Structured settlements offer numerous benefits for the annuitant. With a guaranteed source of long-term income, tax-free advantages, and protection from financial market volatility, structured settlements can establish financial stability and help you manage your funds.^1,2 

Sometimes, annuitants may be approached to sell future payments in exchange for immediate cash. This is referred to as factoring. However, before making decisions that can impact your structured settlement, it’s important to gather more information first.

What is Factoring?

Factoring is a process where the annuitant sells the rights to some or all of their future annuity payments for immediate cash from a third-party company. These third-party companies are usually known as factoring companies. 

Factoring companies make their profits by paying you significantly less than the value of your payments and then selling your payment rights to investors for much more than they paid you. 

Benefits of Keeping your Structured Settlement

• Tax-free advantage – Payments for physical injury settlements are completely tax-free²
• Guaranteed income - A steady stream of income helps you cover your medical needs and everyday expenses¹
• Financial security - Long-term guaranteed income from a trusted and financially secure company¹
• Protection - Structured settlements safeguard you from market volatility and overspending 

Maintain Lasting Financial Security for you and your Family 

Through structured settlement payments, you can receive a steady, uninterrupted stream of guaranteed, tax-free income.¹ Whether your settlement payments are structured to be paid monthly, annually, or through a periodic lump-sum benefit, you have the assurance that you are receiving the full benefits and financial protection you need and deserve.

We're Here to Help

Our award-winning Customer Solutions team is ready to answer any questions you might have.

Call us at 1-800-638-2704

Monday - Friday, 8am - 9pm ET