What is Personal Injury Claim

Can My Personal Injury Claim End In A Structured Settlement?

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An accident is one thing that brings instant and dramatic changes in people’s lives. During such events, it is vital to get the help of a personal injury lawyer who can help to take you through all the legal processes with ease. Securing compensation you deserve requires to have a lawyer who is aggressive and has courtroom experience.

The structured settlement means that there is a series of payments once the plaintiff settles or wins their case. A personal injury claim can end in a structured settlement, and various options determine that. Such include:

  • Plaintiff’s tax liability
  • Assistance needed for managing the funds
  • Plans on how to spend the money

In this article, we will discuss and cover Can My Personal Injury Claim End In A Structured Settlement?

Insights on structured settlement in a personal injury claim

If you and your personal injury lawyer decide to get the money awarded as structured payment, it will take periodic payments over a stipulated period. It could take years with a structured settlement depending on the agreements between the two parties. It is vital to have a defined structure of the payment options. Below are some of the options one can choose to use with the personal injury claim:

Initial large payments

It best suits when a person has to be unemployed, and some bills have accumulated over time and need to be paid. A large initial payment can help you get back on feet as you wait for the other subsequent payments over time.

Additional amount for extra expenses

You can choose a settlement structure that provides yearly payments which come with additional amounts. The additional funds can be used to pay for costs such as college fees among others as delegated.

Low to the high payment structure

You can choose a payment structure that starts with low payments and increases over the years to incur high payments later on.

High to the low payment structure

This option allows you to get high income at the begging of the period and decreases as time goes by to the end of the settlement period. It is an advantage if you have an increase in your income over time.

Delayed payments

This type of payment applies when you want to get the award after your retirement. It applies when you already have a good income thus need the award later on.

Benefits of getting a structured settlement in a personal injury claim

what are Benefits of getting a structured settlement in a personal injury claim

When the personal injury claim ends in a structured settlement, these are the benefits that tag along:

  • The payments can begin at any set time and last in a stipulated period of years as requested without any issues
  • The structured payments are not subjected to tax income even when they accumulate interest over time
  • In case of the death of the recipient before the settlement is fully paid, their heir continues to receive the tax-free payments as per the initial agreement

Financial fluctuations in the market do not affect the structured settlements and payments are made as per the initial agreement regardless of what happens in the market.


With a good personal injury lawyer to help you through the process, it is easy for your personal injury claim to end in a structured settlement. Also, it yields, and thus the total amount, in the end, is always larger than the lump sum due to interests.

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