It's quite common for insurance claims to be paid out on a structured settlement basis rather than as a single lump sum payment. The insurance company in this situation will offer to set up an investment product (usually an annuity) that will pay a regular income over a set period of time. This may sound good to start with but, down the line, many people change their minds and start wishing they had a lump sum instead. Many find that selling their annuity deal to a structured settlement funding company for cash is a way of doing this.
How Does Structured Settlement Funding Work?
The buying and selling of annuities in general is widespread in the financial sector. Many businesses operating in this field will buy structured settlements just as they would buy a regular annuity. A consumer that sells a settlement this way basically does it to access larger sums of cash or to release cash from their deal more rapidly.
