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Structured Settlements: Person
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In this article, Heber Smith discusses criteria which are useful in the determination of the suitability of structured settlements. Amongst other benefits, Revenue Canada may make a significant imputed contribution to a personal injury settlement through reduced taxation. He identifies those instances in which this tax contribution may be of particular significance.
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A structured settlement is a way of settling a claim for personal injury compensation. These claims will be common law negligence claims for motor vehicle accidents, sporting accidents, public liability, product liability or medical indemnity. Structured settlements are not possible for workers’ compensation type claims.
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A structured settlement is essentially a financial agreement between an insurance company and an individual. Typically, they are used when a person has been injured in an accident, at their workplace, or through medical negligence.
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