WASHINGTON, Jan. 17, 2024 /PRNewswire/ — The National Structured Settlements Trade Association (NSSTA) announced today that 2023 was an all-time record-setting year for the structured settlements industry. In 2023 the structured settlements industry placed $8.623 Billion of premium. Nolan Robinson, President of NSSTA and a consultant with Ringler, stated, “2023 was the strongest year ever for the structured settlements industry and demonstrates the important value of delivering lifetime economic security to thousands of injured people and their families.” Len Blonder, Vice Chairman of Arcadia, a leading structured settlements company, stated, “As important as the $8.623 Billion in premium to our industry, a more important number is 29,810—the number of injured people our industry helped in 2023 by delivering guaranteed income, economic security and confidence that ALL medical bills, health care related expenses and living needs will be met.”
Eric Vaughn, NSSTA Executive Director, stated that there are six key reasons structured settlements are in wide and expanding use today:
- Tax-free payments – structured settlements received by the injured party are tax-free.
- Protection against premature dissipation of settlement monies – an injured party may lack the financial sophistication necessary to properly manage and invest a substantial settlement fund. Typically, these funds are needed to cover ongoing medical or living expenses. Thus, the funds need to be available for an extended period of time.
- Customized payment streams – to match the day-to-day needs of the injured party and their family
- Lifetime payments – payment streams that may be designed to continue for the remainder of the injured party’s lifetime, thereby mitigating the risk of outliving one’s assets.
- Public policy support – structured settlements help prevent a shift of responsibility for care to taxpayer-financed public assistance programs.
- Financial security – the funding obligation is typically purchased from a highly rated life insurance company by way of an annuity or an obligation of the United States government.
What is the National Structured Settlements Trade Association (NSSTA)?
Founded in 1984, NSSTA is an organization composed of more than 1,200 members across the country who design, implement, and provide structured settlements for workers’ compensation and tort claims involving persons with physical injuries. Visit our site for more information at NSSTA.com.
Contact info: Debbie Sink
NSSTA Operations & CE Compliance Director
SOURCE National Structured Settlement Trade Association