The Benefits of a Structured Settlements

Personal Injury Lawyers 317-881-2700

Personal Injury Lawyers 317-881-2700

When an insurance company is obligated to pay out a large settlement to a victim of an accident, they will sometimes negotiate a payment arrangement in place of paying one lump sum upfront. These periodic payments from an insurance company are referred to as structured settlements, and they are a common method for paying accident victims. Payments are spread out over a long period of time, and paid in increments until the settlement cap is reached. Although there are some noted issues with structured insurance payments, there are several benefits that make them an appropriate option for a wide variety of accident victims.

Continue reading to learn more about structured settlements, and how accident victims can benefit from them.

Financial Management

Structured settlements are beneficial because they allow for responsible financial management. When an accident victim is recovering from serious injuries, it can be stressful and confusing for them to manage their finances. With a long-term payment plan, an accident victim can better organize their finances and budget their money more responsibly, all while coping with their recovery at the same time. Accordingly, a structured settlement can be beneficial in terms of tax liabilities.

Sometimes, structured settlements can come at a disadvantage. For those who are knowledgeable in finances, it could be a downfall to receive a structured settlement if they are interested in using the payout for investment purposes. Some structured settlements qualify for certain tax advantages.

Additional Benefits

One of the most revered benefits of a structured settlement is having access to more money. A victim is usually granted more money over a long period of time, and less money in a lump payout. The same goes for saving money on taxes. Another benefit is that a structured settlement is like receiving additional income every year.

Indianapolis Personal Injury Lawyers

Personal Injury Lawyers 317-881-2700

Personal Injury Lawyers 317-881-2700

Call Craven, Hoover, and Blazek P.C. at 317-881-2700 for trusted personal injury representation in Indianapolis, Indiana. Our seasoned accident attorneys work around the clock to ensure our clients’ rights to compensation. We offer free initial consultations to access your case and determine your eligibility for remuneration; and we never collect attorney fees unless we prevail for you! Call 317-881-2700 to schedule your free initial consultation with an Indianapolis personal injury lawyer, today.