by Structured Settlement Watchdog®
Settlement purchasers may make a lot of noise on TV and on the internet but they only generated $365M present value secondary market purchases
This number represented only 7.1% of new money flowing into structured settlement annuities in 2013. [Source: S2KM]
The statistics, which are relatively unchanged from what could be deduced from the May 7, 2009 disclosure JG Wentworth entered in its bankruptcy filing, show that despite non existent or toothless regulation of sales practices and documented levels corruption, unethical and, in some cases, illegal business tactics employed by certain participants in the structured settlement secondary market to obtain and close business, the business is less of a threat to the structured settlement primary market than previously thought.
The structured settlement secondary market serves a legitimate business purpose, however a number of its participants exploit the regulatory gap to put Americans in harm's way.
Participants in the structured settlement secondary market must agree to some form of regulation in order to maximize the market potential and achieve legitimacy as a profession.
In the meantime the Louis Brandeis adage that "sunlight is the best of disinfectants" applies.