General Information

About Structured Settlements

A Safe & Reliable Solution

What is a Structured Settlement?

A structured settlement is a voluntary agreement reached between a plaintiff and a defendant under which the claimant’s settlement proceeds are disbursed in a series of periodic payments. Structured settlement annuities offer valuable advantages for physical injury and non-physical injury cases.

Benefits of Tax-Free & Taxable Structured Annuities

• Tax-Free Income for Physical Injury Cases: The full amount of the structured settlement payments including growth is exempt from federal and state income taxes under 104(a) of the IRS codes.
• Tax-Deferred Income for Non-Physical Injury Cases: The claimant receives the benefit of tax-deferral on their payments along with competitive rates of return.
• Competitive Rate of Return: Structured settlements typically offer rates of return that are competitive with many traditional investment vehicles, without the risk of market volatility.
• Safe and Reliable: The claimant receives guaranteed*payments from one of the safest investments available: An annuity issued by a highly-rated life insurance company.
• Customized Payment Options: The periodic payment schedule offers a variety of options to help fit the claimant’s financial needs.

*Guarantees are subject to the claims-paying abilities of the issuing insurance company.

Applicable Case Types

• Structured Installment Sales
• Employment Issues
• Age, Gender, or Race Discrimination
• Attorney Fee Deferrals
• Divorce Settlements
• Environmental Litigation
• Sexual Harassment
• Legal Malpractice
• Property Disputes
• Breach of Contract
• Fraud Claims

Tax-Deferred Structured Settlements

Tax-deferred structured settlements are available to help maximize and preserve settlement proceeds for the following type of cases:

• Contingent attorney fee
• Attorney Fee Deferral
• Punitive damages
• Employment disputes (no wages)
• Discrimination
• Breach of contract
• Property damage
• Environmental claims
• Construction defect
• Sexual harassment
• Fraud
• Other non-physical injuries