Written by Jovan Johnson, Esq., Structured Settlement & Annuity Specialist
Industry-Reviewed by Kevin Lowe, COO of Genex Capital, Structured Settlement Secondary Market Specialist
Updated July 23, 2026
If you’re receiving structured settlement payments in Michigan and need cash now, you can sell some or all of your remaining payments — but Michigan’s Revised Structured Settlement Protection Act requires a circuit court judge to approve the sale first, and the state caps the discount rate a buyer can charge. Here’s what selling a structured settlement actually involves in Michigan, step by step.
Can I Sell My Structured Settlement in Michigan?
Yes, you can sell a Michigan structured settlement, in full or in part. Michigan law (MCL 691.1301 et seq., the Revised Structured Settlement Protection Act) requires: a written disclosure statement at least 3 days before you sign anything, a petition filed in circuit court, at least 20 days’ notice before your hearing, and a judge’s finding that the sale is in your best interest. Michigan also caps the discount rate a buyer can apply at 25% per year — one of the only states with a statutory rate ceiling. Most sales close in roughly 45–60 days from signed agreement to funded payment.
See What Your Payments Could Be Worth
Every offer is different, and the only way to know what your specific payments are worth is to get an actual quote — not a generic estimate.
We work with attorneys and partners experienced in Michigan structured settlement transfers to help sellers throughout Detroit, Grand Rapids, Warren, and the rest of the state. You’ll get a real quote based on your actual payment schedule, an explanation of the required disclosures before you sign anything, and guidance through the Michigan circuit court approval process from people who handle these filings regularly. There’s no fee to get a quote, and requesting one doesn’t commit you to selling.
→ Request your free Michigan structured settlement quote
What is a Structured Settlement?
A structured settlement is a set of tax-free payments made on a regular schedule following a lawsuit settlement, typically funded through an annuity issued by an insurance company. Common sources include personal injury, medical malpractice, wrongful death, and workers’ compensation cases.
How to Sell a Structured Settlement in Michigan (Step by Step)
1. Get quotes from more than one factoring company
Industry-wide, discount rates on structured settlement purchases commonly run 9%–18%. Sellers who work with AnnuityFreedom.net’s network have accessed rates as low as 8% in qualifying cases — worth asking about when you compare quotes. Either way, Michigan law caps any rate you’re offered at 25% per year, a protection not every state has.
2. Receive your written disclosure statement — at least 3 days before signing
Under MCL 691.1303, the buyer must give you a disclosure statement, in bold type no smaller than 14 points, at least three days before you sign a transfer agreement. It has to spell out the payments being transferred, their total value, the discounted present value using a federally specified rate, and every fee being deducted.
3. Sign the transfer agreement
Once you’re satisfied with the offer and disclosures, you sign the agreement — but the sale isn’t final yet. Michigan requires the buyer to advise you in writing to seek independent professional advice about the transfer; you can either get that advice or knowingly waive it in writing.
4. Your case is filed in circuit court
Under MCL 691.1306(1), the buyer can file the application for approval in the circuit court of the county where you live, the county where the annuity issuer or obligor has its principal place of business, or the court that originally approved your settlement. That covers the whole state — whether you’re in Detroit, Grand Rapids, Warren, or anywhere else in Michigan, the same rule applies to your home county’s circuit court.
5. Interested parties get at least 20 days’ notice before the hearing
MCL 691.1306(2) requires the buyer to file and serve notice of the proposed transfer on all interested parties at least twenty days before the scheduled hearing.
6. A judge reviews the sale at a court hearing
The judge must find that the transfer is in your best interest, that you were properly advised of your right to independent professional advice, that the discount rate doesn’t exceed 25% per year, and that the transfer doesn’t violate any other court order or law. If your structured settlement agreement restricts assignment and the annuity issuer or obligor formally objects before the hearing, Michigan law adds a stricter test: the court must also find you’ll suffer genuine financial hardship without the sale, and that you’ll still be able to cover your normal living expenses afterward.
7. Funding — typically 45–60 days after you sign
Once the judge signs the approval order, the buyer funds your lump sum.
A Real Driver of Large Michigan Settlements: The No-Fault Auto Insurance System
Michigan has one of the country’s most distinctive auto insurance systems. For decades, the state’s no-fault law required unlimited lifetime medical coverage for catastrophic car accident injuries, backed by the Michigan Catastrophic Claims Association (MCCA) — producing some of the largest personal injury settlements in the country. A 2019 reform now lets drivers choose lower coverage tiers for policies issued after July 2020, but policies issued before that date, and drivers who kept unlimited coverage, can still produce the kind of large, long-term settlements that get structured and, later, sometimes sold.
If Something Goes Wrong: Michigan’s Consumer Protection Resources
- Michigan Department of Insurance and Financial Services (DIFS) — handles complaints involving insurance companies and annuity issuers. Complaint portal: michigan.gov/difs/consumers/complaint, or by phone at 877-999-6442.
A Worked Example
Hypothetical only: a payee owed $1,000/month for 10 more years ($120,000 total) might see an offer in the rough range of $68,000–$74,000 in present-value terms at an 11% discount rate (within the industry-wide 9%–18% range, and well under Michigan’s 25% statutory cap — sellers who qualify for AnnuityFreedom.net’s network rate as low as 8% could see a somewhat higher net figure), before fees — subject to the same court review above.
Michigan Structured Settlement FAQ
How long does it take to sell a structured settlement in Michigan?
Typically 45–60 days, covering the 3-day disclosure period, the 20-day court notice period, and the hearing itself.
How much money will I get for my structured settlement?
It depends on the discount rate applied. Industry-wide, that’s commonly 9%–18%, though sellers who qualify through AnnuityFreedom.net’s network have accessed rates as low as 8% — and Michigan law caps any rate at 25% per year regardless. It also depends on how many payments you’re selling and how far in the future they’re scheduled.
Can I sell only part of my structured settlement?
Yes — Michigan law allows partial transfers, so you can sell a portion of your payments and keep the rest on the original schedule.
Which court handles my case?
The circuit court in your home county, the county where the annuity issuer or obligor is based, or the court that originally approved your settlement — per MCL 691.1306. That applies statewide, not just in Detroit, Grand Rapids, or Warren.
Do I need my own lawyer to sell?
No — Michigan requires that you be advised in writing of your right to independent professional advice, but you can knowingly waive that right in writing if you choose not to use one.
Ready to Get a Real Number?
Now that you know how the process works, the next step is seeing what it means for your specific payments. Get a free, no-obligation quote and walk through the Michigan court process with people who handle these filings regularly.
Sources
- Michigan Compiled Laws § 691.1301 et seq. (Revised Structured Settlement Protection Act)
- MCL § 691.1304 — court order findings, 25% discount rate cap
- Michigan DIFS consumer complaint portal — michigan.gov/difs/consumers/complaint
About the Author: Jovan Johnson, Esq. is a structured settlement & annuity specialist with 12 years of experience, based in California. He has also practiced as an attorney in consumer and small business bankruptcy and debt settlement. Annuity Freedom has been helping clients sell annuity payments since 2017.
About the Reviewer: Kevin Lowe is the Chief Operating Officer of Genex Capital and has more than a decade of experience in specialty finance and the structured settlement secondary market. Since joining Genex in 2013, he has overseen transaction management, investor relations, compliance, and strategic initiatives across the United States, working closely with annuitants, investors, legal professionals, and financial institutions.
Disclaimer: This article is for informational purposes only and isn’t a substitute for independent professional advice.