Section 2220. Payment of share of infant, incompetent or conservatee or person under disability 1

Where  an  infant,  incompetent,  conservatee,  or  person  under
  disability is entitled to money or property as beneficiary of an  estate
  or  to the proceeds of any action brought as prescribed in EPTL 5-4.1 or
  to the proceeds of a settlement  of  a  cause  of  action  for  personal
  injuries,  the decree or order shall direct that it be paid or delivered
  to the guardian, committee or conservator of the property of such person
  upon the filing of sufficient security, except as provided in EPTL 7-4.9
  or 11-1.1, unless the money or property payable or  deliverable  to  the
  infant, incompetent, or conservatee, or person under disability does not
  exceed  in value $10,000, in which case the decree or order may order it
  to be paid or delivered to a parent of such person or to some  competent
  adult  with  whom  such  person resides or who has some interest in such
  person's welfare, for the use and benefit of such person.
    2. If the sum payable to a patient in  an  institution  in  the  state
  department  of  mental  hygiene is not in excess of the amount which the
  director of the institution is authorized to receive pursuant to section
  29.23 of the mental hygiene law, the decree or order may order it to  be
  paid to such director for use as provided in that section.
    3.  If  there be no guardian, committee or conservator of the property
  the decree or order may provide that the  sum  payable  to  the  infant,
  incompetent or person under substantial impairment within the meaning of
  the  conservatorship  provisions  of article seventy-seven of the mental
  hygiene law not disposed of as above be paid into the court or the court
  may order that money constituting any part of the property be  deposited
  in one or more specified insured banks or trust companies or be invested
  in   one  or  more  specified  accounts  in  insured  savings  and  loan
  associations subject to withdrawal only upon order of the court,  except
  that  no court order shall be required to pay over to the infant who has
  attained the age of  eighteen  years  all  moneys  so  held  unless  the
  depository  is  in  receipt  of  an  order  from  a  court  of competent
  jurisdiction directing it to withhold such payment beyond  the  infant's
  eighteenth birthday.
    4.  If  money  or property is payable or deliverable under subdivision
  one of this section to a person under disability as defined  in  article
  seventy-seven  of the mental hygiene law, the court may pursuant to such
  article appoint a  conservator  provided  that:  the  person  under  the
  disability resides within the county in which the proceeding is pending;
  no  guardian, committee or conservator has been appointed by the supreme
  court or county court; and the money  or  property  is  to  be  paid  or
  delivered to the conservator.
    5.  If  any proceeds payable to an infant, incompetent or person under
  disability pursuant to this section are proposed to be paid by way of  a
  structured  settlement,  which  shall include any settlement whose terms
  contain provisions for the payment of funds on an installment basis, the
  court may approve such settlement, provided that, with respect to future
  installment payments, the court may order that  each  party  liable  for
  such payments shall fund such payments, in an amount necessary to assure
  the  future  payments,  in the form of an annuity contract executed by a
  qualified insurer  and  approved  by  the  superintendent  of  insurance
  pursuant  to  articles fifty-A and fifty-B of the civil practice law and
  rules.