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New rules boost funds available to September 11 victims

Feinberg said undocumented aliens will be eligible for compensation under the new rules.

WASHINGTON (CNN) -- A larger pool of recipients will receive an average $200,000 in additional money from the federal fund compensating victims of the September 11 terrorist attacks, the fund's administrator said Thursday.

The September 11 Victims Compensation Fund's amended and final rules include fewer deductions and restrictions than previously announced, making for more eligible recipients, Kenneth Feinberg told reporters.

"The net check coming from the United States Treasury to each of these individual claimants will be substantially more," he said.

On average, Feinberg said, the amount received from all sources, excluding charitable contributions, should increase from $1.65 million to $1.85 million.

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The new guidelines calm the concerns of some families, especially those of New York firefighters, who under the previous rules would have received nothing from the federal fund because of generous death benefits and pensions.

Under the new guidelines, 401(k) accounts will not be deducted from awards. The government will also give individuals and families credit for payments and premiums made on pensions and life insurance policies. The non-economic damage payment for spouses and dependents has been increased from $50,000 to $100,000.

Charitable income received by families will not offset the amount of money received from the fund, Feinberg said.

Payment within 120 days

Virtually all the seriously injured and families of those killed will receive at least $250,000 from the fund before the government begins applying deductions such as life insurance and pension benefits.

Undocumented aliens will also be eligible for compensation under the new plan.

"We will process the claims. We will cut them a check," Feinberg said. "They need not fear any type of prosecution" unless they are being prosecuted on an unrelated matter.

Victims who sought treatment within 72 hours of the attacks will now be eligible for compensation. Under the old rules, victims had to have sought treatment within 24 hours to be eligible.

There is no time limit for rescue workers who responded to the site of the attacks.

Those who accept the government compensation are assured payment within 120 days. In return, they must waive the right to sue the airlines involved in the terrorist hijackings and attacks.

More than 3,000 people died when terrorists hijacked four commercial jets and crashed them in New York, Pennsylvania and Virginia. Initial estimates put the death toll at more than 5,000.