MetLife Introduces Periodic Payment Agreement for Non-Qualified Personal Injury Cases

Last year, MetLife introduced its new Periodic Payment Agreement (PPA). The PPA may be a non-qualified product that allows the transfer of future periodic payments from physical injury cases that presently don't qualify below IRC Section a hundred thirty, like pre-1997 staff compensation settlements and also the settlements of incapacity coverage disputes. The transfer is created to MetLife Tower Resources cluster (MTRG), that functions because the owner.

As you will recall, many months agone we have a tendency to featured the same product through Liberty Life and its Barbados-based partner BARCO Assignments, Ltd. the first distinction between MetLife’s PPA and BARCO is that with MetLife, attorneys deal directly with a U.S.-based insurance underwriter as MTRG isn't associate offshore entity.

Advantages of MetLife’s PPA include:

U.S. owner

• Annuity payments grow with interest and ar nontaxable till withdrawn
• Mortality liability and payment risk transferred from defendant/insurer to MetLife
• Reduces the executive work for administering the periodic payments
• Tax obligation displayed over time
• Financial designing chance for the applier
• Guaranteed payments for the lifetime of the claimant/payee