Structured Settlement Annuities

When you get a large settlement from an insurance company, you are most likely to end up with a structured settlement annuity.  A structured settlement annuity is an agreement that states the insurance companies agree to pay out the settlement over an agreed upon period of time.  It is different from a lump sum agreement because you get paid over a period.  Often structured settlements are given when the defendant can’t afford to give a lump sum of money immediately, but can give a little amount every year.   They are also given when people have medical conditions that may require ongoing treatment over a period of time. 

Structured settlement annuities are often given sold to if they person needs access to instant cash.  When the holder of a structured settlement has the immediate need for money, he can try and sell the settlement to a purchaser who will give him a percentage of what the settlement is worth.  It is very useful to have the option to sell these annuities, because people often need access to the money immediately rather than wait over a period of many years.

When you are looking to sell your structured settlement annuities, you should talk to a qualified broker.  Getting a good broker can help you find the right purchaser for your structured settlement. 

You should also find out is if the insurance company that you deal with allows the sale of structured settlement annuities.   Sometimes companies won’t permit a structured settlement to be sold under any circumstance.  The broker will be able to answer all these questions.

After you have found a good broker to sell you structured settlement annuity payments, you should work on trying to get a good price for you settlement.  The purchasers will analyze your settlement and give you a quote on what they think it is worth in a lump sum of cash.  Do not expect to be quoted the full value of your structured settlement annuity.  Because you are selling it before it fully matures, you can expect purchasers to undercut the price of the annuity so they can turn a profit. 

Structured settlement annuities are a great way to help people who need medical treatment for the coming years to deal with their expenses.  They are also good if you need instant cash because you can liquidate them and receive a lump sum.  Remember to look around to find the right purchaser for your structured settlement.  Going online and doing a comprehensive search for structured settlement annuities is a good place to start.