What Is A Structured Settlement Annuity?


Many people are injured each year because of another person’s or company’s negligence or intentional actions. Some people even lose their lives because of devastating events caused by others, and their loved ones may suffer financially for years to come as a result. If you or your loved ones have been negatively affected by an accident, a workers’ comp issue, a product liability event, medical malpractice or something similar, you may seek financial compensation for medical bills, lost wages, pain and suffering and more through a civil lawsuit. If you win your lawsuit, the judge may award you financial compensation in the form of a structured settlement annuity. With a closer review of what a structured settlement annuity is and what your alternative options are, you can make a more informed decision about your financial situation.

What Is a Structured Settlement Annuity?

Structured SettlementAn annuity is a financial vehicle that is typically established by a life insurance company. The lump sum amount of the financial award provided to you by the court is established in an annuity, and the annuity gives you regular installment payments for a defined period of time. In many cases, annuity payments are made monthly, but there may be instances when they are paid quarterly or even annually. An annuity is typically an interest-bearing structure, so your total return over the life of the annuity may be more than the face value of the financial award that the court issued.

The Benefits of a Structured Settlement Annuity

There are numerous benefits associated with a structured settlement annuity, and these benefits can improve your quality of life for years or even decades. In many cases, the payments from a structured settlement annuity may be used to supplement lost wages, such as if you need to take time off work to recuperate after being injured. They may also be used to pay medical bills, to get necessary therapy and rehabilitation or for other related purposes. In some cases, they may simply be used to alleviate pain and suffering.

When a Lump Sum Amount is Preferred

Structured SettlementWhile there are significant benefits associated with receiving regular installment payments from a structured settlement annuity, there are times when a lump sum payment of the financial award is needed or preferred. For example, some people may have ongoing medical bills that payments can easily provide for, or they may need to use the regular payments to supplement lost wages if they are unable to work. However, others may have incurred hefty medical bills after hospitalization or surgery, and these bills may be due now. In some instances, you may be able to sell your annuity for a lump sum payment. However, keep in mind that some states require the court to approve the sale of the annuity first. In addition, if the annuity was awarded to a minor, you may not be able to sell the annuity until the child reaches the age of 18. Because of this, you should consult with your attorney before beginning the sales process. You also should be aware that an annuity buyer usually will not pay you 100 percent of the face value of the annuity. This means that you may lose money overall if you sell your annuity for a lump sum payment.

Receiving a financial award from the court after filing a personal injury case can drastically improve your life for months or even years to come. However, how the award is provided to you may be critical to your financial well-being. If you have received an annuity payment structure and would prefer to have a lump sum amount.

When you have a structured settlement as a result of a lawsuit, lottery win or any other reason, you might want to look toward a financial company for certain services. If you have a large amount of debt that needs to be paid off, want to make large purchases like a home or car or if you have sizable medical bills, you might want to get your money all in one lump sum instead of in regular monthly payments. There are many financial companies that can help you in that area. One of them is Novation Capital Settlement Solutions. If you are considering using this company for exchanging your structured settlement into a single lump sum of cash, it is important to know what to expect. Here is a detailed review of Novation Settlement Solutions.

Novation Capital Structured Settlement Review 1Novation Settlement Solutions is a company that buys structured settlements so that it can provide its customers with a single lump sum payment. The company has been in existence since 2000 and has provided the service consistently ever since. It claims to have bought more than $1.2 billion in payments and employing the best in financial experts. The company is based in West Palm Beach, Florida and has a solid reputation, along with an A+ rating from the Better Business Bureau. Within the past three years, Novation has received only two complaints, which have since been closed.

Much like Peachtree Settlement Solutions, Novation Settlement Solutions states that because of inflation, money loses value over time and that, as a result, your structured settlement may be worth less than when it is paid to you in full.

Because the company employs only the most skilled financial professionals, it boasts a 97 percent court approval rate of success. Novation Capital Settlement Solutions is also a founding member of the National Association of Settlement Purchases or NASP. The NASP is a group that claims it is “dedicated to ensuring the secondary market for structured settlement transfers remains fair, competitive and transparent.”

Structured SettlementThe first step toward receiving your money in a single lump sum is to contact Novation Settlement Solutions to determine whether you are a good candidate for its service. You can receive a free consultation if you are deemed a good candidate. However, much like other companies of its ilk, Novation charges a fee of 10 to 20 percent for its services. This means that once you have chosen it to buy your structured settlement so that you can receive it in one lump sum, you will get less than the total amount.

