Bankruptcy pact ensures payouts; insurance company's bad real estate investments had cast doubt on structured settlement industry
Article Abstract:
A Michigan judge may have dispelled a dark cloud over the US structured settlement industry with his approval of a return-to-solvency plan for Confederated Life Insurance Co, a company with many structured settlement annuitants among its clientele which had been victimized by bad real estate investments. Although no members of the National Structured Settlement Trade Ass'n had Confederated Life clients, the association helped finance Confederated's structured settlement beneficiaries' legal expenses with a special assessment on its members.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1996
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Life after victory: how to insure a win; the world of annuities brings its own risks and pitfalls. Even insurers can go belly-up
Article Abstract:
While plaintiff's attorneys have learned more about structured settlements and annuities, in the past decade the field has become more complex and contentious. The collapse of major insurers, the rise of plaintiffs' brokers, and realization of how a settlement can be skewed in favor of one side or the other have heightened the stakes and the tension. The $4 billion industry has also spawned its own lawsuits, with one in California going forward alleging antitrust violations by companies blackballing plaintiffs' brokers.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1995
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'Winners' caught in a vise: Confederated Life's collapse puts structured settlements in limbo
Article Abstract:
The Georgia Superior Court approved a settlement plan for the troubled Confederation Life Insurance and Annuity Co (CLIAC) despite controversy. Under the plan, Aetna Life Insurance and Annuity Co will buy all of CLIAC's business except its 3800 structured settlement contracts, worth $900 million. About 5000 plaintiffs await the settlement's conclusion, hoping it will end better than the collapse of Executive Life, whose annuitants have been unable to collect all due them from their settlement.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1995
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