by Structured Settlement Watchdog®
Roger Proctor is CEO of Genex Capital in Vancouver. His latest "hemmerhoid" is 4 paragraphs of commentary about the reduction in employee benefits packages offered to employees which he then uses to cast doubt on structured settlements in an egregious over the top effort to get people to cash them in.
Here is an excerpt:
"This national pension elimination has many people wondering what options exist for those employees who devoted years of service with the confident knowledge that a pension would supply them with the necessary financial security to retire? Unfortunately, there is no precise answer and, ultimately, these individuals are forced to find alternative means of financial support through their retirement years on their own.
Understandably, this national pension minimizing effect has been the impetus causing many recipients of structured settlements to begin to question the security offered in these government backed guaranteed payments. Given the seemingly overnight disappearance of pension plans, it is not challenging to understand why many structured settlement recipients are responsibly wondering how much longer their promised periodic payments will be maintained. In all actuality, no one can predict the future, but structured settlements could certainly begin to disappear too.
Underlines added for emphasis
Commentary about "The Bum of All Fears"
FACT: The decision of employers to reduce or eliminate employee benefit offerings has nothing to do with structured settlements.
FACT: In a DB plan, a worker's benefit is determined by his/her work history and the terms of his/her employer's plan, while in a DC plan, a worker's benefit is determined by his/her own and his/her employer's contributions and by the return on invested assets. The worker may take on a greater absorption of market risk with the latter.
FACT: Pension plans have not disappeared overnight. The shift from defined benefit pension plans to defined contribution pension plans has occurred over a 20 year period (Source: National Bureau of Economic Research)
FACT: A structured settlement is determined by an agreement between settlement parties to a claim or lawsuit.
FACT: The insurers writing structured settlements are among the largest insurers in the United States.
FACT: Many life insurance companies issuing structured settlement annuities, or their parent companies, have been in existence and keeping promises for well over 100 years.
The elimination, reduction or risk shifting of pension plan programs is all the more reason why settling plaintiffs should consider structured settlements
The elimination, reduction or risk shifting of pension plan programs is all the more reason why those with existing structured settlements should avoid selling them except as a last resort.
Factoring companies like Genex Capital should not demean themselves or their industry by making such ridiculous analogies. Surely there are valid reasons to do business, right? Someone? Anyone?
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