Why Vanasse Law?

See the many reasons Vanasse Law’s dedication, expertise and personal attention makes us THE best choice for injured workers in central Pennsylvania.

Learn More >


“I am so thankful that I was referred to Vanasse Law for my workmans comp claim. Mike & Loraine put me at ease and the outcome was better than I expected…”

More Testimonials >

    Get a Free Case Evaluation
    Same-Day Response Time


    I have read the disclaimer.
    Privacy Policy

    Are There Advantages to a Lump Sum Settlement Rather than a Structured Settlement?

    Tort Personal InjuryLump Sum Settlements

    A lump sum settlement pays your workers’ compensation payment on a full and final basis, closing your claim. The disadvantage of this is that you will not be able to file any additional treatments that you need later or any additional diagnosis that may arise as a result of the injury. The biggest advantage of a lump-sum settlement would be the ability to invest the money in a way that might provide you with an additional source of income.

    Structured Settlement

    A structured settlement provides guaranteed payments, usually on a weekly, monthly or annual basis. It may be set up as a payment for a specific duration, or it may be set up as a payment for the rest of the injured worker’s life. The advantages of a structured settlement are twofold: first, it guarantees income over an extended period, providing for both medical expenses and living expenses. It also has the advantage of being paid in nontaxable payments, where the interest earned on a lump sum settlement will be taxable. The downside of a structured settlement is that if you decide in the future that you’d prefer to have all the balance of your compensation paid out in a single payment, it may be impossible or subject to financial penalties.

    Making the decision between a lump sum or a structured settlement requires careful thought and consideration of your needs and level of discipline. There’s no doubt that a structured settlement will prevent you from spending more than you should and provide you with a completely reliable source of income. For guidance on this and other workers’ compensation questions, contact Vanasse Law to set up a personal consultation.