Article Rich General What Is Personal Injury Annuity

What Is Personal Injury Annuity

Accidents and injuries happen all the time but they are usually so unpredictable that we rarely think about them until they do. This means we are rarely ever prepared for their effects or the expenses that come with them. Luckily, when they are accidents caused by the negligence of others, the law offers a route to recompense.

According to the cause of action legal theory, a victim that is injured because of the careless, reckless or negligent behaviour of another has the right to seek compensation against the party at fault.

The more typical cases of these kinds of injuries usually include instances of medical malpractice, motor vehicle accidents including cars, commercial vehicles, motorcycles, and pedestrians, slip and fall accidents inside the home where Legacy Countertops haven’t been installed, workplace accidents as well as dog bites. They can also include wrongful death claims, product malfunctions that lead to death, injuries, or other damages and can even include cases where someone makes a statement defaming another’s character, especially if those statements are based in prevarication and lead to loss of revenue.

When these incidents occur, there is legal recompense within the law. What is interesting about many personal injury cases is that they never make it to trial. In fact, 97 percent of cases settle outside of court. The Liebeck v. McDonald’s is a famous personal injury case where Ms Liebeck was initially offered a settlement of $20,000. However, the case eventually went to trial, and she was awarded $2.7 million instead.

When victims are awarded damages, as in Ms Liebeck’s case, they have the option of getting a one-time lump payment or by choosing an annuity.

If both parties choose to sort a personal injury settlement by an annuity, what it means is that the plaintiff will get paid in tranches over an agreed duration. The annuity structure is actually the cheaper option for both parties in the long run. For plaintiffs, it reduces the amount of tax they would be required to pay if they received a lump sum. It also prevents defendants from declaring bankruptcy to avoid the payments. This way, their payments are secure over a period of time and they can make the most of it the best way they see fit.

For defendants, annuities are also cheaper in the long run because of the depreciating dollar. It is also better for them in the case where their insurance is unable to cover the full amount owed to the defendant in a single payment.

Life is unpredictable, and an accident can happen at any time. Sometimes we are in unfortunate situations because of the actions of someone else.If you have been recently injured because of someone else’s negligent choices or willful intent, you likely have a personal injury case on your hands. You need to make sure that you get one of the top personal injury lawyers to represent you and ensure you fall into the 97% that get their settlement.