What Is a Structured Settlement and How Do They Work?

gavel and coins

Taking someone to court is no easy matter, whether you’re suing another driver in a car accident or going up against a corporation for a multi-million dollar lawsuit. 

The legal field takes a long time to play out, and even when you win, there’s no guarantee that you’ll get paid in any sort of timely manner. Structured settlements can be just what you need when you’re trying to move forward with your case. 

When you get to know the structured settlement and how it works, use the points in this article to learn more. 

What Exactly is a Structured Settlement?

A structured settlement is a cash agreement that two parties agree on rather than fighting it out in court. The other party gets to settle outside of court and the plaintiff gets paid quicker and on a sustained basis. 

These structured payments are paid out on a set schedule for a specific duration of time. The person who suffered personal injuries will be able to more quickly get back on their feet and handle their medical bills and other needs. 

How Does a Structured Settlement Work?

It’s important to get to know structured settlements and how they work. In most cases, the deal is structured between lawyers and a third-party insurance company that will create an annuity. 

The plaintiff that wins the settlement will receive their payouts through this annuity. These settlements are set up with specific dates for payouts and a contract for how long it’ll last. 

People typically get structured settlements in personal injury, medical malpractice, and wrongful death situations. 

What Can I Do to Find a Structured Settlement?

First and foremost, sit down with your lawyer so that they can help you set up a fair agreement. They’ll assist you in negotiating everything from the dollar amount to the size and frequencies of your payouts. 

Choose a duration and payment size that lets you take care of whatever damages you have. Look for a company that can sell structured settlement packages that are helpful. 

You need to be certain that the insurance provider is credible enough to assist you with any sort of contract that is agreed upon.

The last thing you’d want is to work with an insurance company that you can’t count on to deliver on the payments because this will create even more litigation in the future. 

Handle Your Legal Needs and Factor in Your Settlement

A structured settlement will help you to put some cash behind your court judgment so that you don’t have to wait around. 

Regardless of what sort of legal needs you have, it always comes down to getting paid what you deserve. This doesn’t happen without diligence, knowing your rights, and staying on top of the details. 

Consider these points and stay tuned to our content on structured settlements and other legal matters. We have all sorts of information on just about any subject you can think of. 

Browse our site to learn more about business, health and wellness, manufacturing, and more. 

Add Comment

Click here to post a comment