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A structured settlement often referred to as a structured settlement annuity is a long term stream of payments to someone a plaintiff who has won or settled a civil lawsuit with a defendant.
What is a structured settlement payment. The rates are affordable and combined with the need time continuum. If you re on the winning side of a lawsuit there are different ways to receive the money you re awarded. For more about brokers see national structured settlements trade association. A structured settlement is a stream of payments to a person who won or settled a lawsuit.
The defendant funds the settlement. Whether you should opt for a lump sum payment or a structured settlement will depend on many factors including your tax liability how you plan to spend the money and whether you need assistance in managing a large sum of money. These resolutions differ from lump sum settlements because of the way the money is paid over time. It s another often smarter way to receive a court award for damages other than a lump sum payment.
A structured settlement is a negotiated financial or insurance arrangement through which a claimant agrees to resolve a personal injury tort claim by receiving part or all of a settlement in the form of periodic payments on an agreed schedule rather than as a lump sum. This series of payments is called a structured settlement. A structured settlement typically includes a lump sum of cash upfront one time to cover immediate expenses followed by guaranteed periodic payments tax free customized to meet the needs of the settlement winner. A structured settlement is a settlement derived and negotiated from the result of a person or company winning a civil case.
One option is a structured settlement which includes periodic payments over time. A structured settlement is a stream of periodic payments paid to an injured party by the defendant primarily through the purchase of annuity fixed and determinable issued directly by highly rated life insurance companies. Also the payments from factored settlements are tax free. Structured settlement payment rights can be bought in the secondary and tertiary settlement market.
Structured settlement brokers a special type of insurance agent consult as a case approaches settlement.
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