When you are entering the negotiation phases of a settlement agreement with an insurance company or another party, you may work with a structured settlement broker to determine what the total settlement amount should be and also to work through the post-negotiation process. Structured settlement brokers can also serve as a middleman during the sale of a structured settlement. When they are involved in the negotiation phases, structured settlement brokers serve as intermediaries between the beneficiary and the defendant to ensure that the beneficiary will be receiving an award amount that is fair. A broker may perform a financial analysis for the plaintiff, mediate negotiations and even offer some tax-planning advice as needed.

Selling with a Structured Settlement Broker

When the structured settlement broker serves as a middleman during a sale of a structured settlement, the broker will find a suitable buyer for the payments and earn a commission based on the sale. A qualified, licensed, insured and bonded broker can help those who are interested in getting a lump sum payment from their structured settlement or cash for some of their structured settlement payments. Structured settlement brokers do all the leg work to find a suitable buyer and will contact the beneficiary when they feel they have found a buyer who is offering the best price.

It is in a structured settlement broker's best interest to find a buyer who is willing to pay a high price for your structured settlement because he or she will be earning a commission from the sale.

Working with Structured Settlement Brokers

Structured settlement brokers work on behalf of the beneficiary and can make the selling of structured settlements much easier. If you decide to sell the structured settlement on your own, you may not end up finding a buyer who offers a great price. Structured settlement brokers know how to seek out buyers who are willing to pay the highest price for a settlement, and are also aware of all Federal and state laws that govern the transaction.

When you are seeking out the help of structured settlement brokers, make sure they are licensed and insured, and are registered with the Department of Justice. These brokers will be entrusted with some sensitive information so it's important that they have a clean record and can provide services that are free of errors or major mistakes. You will also need to find a broker that offers the lowest commission rates, without compromising on the quality of the services provided. Your broker will work hard to find a buyer that offers a high purchase price for your settlement, but they will also take a cut from the sale.

Structured settlement brokers typically have access to several buyers and resources to find buyers when they have a settlement available for sale. They can obtain offers from several potential buyers fairly quickly, and can help to coordinate the entire sales process. This is the service that you are paying for when you are working with a structure d settlement broker, so consider hiring a broker instead of just selling your structured settlement to the first financial company you find on your own.