What happens to non exempt asset if it gets damaged?

[Limitman]

What happens if during my Ch 13 one of my non exempt assets worth about $3000 gets damaged or destroyed due to accident. The asset is not a car so no insurance would be on it. The asset is an outboard engine and it looks like it has water in it and froze so now the block is shot. It needs a total rebuild so basically the motor is now worth $500 instead of $3000? What should I do with it or what can I do with it?

[lrprn]

What should I do with it or what can I do with it?

Notify your lawyer that the outboard listed in your plan is now not worth very much due to accidental water damage and it was not insured. Your lawyer will notify your trustee.

Frankly if the trustee didn't come after your unprotected $3,000 motor up to now, chances are he/she sure isn't going to come get it now that it's only worth $500 However, even if the motor is essentially worthless, it's still an asset of your bankruptcy. You still need to keep it in your possession unless you get permission from your trustee to sell it (and expect to give up whatever you might get for it).