Structured Settlements: Loss Of Value In Current Market From Insurance Risks

March 4, 2009 - PRLog -- People with Structured Settlement Annuities have a valid reason to be concerned.  Recent downgrades of insurance company ratings and the lockup of the credit markets have created an unfortunate situation for people wanting out of their structured settlement annuities.  People want to get out of their structured settlement annuities lately for two reasons.  With the current economy, most need the money more than ever and the others have fears that the economy will destroy the insurance industry and they will be left with only a small portion of their settlement that will be covered by the state insurance pools.

Unfortunately even if they want to get rid of their settlement annuities, there is another obstacle, the credit markets.  Because of the increased risk, funding companies are now charging more in interest to take on the risk that an annuitant’s insurance company might be downgraded or go under.

At the current time a lot of funders will not even look at some of the insurance companies because of the increased risk.

So what should people do that have structured settlements or annuities?  They might want to consider cutting their losses and taking what they can from their settlements and moving it into a more secure investment like real estate or gold.

fairfieldfunding.com

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Fairfield Funding is a leading buyer of structured settlement and annuity payments. We are a direct funder and make sure that customer service is our # 1 priority.