Non Qualified Assignment (NQA) for Structured Settlements
Provide your claimants with a tax-advantaged solution that turns their settlement into a guaranteed stream of income, protected from market volatility.
What is our Tax-Advantaged Settlement Solution?
Our solution, the Non-Qualified Assignment (NQA), is designed to help claimants keep more of their settlement by receiving the income in multiple payments and deferring their taxes over time. This solution is for cases that fall outside of personal physical injury claims and litigation as defined under IRC Section 104(a)(2) and are not eligible for an IRC Section 130 qualified assignment. Our NQA is the first product of its kind to use a U.S. based assignment company, and is provided by Metropolitan Tower Life Insurance Company (MTL), a wholly-owned operating subsidiary of MetLife, Inc.1
Why Attorneys Recommend Structured Settlements
The vast majority (96%) of employment plaintiff attorneys who are familiar with structured settlements recommend them to their clients.2 Our 2023 poll highlighted some of the key reasons why attorneys recommend structured settlements to claimants.
Provides claimants with guaranteed, tax-efficient payments
Allows claimants to receive some immediate cash
Ensures claimants won’t deplete their settlement too fast
Increases value of the settlement
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FAQs
A Non-Qualified Assignment can be used in a wide variety of case types that fall outside of personal injury, including the structuring of attorney contingency fees3. The following list represents some common uses but is not limited to:
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Amounts attributable to wages that are subject to W2 reporting (FICA/FUDA withholding) are ineligible for a Non-Qualified Assignment, though other case types may not qualify. Reach out to a member of the Sales Team to confirm.
Unless court-approved, periodic payments cannot be issued to a person who is not the claimant. Periodic payments can be made to a Trust, but home office approval is required.
Yes, periodic payments can be life-contingent; the maximum issue age is 85. By default, guaranteed payments continue to named beneficiary or the estate4. If elected at the time of settlement, payments may be commuted upon death. Life-contingent payments cease at the time of death.
No.
Periodic payments must begin immediately, typically within one year of the purchase date. Periodic payments must be substantially equal, paid out in regularly scheduled intervals, and occur no less frequently than annually.
Metropolitan Tower Life Insurance Company will send a 1099-Misc for reporting.
The defendant/carrier can transfer all future obligations to MetLife1 and avoid a costly trial. In certain cases, they can also realize the full settlement deduction for applicable damages.
Featured Insights
MetLife's 2023 Structured Settlements Poll surveyed employment plaintiff attorneys to better understand their familiarity with structured settlements for wrongful termination, discrimination, harassment and other employment matters.
Advantages of Working With Us:
Simple and Easy
Our solution is tailored to meet the claimants needs and our service makes it easy for you to do business.
Expertise
Work with a dedicated team of industry specialists, all with strong experience in navigating changing market conditions.
Trustworthy
We are committed to the structured settlement market and consistently rated highly by major rating agencies for financial strength.1
Meet The Team
When you partner with us, you are choosing a leader who will be with you every step of the way and can provide claimants with a steady and reliable income stream — both now and in the future.