At the same time, Novation Capital differs from other companies that provide the same service because it offers the assurance of the rate your pay being locked in. Another good perk is that the company has a Timeframe Guarantee that states that if it takes longer to receive your money than it estimated, you will get more money.

To conclude, Novation Capital Settlement Solutions is definitely one of the better companies to use for getting your structured settlement converted into one lump sum payment. Its rates are fair and it has an excellent reputation.

A structured settlement scheme is when a settlement is paid out in certain amounts continually by a structured company. Structured payments have become more popular than lump sum payments because of the benefits that they offer. There is an interest rate on the payment which means that you get a bigger portion than if you took a lump sum upfront. The payments are not taxed. That means more money for you. These settlements are particularly preferred in wrongful death and personal injury cases where the scheme is beneficial to the claimant.

aig structured settlements review 1A structured settlement is essentially like a job. You are paid, but you are not working. You are assured of income in the future if you choose the scheme. The settlement is not offered by the insurance company but through a structuring group. This means that the insurance company that is doing the compensation does not have to pay more to cover the additional costs. The settlement can be set up to mirror a paycheck, and you receive a certain amount each month or it can be redirected to a particular expense such as school fees. You do not have to meet with an advisor regularly since the payouts are automatic and everything is agreed upon from the offset. Every party that is involved wins when the winner of a case accepts a structured settlement. There are also risks when you agree to receive structured payouts such as when the company goes bankrupt.

AIG is one of the premier structured settlement businesses in the world. They ensure that the terms of the settlement are ideal for the client and that the payments are relative to the total amount. The process of setting up a structured payment scheme starts when a court decides that the plaintiff is owed money. A qualified consultant works with the plaintiff to ensure the terms meet the needs of the claimant. An annuity from a life insurance company is then bought by the consultant after the terms are agreed. AIG ensure that the life insurance company is different from the one that pays the claimant. The plaintiff is guaranteed that the payout is not affected by an economic crisis or fluctuations in the market since the money is invested in a life insurance package.

AIG is a part of Sun America Financial Group. It is one of the biggest insurance firms in the world. Clients working with AIG are ensured of world-class and quality service when they choose to work with them. AIG provides services to more than 50,000 annuitants each year making it one of the largest structured settlement businesses in the nation.

Structured SettlementAIG has been in operation for more than 25 years. It has worked with many clients during that time. AIG has the expertise to handle all types of claims from mass tort and environmental damage to worker compensation and personal injury. Structured payments have become extremely beneficial to victims of personal or physical harm. This is because a structured payment prevents the claimant from exhausting the settlement. Many of the victims might not be able to gain employment in the future. The payouts ensure that they are independent and do not have to depend on government assistance.

AIG allows its clients to download the various forms that they might require during the lifetime of the settlement from their site. AIG allows you to receive payments directly to your bank account through electronic ACH transfer. You can set up the payments to be sent through the mail to your address. You can change the beneficiaries of the settlement by filling out a document, and you will be contacted if the request is successful.

The NSSTA (National Structured Settlements Trade Association) has been the top voice in the industry of structured settlements since 1985. There are approximately 1,200 NSSTA members who benefit from the activities of the association up to date. Some of these benefits include:

  • Constant legal analyses and updates of state and federal court decisions, regulations, and laws.
  • Checking of state and congressional legislative activity that puts an impact on the structured settlement industry.
  • Preserving the only site for Internet that is devoted solely to enhancing the benefits of the structures.
  • Carrying on education meetings during the year and hosting professional certification.

national structured settlements trade association reviewStructured settlements are defined as a proven and innovative way of compensating injury victims when it comes to legal settlements. It is a voluntary agreement that exists between the defendant and the injury victim. The US Congress has encouraged structured settlements since 1982. The structured settlement is a stream of periodic payments. It is paid by the defendant to an injured party mostly via the purchase of an annuity that has been directly issued by life insurance companies that are highly rated. The defendant also has the option of self-funding the periodic payments. Structured settlements offer guaranteed and security long-term income tax-free payments to wrongful death lawsuits and victims of physical injury.

Consultants of structured settlement offer services to defendants together with their counsel, the injured parties, family members, and plaintiff attorneys during the whole settlement process so as to establish the injured victim’s needs. The NSSTA has been collaborating with legislators to assist in establishing SSPAs (state structured protection acts) to guard the recipients of payments for structured settlements since the 1990’s. You can trust on NSSTA to help you get your rightful compensation with the help of your attorney incase you get an injury.

