surviving family members
• The loss of companionship, support, and services

Shares are not always equal. For example, a minor child may get a more substantial share than an adult child.

If family members disagree about the division, the court may hold a dependency hearing. Reaching an agreement can make the process easier, but the court must still determine how the money is distributed.

What Costs Are Deducted From an Illinois Wrongful Death Settlement?

The total settlement is not always the amount family members receive. Before the money is distributed, deductions can include:

• Attorney fees based on the contingency fee agreement
• Case expenses, such as filing fees, expert witnesses, and medical records
• Valid repayment claims from insurers or government programs, when applicable

Medical liens require careful review. A wrongful death settlement compensates surviving family members. A separate survival claim addresses losses suffered by the deceased person before death. Not every medical lien applies to wrongful death proceeds. Funeral and burial expenses may also be recoverable through a separate claim.

The court oversees how settlement proceeds are distributed. Additional review of fees and costs may be required, particularly when minors are beneficiaries.

How Are Wrongful Death Settlements Paid to Minor Children in Illinois?

When a child receives part of a wrongful death settlement, the money does not simply go to the surviving parent to spend. The child's share may be placed in a restricted bank account, managed through a court-supervised guardianship, or paid through a structured settlement.

A structured settlement provides payments over time instead of one large payment. For example, payments might begin when the child turns 18 and continue into adulthood. The court can require a guardian to get approval before withdrawing money and provide records showing how the funds were used.

Under 740 ILCS 180/2.1, if a special administrator handles the case and a child receives more than $5,000, the remaining money must be managed under probate court supervision. In this situation, the probate court supervises the child’s settlement money to help protect it. It includes protecting assets, including money belonging to minor children.

How Long Does It Take to Receive a Wrongful Death Settlement in Illinois?

Receiving a wrongful death settlement can take several months after an agreement is reached. Cases involving minor children or disagreements among family members may take longer. Complicated repayment claims can also cause delays.

In Illinois, most wrongful death lawsuits must be filed within two years of the death, although exceptions apply. If your case is filed in Champaign County, it will be heard in the Sixth Judicial Circuit at the courthouse in Urbana.

Schedule a Free Consultation With Our Springfield, IL Wrongful Death Attorneys

Our firm brings over 100 years of combined experience to these cases. Wrongful death claims can involve estate proceedings alongside the injury claim. Our attorneys can help manage these steps, explain how the settlement will be divided, and review repayment claims to protect your family’s share.

Contact Kanoski Bresney at 888-826-8682 to talk to our Champaign, IL personal injury lawyer today.