Benefits of Structured Settlement Programme

Structured settlement pan is a pre-decided investment plan; it is often called intermittent payment judgment. This investment plan takes place as result of a court case where there is a substantial sum of money to be paid out. Commonly the sum assured amount is broken into short interim payments and is paid to the propose rot policy holder in a pre-decided schedule. As per the terms and clauses of agreement, the payments can be made in monthly, quarterly, or in yearly basis. In some instances payments can be made in bi-yearly plan. The receiver of the payment is termed as payee or as annuitant.

There are several benefits for structured settlement plan. The prime benefits are jotted down here with outline details.

Structured settlement investments are tax free and this resolution goes for State as well as for Federal level. The income which is accumulated from structured settlement plan is not accounted as annual gross income and that is why it is not considered as taxable.

Structured settlements are more aligned to future security issue. Regularly, deposited amount received in the form of monthly income after a certain period asserts the policy holders especially for the senior people. This accumulated amount can be considered as an expense for child education. Most of the structured insurance companies have earned huge reliability due to their timely payment and good returns which has added a new feather of security with this mode of investment.

Structured settlement plans do not interfere with social security benefits. This money cannot be compromised in divorce suits and cannot be considered as assets to pay debts. This facility adds security and confidence for family future in case of worse situations.

Structured settlement plan do not involve lengthy court proceedings thus saves lots of funds because there is hardly any legal involvement in this investment plans.