What Is A Structured Settlement

You should take a lump sum settlement for all small settlements and most medium sized settlements less than 150 000 or so.

What is a structured settlement.

This might be of benefit if you expect your income to increase over time. The defendant sends you a check you cash the check and the case is over. Structured settlement brokers a special type of insurance agent consult as a case approaches settlement. However many legal settlements offer a lump sum payment option which provides a one time sum of money.

Structured settlements can also be designed to step up payments over the years starting relatively low and ending higher. The lump sum settlement is the traditional method for settling a case. Structured settlements can also start high and decrease over time. For more about brokers see national structured settlements trade association.

A structured settlement is a negotiated stream of periodic payments for damages in settlement of a personal injury wrongful death or workers compensation claim or lawsuit. The key differences between both annuity settlement options are the long term security and. 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 as part of the negotiations a structured settlement may be offered by the defendant or requested by the plaintiff. Payments decrease over time.