J.G. Wentworth Annuity Purchase Program Aids State Medicaid Programs

BRYN MAWR, Pa.--(BUSINESS WIRE)-- J.G. Wentworth’s Annuity Purchase Program is gaining traction as a result of federal legislation and state budgetary pressures.

“The policies, procedures and rulemaking ensuing from the Deficit Reduction Act of 2005 are now firmly taking hold and their implications for Medicaid are clear,” said J.G. Wentworth Chief Marketing Officer Ken Murray. “Qualifying for Medicaid benefits is subject to much more rigorous scrutiny than before the Deficit Reduction Act was enacted in 2006.”

In addition, the strain on state budgets from flat to declining tax revenues has forced many Medicaid administrators to use the new rules strategically so that they can preserve their Medicaid resources and allocate them where they are needed most.

“We are seeing these market dynamics at work everyday in the incoming calls we are getting from individuals who own fixed annuities,” Mr. Murray said. He added that when individuals are able to pay for their own care it can delay the date when states must provide benefits resulting in preservation of the state’s Medicaid resources. “We believe that as the secondary market for fixed annuities grows, that the impact on the Medicaid program will continue to be favorable.”

About the J.G. Wentworth family of companies

J.G. Wentworth, Inc., based in Bryn Mawr, PA, is the nation’s largest buyer of deferred payments for illiquid financial assets such as structured settlements and annuities. Since 1992, J.G. Wentworth has purchased over $4 billion of future payment obligations from consumers and is also the nation’s largest securitizer of structured settlement and annuity-backed notes.

For more information about J.G. Wentworth, visit www.jgwentworth.com.

J.G. Wentworth, Inc.
David R. Evanson, 610-505-0832
[email protected]

Source: J.G. Wentworth, Inc.