SS and Workers Comp

Structured Settlements on Workers Comp Cases Make Sense

Cost savings and needs-based negotiations can deliver a win-win for all parties

Structuring Indemnity Drives Needs-Based Negotiations

Using structures on the indemnity portion of Workers Comp files helps drive settlement discussions to focus on non-medical needs instead of the typical demand/offer volley. Needs-based negotiations leverage the structure to maximize every settlement dollar to specifically address the unique needs of the claimant.

MAXIMIZE

RATED AGES

CONNECT

SHIFT RISK “SOFT SAVINGS”

Like MSAs, Indemnity settlement dollars can go farther when paid out in the future

Rated ages can reduce the cost of life contingent payments

Structures provide the opportunity for examiners to call the client with a settlement plan

Needs-based proposals highlight the risk of trial or not settling

Clients report the ability to reduce settlement payouts, lessen duration and reduce legal expenses

Structuring Medicals Offers Cost Savings

When settling the medical portion of a Workers Comp claim, a structured settlement offers an average savings of 35% over cash by simply annuitizing the MSA portion instead of paying cash.

The actual case below shows the use of a structure with a rated age to fund the MSA instead of funding the MSA with cash. Total savings: 45% or $337,000

MSA Allocation Report

Male, age 36, rated age 38, life expectancy 43

Medical (Medicare Parts A&B) : $ 324,174 00

Rx (Medicare Part D): $ 428,047 00

Total MSA : $ 752,221 00

Initial Deposit : $ 72,747 07

Annual Deposit : $ 16,177 95

Need Help? Ask your Ringler consultant about how they can provide reporting that you can share to show your value! By tracking cash vs. structured settlement outcomes, the picture becomes clear!

www.ringlerassociates.com

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