RE: What is a Structured Settlement Annuity?What risk and Benefits involved?
Structured Settlement is a financial arrangement that allows court-awarded compensation to be paid in regular installments rather than in one lump sum. These payments provide money for a fixed period or lifetime and are usually paid via an annuity. An annuity is a contract between you and an insurance company in which you make a lump sum payment or series of payments and in return obtain regular disbursements beginning either immediately or at some point in the future.
The benefits are continued payments over a specific period of time. Backed by top rated insurance companies. Plus the payments are tax-free for personal injury cases.
The people who typically receive structured settlements are
People with disabilities
Guardianship cases involving minors or mentally incompetent individuals
Wrongful death cases where monthly or annual income is needed
Severe injury cases where long-term needs for medical care, living expenses and family support are required