Q: What are the benefits of a structured settlement?

What are the benefits of accepting a structured settlement?

A:  Structured settlements provide several advantages, including:

  • Tax-free income: Payments are generally exempt from federal and state income taxes. Read more here: Are structured settlements taxable?
  • Long-term financial stability: Regular payments help claimants manage expenses without depleting a lump sum.
  • Customization: Payment schedules can be tailored to suit individual needs.
  • Protection from creditors: Depending on state laws, structured settlements may offer protection against creditors and lawsuits.
  • No market risk: Payments are not subject to fluctuations in financial markets.