As we finally close the books on 2020, we can look back on a year filled with illness and economic crisis. Unfortunately, much of the same will be in the forecast for 2021. For those experiencing a personal injury during these uncertain times, financial security is a top priority.
Structured Settlements In Today’s Environment. One of the primary benefits of structured settlements in physical and non-physical injury cases is the regular stream of guaranteed payments for a set number of years or for a lifetime. For injured claimants facing long-term medical bills or unemployment, this guarantee is a life-changer.
The financial security brought by a structured settlement affects daily life in a number of ways. It enables the injured party to pay the rent or mortgage, put food on the table, pay utilities and budget for a new vehicle, a child’s college tuition, future medical procedures or unexpected expenses. While the world is in turmoil, injured individuals can remain secure in knowing that their finances will not be impacted.
For personal injury claimants, structured funds are distributed tax-free. The payments coming from a structured annuity are considered non-taxable according to IRS Code Section 130 and Section 104(a).
As we begin a New Year, personal injury claimants have an important remedy to reduce the financial stress in their future. For questions about structured settlements, please feel free to give me a call.—Pat