What is a Structured Settlement?

What is a Structured Settlement?

Structured settlements are a legal structure in which an injured party is the claimant, and they settle a tort suit with the defendant, which is the insurance carrier. This settlement is an agreement that provides the dismissal of the lawsuit for settlement payments. The insurance company agrees to make periodic payments to the claimant over time. To fund the obligation of a structured settlement, the insurer often takes a couple of different approaches. One would be to purchase an annuity from a life insurance company or it can assign a periodic payment obligation to a third party, which purchases an annuity. When it is an unassigned case, the insurer retains the periodic payment obligation and can fund it by purchasing out an annuity from a company that offsets its obligation with matching assets. The payment purchased under the annuity matches and the periodic payments and the agreements of the structured settlement. The company owns the annuity and then names the injured party as the payee. In an assigned case, the company does not want to retain the periodic payment obligation, and transfers the obligation to a third party. That third party is the assignment company and will require the company to pay it an amount that can enable it to buy an annuity to fund its new obligations. The defendant has no further liability to make those periodic payments. Structured settlements are financial or insurance arrangements that include periodic payments where the injured party accepts to resolve the personal injury tort claim, or to compromise on a periodic payment obligation. These kinds of structured settlements are now part of the statutory tort law of several common law countries, and each country has their own rules for the settlements. Structured settlements can be sold for cash by companies who pay the insured party who is receiving the periodic payments in a sum of money. There are many different companies that are available to choose from when looking to receive cash for structured payments. If you have a structured settlement and are looking for a company who will buy it from you and give you cash, you can go online and see the companies that are available to work with on http://www.structuredsettlementfaq.com . There are large companies who you have probably seen advertised, and others that are smaller but are still able to help offer you what you want for the settlement. You should do plenty of research on all of the companies you are interested in before you decide on which one to work with.