[nascarnation]

Interesting observation.
I wonder if the money depends on the financial solvency of the state or are they “insured” by some financial organization like an annuity.

[PubliusMM]

I believe the winnings are funded for annual payment models by purchase of annuity instruments, with the ‘single payment cash’ value set at the same as the cost of the annuity.

[E. Pluribus Unum]

I wonder if the money depends on the financial solvency of the state or are they “insured” by some financial organization like an annuity.

The lottery purchases an annuity from an outside financial institution.