Interest in single premium immediate annuities is emerging among insurers, financial advisers and clients, according to the April 2011 issue of Best's Review (p68). Structured settlement annuities combined elements of single premium immediate annuities and deferred annuities as well as other types of cash flows.
The second and quarters are slated to see the largest increase in structured settlement market capacity for some time with the following companies entering or returning and increasing overall capacity
Berkshire Hathaway (returned to the market)
May 1, 2011
USAA Life and USAA Life of NY (wider rollout for use beyond USAA casualty cases)
June 2011 (estimated)
United of Omaha
Hartford Life Insurance Company (returning to the market after 1 1/2 years).
Tulsa Oklahoma "head hunter" Richard B. Risk, Esq. didn't kill them after all. Apparently it was just a "flesh wound"
Best Review says (and plaintiff attorneys and plaintiffs should take note) "the problem for advisers has always been that SPIA purchases (and structured settlements) detract from assets under management. a basis for how much advisers get paid in their practices".
CAVEAT TO PLAINTIFF LAWYERS, ADJUSTERS and INJURED PERSONS
While we heartily welcome all these markets back, recognize that life insurance companies are institutional "battleships", that roll out their product slowly so they can gear up their systems to handle capacity. The structured settlement watchdog would like to issue a warning that some early structured settlement broker appointees may attempt to solicit you based on the idea that they have one or more markets than another company. Don't fall for the trap. There are plenty of high quality structured annuity companies in play now and, regardless of how many markets enter, some of the companies that are already in play have shown stability by having stayed the course during and after the financial crisis.
Also please note that some of the new entrants may be niche players , have unique underwriting requirements and may not offer rated ages.