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Structured settlements are an innovative method of compensating injury victims. Encouraged by the U.S. Congress since 1982, a structured settlement is a completely voluntary agreement between the injury victim and the defendant.

Under a structured settlement, the injury victim does not receive compensation for his or her injuries in one lump sum. Rather, they will receive a stream of tax-free payments that are tailored to meet future medical expenses and basic living needs.

Factoring Transaction:
Structured settlements serve an important role and more often than not will meet a payees’ needs for full term of the payout.

Premium Financing: Hedging against Uncertainty :
Trusts are used to eliminate the issues of gift taxation and incidents of ownership. At the end of the loan, the Trustee may pay off the loan and retain the policy. Then or at a future time, the policy may be sold for a Senior Life Settlement.

Understanding Structured Settlements and their Advantages :
Put in simple terms, a structured settlement is merely an agreement that’s reached between a plaintiff and defendant that outlines the flow of payment that the plaintiff receives, due to injury.

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