Getting insurance companies to settle on payment of injury victims is a struggle. This can be an easy affair with the help of NSSTA. NSSTA also makes sure that you get the proper amount of payment according to the degree and type of injury. The association has a membership application where insurance companies, attorneys, licensed consultants, and other professionals can apply to become members. The members of NSSTA are passionate regarding the work they do in helping injured individuals. They are committed to ensuring there is a fair and just compensation for injury victims. NSSTA strives for excellence and assists its clients in finding the proper solutions to meet the needs of the customers.

Structured SettlementThe NSSTA has a dedicated staff with Eric Vaughn serving as the Executive Director of the Association. He has a Master’s degree in International Economics which he earned from the Maxwell School of Public Policy. Erick has been able to spearhead the strategic goals of the association. He has worked previously in some courts in the US. NSSTA recently launched the NSSTA University whereby members of the association can get their presentations approved for attorneys and adjusters credits applicable towards the compliance of their licenses. This service offers a way for members of NSSTA to make use of education in getting ahead of the industry’s decision makers.

NSSTA has come up with a code of ethics that apply to all members of the association through its board of directors. It states that all members of NSSTA shall offer professional services with fidelity and integrity. It also says that members of NSSTA should acquire and keep the appropriate skills and knowledge so as to assure delivery of a professional service that is of high quality. It states that members are required to exercise reasonable due diligence when conducting structured settlement services.

Imperial Structured Settlements, LLC is a specialty finance company. It buys structured settlement annuities and payment rights from people in exchange for a certain amount of cash. The company was formerly referred to as Washington Square Financial, LLC. It changed its name to Imperial Structured Settlement, LLC in 2008. Imperial Structured Settlements is located in Boca Raton, Florida. It was established in 2007and is a subsidiary of Imperial Finance & Trading, LLC.

Imperial Structured Settlements deal with structured settlements such as medical malpractice, personal injury, product liability, and wrongful death. Imperial will ensure that you get the appropriate structured settlement to suit the situation if you face any of these issues. Imperial Structured Settlement is headed by Antony Mitchell who is the CEO of the company. It is committed to providing its clients with the best-structured settlements. Imperial Structured Settlements understands that every customer has different needs and requirements. Imperial offers customized solutions to every client. Customer satisfaction is the priority of the enterprise.

imperial-holdings-inc-logoImperial has employed the most qualified and skilled team of staff members who have intensive knowledge of structured settlements. They have an understanding of how to interact with clients and make them feel at home. Those who have dealt or have ongoing transactions with Imperial say that their experience there is excellent. They have reported that the customer service at Imperial is top notch. The staff members are very welcoming, patient, and kind. These types of reviews have enabled Imperial to gain a reputation as an efficient and reliable company when it comes to structured settlements.

A structured settlement expert will walk you through the entire process and discuss with you the available options and the best one to suit your situation once you walk in at Imperial Structured Settlements. The company ensures that all your questions are answered to satisfaction and that you leave the company a happy person.

A structured settlement may occur due to the following reasons:

  • An insurance settlement
  • A legal claim among two parties or more
  • A court judgment due to a successful lawsuit
  • Structured annuities
  • Entertainment or sports contracts
  • Compensation settlements for workers
  • Gambling winnings such as casino jackpots and lottery

Imperial will provide you with the best solution regardless of your reason for requiring a structured settlement. Imperial Structured Settlements has acquired a lot of experience and expertise for the many years that it has been in the structured settlement service. It only provides its customers the best solutions.

Structured SettlementImperial Structured Settlement is always there to help you if you wish to sell the entire or part of your structured settlement. The company will offer you the option to:

  • Sell a part of it
  • Sell the entire settlement
  • Sell the right to get payments for a particular period

Imperial ensures that there is no risk involved when you decide to sell your structured settlement, unlike other finance companies that deal with structured settlements. The company will first advise you whether it is a good idea to sell it. The staff will then walk you through the entire process in a simple language after you have made a decision. Former or ongoing clients of Imperial Structured Settlement reported that this is the company to go to for your structured settlements. They recommend others to try the firm and enjoy the services.

Imperial will also walk you through all the available options if you are a beneficiary and wish to inherit a structured settlement. The company has an active email support that customers can use to communicate with the enterprise. The call center at the company is always open to very friendly customer care representatives.

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