The Basics of Selling your Structured Settlement

What is a structured settlement?

A structured settlement is an innovative strategy of compensating injury victims in legal settlements. It is usually an agreement between the defendant and the injury victim. The defendant pays the injured party in a stream of periodic payments through the purchase of an annuity. A structured payment provides personal injury victims with lasting income tax-free payments.

Most of the civil cases, especially personal injury lawsuits never go through the trial process because the involved parties make a settlement agreement during the litigation procedure. A settlement requires the plaintiff to stop any further legal action after compensation from the defendant. Instead of receiving a lump sum, the injured victim gets a structured settlement which is paid over time in equal instalments. A structured settlement provides security to the recipient because it’s easy to set and manage recurring payments.

A structured settlement is helpful when the plaintiff suffers a critical or catastrophic injury. The defendant’s insurance company gives the plaintiff an annuity policy. When it comes to selling your structured settlements payments, you don’t have to sell them all. You can decide to part of the settlements and get the money.

Is selling your structured settlement rewarding?

One of the major decisions you have to make in your life involves selling a structured settlement. You can significantly improve your living condition if you complete the process in the right way. However, it can negatively affect your financial prospects if done for the wrong reasons.

Before selling your structured settlement, it’s advisable that you fully understand the process and the available options.

The plaintiff should consult a tax attorney, certified public accountant, and a personal injury attorney before signing any settlement agreement.

Personal injury settlements are tax-free which implies that a structured settlement provides a plaintiff with a significant tax benefit. But, there are exceptions such as a punitive damages award or interests that accumulate on the settlement. Selling structured settlements provides the plaintiff with payments over a set period. The involved parties can customise annuities to cater for the plaintiff’s financial needs and any future needs or contingencies. The structured settlement allows parties to reach an agreement acceptable to both parties even when there are in different locations.

Choosing the right Structured Settlement Company

There are various reasons why people consider selling their structured settlements. Some of the main reasons include;

Investing in a business venture

Making a down payment on a new house

Going back to school for a lucrative career

Pay-off debts affecting household finances

unexpected medical bills

Pay- off unexpected divorces costs

If you relate with one or more of these reasons, then you need to consult an experienced structured settlement company and discuss the available options.

So what should you look for in a structured settlement company?

Excellent service

Look for a company that shows a genuine interest in representing you in court. The company representative should answer your questions and provide you with the necessary support to reach an agreement with the defendant. There should be a high level of service offered to you just like in any other service business. A verified structured settlement buyer should guide you through the procedure, assess your particular situation and give you valuable information before you make the final decision.


It is vital to choose a reputable company when you decide to sell your structured settlements. Check the number of years the company has been in operation. Ensure that you select a company with a good record. Do your homework and find a reliable structured settlement company to represent you before a judge. It might be hard to find one…but your efforts will be worth it in the long run.

There are so many companies that deals with structured payments. Some of the best-structured settlements buyers include J.G Wentworth, Olive Branch Funding, and SenecaOne.

J.G is a reputable buyer of structured payments. The company has been in business for about 20 years specialising in buying future payments streams such as annuities, lottery winnings, and structured payments. The company purchases settlements from a lawsuit and gives you a lump-sum payout. Olive funding lets you access your money to pay off debts, start a business, or pay school fees.

SenecaOne is a reputable structured settlements company with great experience representing people who are pursuing structured settlements. The company helps people to secure the settlements payments within a short span of time.…