A Structured Settlement Annuity is how most people are compensated if they are injured because of the negligence of others. But what exactly is a structured settlement? And on what grounds would you have one established for you?

It happens every day. A normal day can quickly turn into a nightmare for thousands of people when a preventable mishap occurs. It might be an accident at work, a car accident or a negligent medical error. These events alter the courses of people’s lives every day.

And what if this was to happen to you? What if you could no longer work and it was someone else’s fault? Compensation would be something that you rightly wanted and deserved. How would you like to receive the compensation? A lump sum payout or structured payments over a set period of time?

First and foremost you need to hire professional representation to help you get through the court proceedings, a compensation lawyer or injury claim specialist will be the best form of legal representative to hire. Once you win your case it might be decided that you should receive your compensation in the form of a structured settlement annuity.

A structures settlement is a plan between the plaintiff and the defendant under which the plaintiff receives their damages as a continuous stream of periodic payments instead of one big cheque.
This type of payment plan has been shown as effectively meeting the plaintiff’s financial security needs.

Why Use One?
If someone if given a lump sum, chances are they will spend it all too quickly whilst periodic payments are easier to keep.

Another benefit is the tax relief that comes with getting periodic payments instead of a one off sum. You can talk to your compensation lawyer about structured settlements.

It should be pointed out that your payments are only as secure as the company issuing the structured settlement. Therefore, care, research and seeking out trustworthy advice is paramount when choosing a financial institution to issue the annuity. Again, your compensation lawyer can help advise you on which company to go with when registering for a structured settlement.

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