Growth potential, downside risk protection, tax benefits
Prudential Income Advantage Indexed Structured Settlement™ (Income Advantage), is an index linked structured settlement annuity product
Along with many of the benefits that a traditional structured settlement delivers, Income Advantage provides:
- an opportunity for market-linked gains during a deferral period, with growth linked to the S&P 500®,
- guarantees a minimum payment amount.
- U.S. domiciled annuity issuer
- U.S. domiciled qualified assignment company
- Provides another indexed structured settlement option that has the potential to grow funds received through a physical injury settlement while also offering protection from market declines, without the need to go offshore. for any component of the transaction.
- Prudential has received two IRS Private Letter Rulings that support the transaction. SeeIRS PLR 107798-23 and IRS PLR 109799-2 published October 30, 2023.
A Prudential Income Advantage structured settlement explainer video appears further down the page. Scroll down to view
Who issues the Prudential Income Advantage Indexed Structured Settlement Annuity?
The new structured settlement annuity is issued by The Prudential Insurance Company of America, which traces its roots back to 1875.
At time of posting, The Prudential Insurance Company of America holds the following ratings
A. M. Best Rated A+
Standard & Poors AA-
Moodys Aa3
Fitch Ratings AA-
- Fortune® World’s Most Admired Companies™ 2025 “Insurance: Life and Health” category
- Ethisphere World’s Most Ethical Companies® 2025 (11th consecutive year)
- Fortune 500® list of America’s largest corporations
- Largest life insurer in the United States (life and health combined) based on total admitted asset
- 5th-largest seller of individual life insurance in the United States based on new recurring premium
- 3rd-largest insurer in the United States based on net premiums
How Does Prudential's Income Advantage Compare to Other Index Linked Structured Settlement Annuities?
A. Compared to other domestic index linked structured settlement
- Higher cap than other domestic index linked structured settlement
- Indexing begins from the outset rather than when payments start
B Compared to other index linked structured settlement providers
- No need for non-domestic assignmment company for qualified structured settlements
- The S&P 500 is 2nd of the Top 10 most recognized indexes in the world. See What Are the Major Stock Indices in the World? | 2024 Edition | FXSSI – Forex Sentiment Board
- Superior financial ratings
- Superior company longevity
- Superior company size
Note
- Prudential Income Advantage is not available for non qualfied assignments, while certain other product providers provide non qualified assignment solutions.
- Non-domestic non qualified assignment companies are an important solution where the damages being structured do not qualify under IRC 130, the section of the United States Code that governs Qualified Assignments.
- What is a Qualified Assignment? (4structures.com)
- What are Non Qualified Assignments for? (4structures.com)
- Non Qualified Assignment vs Qualified Assignment (4structures.com)
