NU Online News Service, Aug. 14, 2003, 12:37 p.m. EDT – The life insurance company members of the National Structured Settlements Trade Association, Washington, collected about $3 billion in premium revenue during the first half for annuities used in personal injury settlements, up from $2.9 billion during the first half of 2002.
The association based the statistics on information from its 18 member companies.
Second-half production figures typically exceed first-half figures, according to the association.
Defendants in lawsuits and their insurers use structured settlement annuities to provide long-lasting, tax-free income streams for injury victims and their families. Lawyers developed structured settlements in response to reports that many victims and families had problems managing lump-sum settlement payments.