Frequently Asked Questions

Common questions about Structured Settlements answered below:

What is a Structured Settlement?

A structured settlement is a financial arrangement where a person receives periodic payments over time instead of a lump sum. This is often used in personal injury or wrongful death cases.

What are the benefits of Structured Settlements?

Tax Advantages: Payments from structured settlements are generally tax-free.
Financial Security: We utilize A, A+ and A++ rated life insurance companies for annuities. This provides guaranteed long-term financial stability.
Customization: Payment schedules can be tailored to meet the claimant’s needs

Who sets up the structured settlement?

The plaintiff or defendant can utilize a structured settlement broker to provide quotes. The defendant or their insurance company then sets up the structured settlement by purchasing an annuity from a life insurance company.

How does a Structured Settlement Work?

Structured settlements are agreed to and funded by an annuity purchased by the defendant or their insurer. The annuity guarantees regular payments to the claimant over a specified period

What is the difference between a structured settlement and a lump sum payment?

A lump sum payment provides a one-time payment, while a structured settlement spreads payments over time. Structured settlements can be more beneficial for long-term financial planning as they earn tax-free interest.

Can other settlements utilize Structures?

While commonly used in personal injury cases, structured settlements can also be used in other types of legal settlements, such as wrongful death or workers’ compensation claims. They can also be used for employment settlements and attorney fees to reduce taxable liability.

What is the cost of a Structured Settlement?

Our services are 100% free of charge. We receive a commission from the life insurance company if an annuity is purchased. We do not send bills, have fees or take any % of the annuity.

What cases work best for Structured Settlements?

Worker's Compensation
- MSA's, Indemnity, Survivorship Benefits
Minor's Injuries
Dog Bites
Auto Accidents
Birth Complications
Wrongful Death
Medical Malpractice
Attendant Care

What happens to the structured settlement if the recipient passes away?

If the recipient passes away, the remaining payments, if guaranteed, can be directed to the beneficiary or estate, depending on the terms of the settlement agreement.

What type of payment options are there?

Structures can be paid out as follows:

Weekly, bi-weekly, monthly, quarterly, semi-annually, annually or in guaranteed lump sums.

Can I sell my Structured Settlement?

It is possible to sell your structured settlement, but we highly advise against it as you will receive pennies on the dollar. It will also require court approval.

Can I buy a structured settlement after I receive a lump sum settlement?

No. You get one bite at the apple when it comes to receiving a tax-free structured settlement as part of your settlement. Any annuity you purchase after receiving a lump sum is subject to taxes, fees, etc.

What is the best way to maximize my settlement dollars?

A Structured Settlement provides you with guaranteed payments that earn tax-free interest regardless of market fluctuations. Mixing immediate cash, with structured settlement payments provides you with more options to invest, while also creating great financial security. Guaranteed, tax-free lump sums can be invested into the market during down years, or used to invest in real estate, etc. Options are endless. Call us for more info: 248-715-5250