RT Journal Article
SR Electronic
T1 Securitizing Structured Settlement Payment Streams:
A Primer
JF The Journal of Structured Finance
FD Institutional Investor Journals
SP 62
OP 69
DO 10.3905/jsf.2012.18.3.062
VO 18
IS 3
A1 Stefano Sola
A1 Phil Donahue
YR 2012
UL https://pm-research.com/content/18/3/62.abstract
AB The term “structured settlement” refers to a broad category of financial resolutions between an aggrieved party and a party deemed to be responsible (or their insurer). In a structured settlement, often used to settle wrongful death and personal injury cases, the plaintiff is paid money over time, rather than in a single lump sum. This article provides an introduction to structured settlements, including how they benefit plaintiffs and insurers, how they are underwritten, how their transactions function, how they are securitized, how they have performed in the asset-backed securities marketplace, and how their risks are uncorrelated to the risks to which many other asset classes are exposed.TOPICS: Legal and regulatory issues for structured finance, legal/regulatory/public policy