(b) If a lump sum payment is ordered by the court, such lump sum shall
be calculated on the basis of the present value of remaining periodic
payments, or portions thereof, that are converted into a lump sum
payment. Unless specifically waived by all parties, the annuity contract
executed pursuant to section five thousand forty-two of this article
shall contain a provision authorizing such a lump sum payment if such
payment is approved pursuant to this section. The remaining future
periodic payments, if any, shall be reduced accordingly. For the
purposes of this section, present value shall be calculated based on the
interest rate and mortality assumptions at the time such a lump sum
payment is made as determined by the insurer who has provided the
annuity contract, in accordance with regulations issued by the
superintendent of financial services.
Structure New York Laws