Structured Settlements

When you settle your ICBC claim, you generally receive a single large payment that covers all your damages, past and future. For large claims, the future income replacement and medical expenses can be significant. To cover those expenses, you need to invest your settlement proceeds. However, the investment income is taxable. A structured settlement can minimize or even eliminate taxes on your settlement. Instead of a single, lump-sum payment, you receive monthly payments over a period of years. These payments are tax-free, and do not even have to be reported on your tax returns.


Supporting your family

Your settlement can have a guarantee period (usually 20-25 years). This guarantees that even if you die, your family will receive the payments for the entire guarantee period. Those payments will also be tax-free.

Can I change my mind?

If you agree to a structured settlement, you cannot change to a lump sum.  However you can design the structured settlement to pay lump sum payments at certain intervals.

Does my entire settlement have to be structured?

No, you have the right to structure just a portion of your settlement. You can use part of your settlement to pay debts, give gifts or buy a home, and then put the rest into a structure settlement.

How long does a structured settlement last?

It’s your choice. Most structured settlements last a lifetime which could result in your structure being worth many millions of dollars- tax-free!

What about creditors?

A structured settlement is protected from creditors: they cannot garnish the principal amount.


In 1982 Bernie Simpson, Senior Partner of Simpson, Thomas & Associates, created headlines when he went above and beyond to ensure his client, a young teenage man who became a paraplegic as the result of a motor vehicle accident, would have enough funds resulting from the settlement of his claim to last for the rest of his life. He became known as the “8 Million Dollar Man.”

See the publications from July of 1982.

Garry Zlotnik of ZLC Financial, one of the leading structured settlement firms in British Columbia, said the following about our role in this field:

Simpson & Company (now Simpson Thomas & Associates) is a trailblazer in the structured settlement field.  Early on this pioneering law firm in personal injury recognized the tax advantages and the worry-free security available to seriously injured clients by a structured settlement.  Simpson Thomas & Associates continues to be an avid supporter in this regard.

Simpson & Company initiated one of the first structured settlements in the Province of BC over 30 years ago and this particular structured settlement has paid out millions over his client’s lifetime, with zero financial risk all tax-free.

The firm’s clients have benefited greatly from the firm’s highly trained lawyers and the guarantee of a secure, tax-free income provided by structured settlements. 

Simpson, Thomas & Associates are mindful of the volatility and risk associated with investment markets and other alternatives to structured settlements and encourages their clients to make informed choices for managing significant settlements.  Thanks to this firm’s perseverance and conscientious approach their clients can focus on getting their life back supported by the financial security and peace of mind provided by their structured settlement.”                                        

                                                                         – Gary Zlotnik, ZLC Financial Group