by John Darer® CLU ChFC MSSC RSP CLTC
If your case settles at mediation and there is a wisp of thought of the possibility of a structure, be sure to document the possibility in the mediation agreement.. A lack of attention to detail can cause headaches after a successful day.
What should be done if your client would benefit from a structured settlement, but the options has not yet been discussed?
1. To minimize your client’s transition stress you should help prepare your client to make a significant financial decision by having them speak to a structured settlement expert and/or settlement planner to assess their needs as early as feasibly possible, in advance of mediation.
2. Preserve your clients ability to structure by getting it into the mediation agreement even if the specifics of the structured settlement are still pending.
What are the aspects of settlement that need to be clarified during or prior to the mediation if a structured may be included in the settlement?
- What if any restrictions is the defendant’s insurer imposing on the plaintiff with respect to the selection of structured annuity issuers? Whether it’s a short list of companies, or a minimum A.M.Best rating of A+ you need to know.
- What is the anticipated closing date? Will the defendant or insurer pre-fund the structure?
- Do you want to structure your fees? Is the defense OK with that? For example, if you have a case with Travelers you can be sure that structured attorney fees are off the table.
- Is there going to be a Structured MSA?
A good structured settlement expert should be able to provide the information to you and help you navigate around potential mediation documentation mistakes
Image © Mellimage | Dreamstime.com – Mediation Photo