Stephen Harris contributed an article to the American Bar Association discussing structured settlement and the different types of funds claimants will receive. Stephen explains, in a typical structured settlement, personal/bodily injury claimants receive all their funds tax free even though some portion of each payment usually includes earnings on the amount that was invested by the involved insurance company to generate the structured settlement payments. He also mentions that the structured settlement industry is competitive. The various life insurance companies that sell the annuities that fund the structured settlements compete against each other, as do the various broker that effectuate these sales.
To read the full article, click here.