by John Darer® CLU ChFC MSSC RSP CLTC
BARCO Assignments Ltd, an annuity funded non qualified assignment program, has now improved following an announcement that Liberty Life Assurance Company of Boston will issue a Notice of Financial Commitment (in the sample form hyperlinked below), where Barco Assignments, Ltd ("Barco") has entered into a non qualified assignment agreement to assume the periodic payment obligations with claimants.
A non qualified assignment is a structured settlement solution for settlements involving taxable damages, or partially involving taxable damages. It is sometimes referred to as a non qualified structured settlement. For the payee of a non qualified assignment the goal is tax deferral and stable,s secure guaranteed income.
Barco Assignments, Ltd. is an International Business Corporation and non qualified assignment company domiciled in Barbados. A favorable tax treaty between Barbados and the United States coupled with the tax inefficiency of corporate ownership of annuities on US soil makes Barbados entity one of the domiciles of choice.
The above diagram graphically illustrates the interplay between the various companies that contribute to the high level of financial security for payees under the Barco Assignments Ltd/Liberty Life Assurance Company of Boston/Liberty Mutual non qualified assignment program.
The notice is in the form of a "keep well" agreement. Quoting from the notice**…
"Liberty Life will ensure that Barco has the minimum amount of net assets required to conduct business under Barbados law, and if at any time Barco has insufficient funds to make any required payment under the terms of any obligation it has to a creditor, Liberty Life will contribute to Barco the funds Barco needs in order to meet its payment obligations".
Moreover, in the event that Liberty Life Assurance Company of Boston decides to terminate the financial commitment, it states that it will satisfy those obligations that predated the termination of the commitment.
The obligatons of Liberty Life Assurance Company of Boston are backed by Liberty Mutual Insurance Company. Liberty Mutual Insurance Company, founded in 1912, is the 5th largest P&C insurance company in the United States and a dominant workers compensation insurer in the USA. At the end of the 3rd quarter of 2010 it had $65B in assets.
Helpful Links
- Information about non qualified assignments
- **Download BARCO Notice of Financial Commitment for Non Qualified Assignment for the full terms
- Need a Non Qualified Structured Settlement quote?
- Barco Assignments Ltd.
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