What happens if the life insurance company my annuity is placed with goes out of business?
Structured Settlements are perhaps the most secure and conservative investment vehicle available to claimants, thus the universal support for the product by all parties. While the primary obligation to make the identified payments falls upon the life insurance company to which premium was submitted, secondary guarantees are in place to ensure funding in the event that the primary company becomes insolvent. In the unlikely event that the primary life company were to default, payments would be assumed by the secondary company, ensuring structured settlement payments are made on time.
