P.R. Laws tit. 26, § 1135
(1) The benefits, rights, privileges and options which the annuitant may have under any annuity contract shall be free of claims from his/her creditors, and the creditors shall not be allowed to interfere with or terminate the contract except:
(a) As to amounts paid for or as premium on any such annuity with intent to defraud creditors, with interest thereon, but with respect only to annuity payments payable after final judgment of a court establishing the fact of fraud, and after written notice of such judgment has been filed with the insurer at his home office.
(b) The total exemption of benefits due and payable to any annuitant periodically or at stated times under all annuity contracts under which he/she is an annuitant, shall not at any time exceed one thousand dollars ($1,000) per month for the length of time represented by such installments.
(c) If the total benefits due and payable to any annuitant under all annuity contracts under which he/she is an annuitant shall at any time exceed payment at the rate of one thousand dollars ($1,000) per month, then the court may order such annuitant to pay to a judgment creditor or apply on the judgment, in installments, such portion of such excess benefits as to the court may appear just and proper, after due regard for the reasonable requirements of the judgment debtor and his/her family, if dependent upon him, as well as any payments required to be made by the annuitant to other creditors under prior court orders.
(2) If the contract so provides, the benefits, rights, privileges or options accruing under such contract to a beneficiary or assignee shall not be transferable nor subject to commutation, and if the benefits are payable periodically or at stated times, the same exemptions and exceptions contained herein for the annuitant, shall apply with respect to such beneficiary or assignee.
(3) An annuity contract within the meaning of this section shall be any obligation to pay certain sums at stated times, during life or lives, or for a specified term or terms, issued for a valuable consideration, regardless of whether or not such sums are payable to one or more persons, jointly or otherwise, but does not include payments to beneficiaries on account of death of the insured under life insurance contracts at stated time during life or lives, or for a specified term or terms.
History —Ins. Code § 11.350; June 20, 2007, No. 49, § 2.