Personal injury cases can be long and exhausting for those injured. At the end of the process, the injured party will hopefully receive a settlement that will help support their family into the future as personal injuries can have long-lasting impacts on health and finances. However, many may be surprised that personal injury payments do not always come in a lump sum payment.
In some instances, defendants may ask that personal injury settlements be paid as an annuity, payments made over time. One reason why defendants may choose to pay overtime is that their insurance or financial situation does not enable them to pay the settlement in one lump sum.
If you or a loved one has been injured by someone else, there may also be reasons why you would want to accept an annuity payment. These reasons can include the defendant avoiding bankruptcy which could leave the victim and their family with no settlement; annuities can reduce tax liability and can ensure steady income over several years. In addition, an annuity can also go to the victim’s children if the victim of the personal injury passes away.
If you or a loved one has been injured because of someone else’s negligence, Greenberg Law PC will help guide you through the entire injury process from start to finish, including helping you understand the best settlement option for you and your family.