How a structured settlement is handled during a divorce depends on the approach your state takes to asset division. States divide assets according to either 'equitable distribution' or 'community property.' • If you live in a state with equitable distribution, and you received the settlement before you were married, it is likely you will keep the settlement. • According to community property, on the other hand, anything either spouse owned before and during the marriage is considered property of the union and can be subject to division. In any state, the division of assets doesn’t mean the settlement check itself gets divided. Typically, the spouse who doesn’t keep the settlement will get a different asset to balance out the overall division of assets. If you have a settlement and are facing divorce, you may want to hire a lawyer or mediator with experience handling complex assets.