Brad Cecil Episode 1: Ringler settlement advisor Brad Cecil answers the question, “What is a Structured Settlement?” He’ll explain how they are used to provide safety, security and peace of mind for people who have received a significant injury settlement and need to protect those funds for the future.

Structured Settlements

This tax-free option for victims of personal injuries and workers’ compensation-related injuries are a terrific tool for many individuals and their families. The process normally begins when an attorney recognizes the need for and value provided by Ringler, on behalf of his/her client.

Brad meets with the injured person (or his/her representative) to learn about that person’s situation. He uses the opportunity to fully explain what a structured settlement is and how it can help.

Rather than receiving a large lump sum of cash from a legal settlement, the client may decide to take that money in scheduled payments, over time. There are multiple advantages to this approach. For some, handling a significant amount of money all at once could be intimidating. Also, it’s a tempting target for friends and relatives who may need a “favor.” At the same time, depending upon what is done with that lump sum payment, the value could go down in value (assuming it was invested in the stock market or some other volatile option).

How Can the Structured Settlement Funds be Used?

Primarily, the funds could be allocated for college expenses, paying fixed expenses such as mortgage payments, medical expenses, purchasing specially-adapted vehicles to accommodate wheelchairs and other needs, for example.

Brad recommends the first area to consider is paying off all current debts. The household’s income stream may be significantly different if the injured person is unable to return to work. Structured settlement funds can provide a consistent source of income.

The settlement can provide cash to keep in savings for emergencies. The injured person and/or the person’s representative can determine how much to set aside for this purpose. The structured settlement can be customized to satisfy the person’s needs and concerns.

Depending upon the amount of the legal settlement, using a structured settlement can provide income for a person’s lifetime. It’s a way to guarantee the security of knowing the funds will be there, on a tax-free basis, to help. Brad often refers to this as “mailbox money.”

Who Needs a Structured Settlement?

The government approved this type of financial tool specifically for people who have been injured and are receiving a monetary settlement. This is how the growth and interest remains tax-free, along with the funds themselves.

Structured settlements are typically used for people hurt in car wrecks, motorcycle accidents, collisions with a tractor trailers and even workplace injuries. Brad comments that lump sum workers’ compensation settlement awards are ideal for structured settlements. That ability to provide an ongoing, secure source of money is often a welcomed relief for injury victims and their families.

Are there Risks to Simply Investing an Injury Settlement?

Investing in the stock market by definition involves a level of risk. If you are going to depend on your settlement funds, that’s not always the best option.

If you do want to invest part of your settlement funds, a structure can work as a more conservative component of your financial plan to offset the risks of market fluctuations. Again, your structured settlement provides funds that are guaranteed and are tax-free. It’s about having safety, security and peace of mind.

Brad Describes His First Meeting with a Client

Brad explains that he uses this opportunity to initially discuss three important issues. The person’s wants, needs and key concerns. Brad takes time to understand the situation so he can customize a structure, which addresses those issues.

According to Brad, it’s usually better to engage him as early as possible in the settlement process. This enables him to spot issues or gaps that can be considered.

If Medicaid or Medicare benefits are involved, Brad can work to ensure the payments from the structured settlement don’t interfere with the person’s ability to maximize any means-tested benefits. A special needs trust could be established to protect the benefits, as well as the funds placed in the structure. It’s all about helping the injured person to protect and preserve all possible sources of funds and/or benefits.

Don’t Run out of Money

We’ve all heard of lottery winners who later end up filing for bankruptcy. If you are receiving a significant injury settlement, you can’t afford to burn through those funds. This is especially important if the funds will be needed for ongoing medical expenses and medical care.

Most people are unfamiliar with this type of financial tool. Brad comments that by taking the time to speak with him about Ringler’s structured settlement options, the person will be able to make a more informed decision about how best to handle his/her injury settlement.

Brad Cecil is located in Louisville, Kentucky, but is able to work with people throughout the region and the country, at large. He’s not restricted to a specific territory.

If You’d Like to Contact Brad Cecil:

Phone: (502) 499-2086

Email: BCecil@RinglerAssociates.com

Website: www.RinglerAssociates.com

As we wrap up this episode, Brad shares a few comments about how previous clients mention how glad they were that they decided to work with him and Ringler to set up a structured settlement. It’s a terrific way to be able to help someone, when they need it the most.

If you’re an attorney who would like to speak with Brad, please don’t hesitate to contact him. Often a brief conversation can result in long-term security for your client and his/her family. Brad’s here to help you and your clients to make informed decisions.

Thank you for taking the time to listen to this interview with Brad Cecil on the Ringler Settlement Advisors Podcast.

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