Structured Settlements 4Real®Blog 2026

Domestic Non-Qualified Assignment with Funding Agreement

NQA-Flex Agreement is not constrained by IRC 72(u)

MetlIfe has introduced the Non-Qualified Assignment Flex Agreement (NQA-FA) The NQA FA solution provides anthe same reliability and strength you expect from MetLife, while offering enhanced payment flexibility beyond its traditional Non-Qualified Assignment solution. 

Key Highlights of NQA-Flex Funding Agreement

• Funding agreement product supports deferred payment start dates, lump sum benefits, annual increases, and other flexible payment features.
• New alternative and complementary settlement tool defendants/insurers can use to resolve non-physical injury claims and lawsuits through periodic payments while transferring those payment obligations to MetLife’s Assignment Company.
• Issued by MetLife Assignment Company, Inc. and Metropolitan Tower Life Insurance Company, both domestic US-based entities.
• Not Subject to IRC 72(u)
• Deferred Lump-sum payments are possible‒
• Annual increases and customized payment designs•
• Payments must be guaranteed and not life-contingent•
• May allow non-natural persons (e.g., businesses or corporations) as payees (requires MetLife home office approval)
• Maximum Deferral 15 years (compared to one year for the annuity funded non qualified assignment),
• Maximum certain period is 40 years

How Does Standard Non-Qualified Assignment Work?

• MetLife traditional Non-Qualified Assignment (NQA) product is an annuity-based solution designed to accept the transfer of a defendant’s/insurer’s periodic payment obligation for certain non-physical injury cases.
• Key Payment Characteristics of Traditional NQA
  • Subject to IRC 72(u)•
  • Requires immediate payments, to begin within one year from purchase
  • Must be made in substantially equal amounts
  • Life-contingent payments are permitted

Potential Uses for Both NQA and NQA-Flex

The NQA and the NQA-FA may be used to resolved non-physical injury matters including, but not
limited to:

• Employment Litigation
  ‒ Wrongful Termination
  ‒ Sexual Harassment
  ‒ Discrimination
  ‒ Mental Anguish
• Construction Defect Claims and Suits
• Contract Disputes
• Punitive Damages
• Environmental Claims
• D&O and E&O claims
• Intellectual Property
• Attorney Fees associated with these types of cases
• Wrongful Birth/Wrongful Life

Related Reading

What are Non Qualified Structured Settlements and Non Qualified Assignments for Tax Deferral March 16, 2025

Do Structured Settlement Payments Have to Be Equal Payments? – Structured Settlements 4Real®Blog July 8, 2024

Tax Issues in Settlements of Claims with Allegations of Sexual Misconduct and Sexual Harassment August 8, 2023

Non Qualified Assignment vs Qualified Assignment | The Difference April 2, 2018

Do Structured Settlement Payments Need to Be Equal Payments? – Structured Settlements 4Real®Blog May 10, 2023

Are Damages in Wrongful Life and Wrongful Birth Cases Taxable? – Wood LLP 06/27/19

⭐ X. Timeline note: MetLife’s NQA‑Flex Agreement was circulating by April 5 (with earlier communications before that), and several brokers published April 5–6. Settlement Decisions — clearly not A‑list — posted more than three months later, consistent with their content‑scraper pattern. They also failed to recognize that the first Funding Agreement‑based NQA structure was introduced by another insurer in 2020.

From:@metlife.com>
Sent: Tuesday, April 7, 2026 3:26 PM
Subject: Reminder: Announcing a new Deferred Payment Solution for Non-Physical Injury Cases

Announcing a new Deferred Payment Solution for Non-Physical Injury Cases

At MetLife, we are committed to helping you grow your business by expanding access to innovative solutions. As client needs evolve, so do our offerings. We are pleased to introduce a new deferred payment option for non physical injury cases.Introducing the Non-Qualified Assignment Flex Agreement (NQA-FA)The NQA FA solution provides the same reliability and strength you expect from MetLife, while offering enhanced payment flexibility beyond our traditional Non-Qualified Assignment solution. Key Highlights of (NQA-FA):1A structured settlement solution for non-physical injury cases that enables claimants and their attorneys to manage tax obligations through a variety of payment options. 2A funding agreement product that supports deferred payment start dates, lump sum benefits, annual increases, and other flexible payment features. 3A settlement tool defendants/insurers can use to resolve non-physical injury claims and lawsuits through periodic payments while transferring those payment obligations to MetLife’s Assignment Company. 4Issued by MetLife Assignment Company, Inc. and Metropolitan Tower Life Insurance Company, both US-based entities. Please find attached the NQA-FA product guidelines and consider joining us tomorrow for a training session for an in-depth look at this new offering. Additional materials are also available in your CaseLink resources Register for the training session here: Wednesday, April 8th 1PM ET At MetLife, we remain committed to streamlining business processes, delivering solutions aligned with your clients’ objectives, and supporting the continued growth of your business. The launch of NQA-FA reflects that commitment and expands the tools available to you in the non-physical injury space.