[Willis]

(02-12-2016, 02:43 PM)1171 Wrote: To my knowledge this fee issue is unsettled in California; especially since MSA are optional/at the workers own risk.

Thank you guys for the input. I've been under the impression that.

A. MSA's are subjected to attorney fees.

B. I didn't know, and will confirm, that the MSA is an option and not a requirement.

From my perspective the longer this drags on the MSA "set aside" would shrink annually since it's based on a person's rated age. Hence if 2-3 years pass they would deduct those proposed amounts from the MSA itself. I'm 64 and they apparently don't think I'll live that long anyway. I'm thinking that this was the logic for setting it up as a structured MSA in the first place.

I did bring this question to my attorney and the funny thing is I received a status conference letter right after since this could potentially affect his "cut".

TBC

[1171]

so you are saying the annuity payments to your MSA are not fixed as to amount and frequency?

[Willis]

(02-15-2016, 05:23 PM)1171 Wrote: so you are saying the annuity payments to your MSA are not fixed as to amount and frequency?

1171. Yes they were fixed to amount and frequency but what I'm thinking and wondering is if the original "structured" MSA was originally proposed in Sept. 2014 at a given amount per year for their perceived rated age and lifespan. The longer it takes to settle the suit my lifespan would be reduced accordingly and that in turn would reduce the amount of MSA.

So if they proposed a settlement amount for 100K over a 10 year span if my lifespan is reduced by 2 years that would be mean they'd only be on the hook for 80K.

The services that would be required would be reduced.
Medications, P.T., annual doctor visits etc.

I would think this would/could also reduce any percentage the attorney would be entitled to as well.

Not sure why my attorney would agree to this and the structured MSA was the W/C carriers proposal. As soon as I asked this question of my attorney all of a sudden a case management hearing was set up by my attorney.

These attorneys have so many clients they rely on assistants and lord only knows when he gets some of this info.

I do have a call in to him and will follow up tomorrow. Would really like this resolved.

When I originally asked about the MSA I wasn't aware I had a choice. I think I do and should.

Thanks much for your input.

Willis

[1171]

don't confuse a cost/payout estimate with reality.
generally the annuity is for your life however short or long it ends up. the actuarial tables don't apply to a specific individual but to a population.
if you die tomorrow, they pay less. if you die in 20 years they pay more.
neither party knows ahead of time what the ultimate cost will be. I don't see an advantage to either party.

[Willis]

(02-15-2016, 10:41 PM)1171 Wrote: don't confuse a cost/payout  estimate with reality.
generally the annuity is for your life however short or long it ends up. the actuarial tables don't apply to a specific individual but to a population.
if you die tomorrow, they pay less. if you die in 20 years they pay more.
neither party knows ahead of time what the ultimate cost will be. I don't see an advantage to either party.

Not confusing the  reality.

Just thinking that the structured annuity benefits the insurance company versus a lump sum annuity. Settling it as a lump sum would mean deposited funds now for the entire amount vs annual pmts. Am I missing something?

[1171]

yes, the carrier/employer might obtain a small amount of interest. generally it's not worth the hassle and expense of keeping your account open and managed for years. the overhead and risk of penalty for late payments makes the costs far outweigh those savings.

[Willis]

(02-16-2016, 03:37 PM)1171 Wrote: yes, the carrier/employer might obtain a small amount of interest. generally it's not worth the hassle and expense of keeping your account open and managed for years. the overhead and risk of penalty for late payments makes the costs far outweigh those savings.

Makes sense and I certainly hope you're right.
Thank you so much for valuable input.
Willis.

[1171]

you're welcome.
be well.

[Willis]

(02-17-2016, 04:35 PM)1171 Wrote: you're welcome.
be well.

Thank you.

Will be posting another topic soon regarding Whole Person ratings. I'll look forward to your valuable input.

Take care, Willis

[just so]

(02-10-2016, 11:09 PM)Willis Wrote: Apparently my w/comp. carrier or attorney has determined to set me up with a structured MSA instead of a lump sum MSA.

Do I or shouldn't I get a choice in the matter?

If I pass away during the payment period ( my estimated lifespan)  will my estate get the balance of undeposited funds?

Now I know my attorney is planning on taking his fees from the total settlement amount including those that could turn out to be unpaid. How can he be entitled to  collect his percentage of funds that are TBD?

Can anyone tell me what my options on this are?

Willis
Here's a link which may throw some light on your questions

https://www.getmedlegal.com/articles/art...myths.html