How to Write a Powerful Demand Letter to the Insurance Companies

Injury Lawyer Personal Injury FAQ's

If you recently sustained serious injuries in a motor vehicle or slip and fall accident, you may be entitled to compensation if you can prove that another party was negligent.  If your case progresses to the point where negotiating a settlement for damages is in order, it helps to have a personal injury lawyer involved with you during negotiations.  However, the most important step in the process is presenting a powerful demand letter to the insurance company prior to the start of negotiations. This will help put you on a stronger footing than before.

Presenting Your Argument

For all intents and purposes, your demand letter is the focal point of the negotiation process.  This is also where you make your strongest arguments regarding your case and the basis for settling your claim.  These arguments typically concern:

  • The nature and extent of your injuries
  • Other damages you suffered as a result of your injuries (e.g. loss of companionship, pain and suffering, etc.)
  • What type of medical treatment you were given and the costs involved
  • Why you are qualified to make your claim against another party
  • Why you feel the other party (defendant) is responsible for your injuries
  • Your lost earning capacity and lost income (past and future)

You should conclude your letter by demanding that the insurance company settle your total claim with a lump sum.

Key Points to Emphasize

Before you start writing your demand letter, you need to remember the details of your accident and injury by reviewing the notes you took in the days and weeks that followed.  This would include your discomfort and pain, the disruption it caused and the impact on your life, the inconvenience it caused you and your family members, medical treatments that ensued, and so on.  Then, when you start composing the demand letter, be sure you incorporate the following elements:

  • Contributory negligence (if your actions contributed to your injuries)
  • Injuries you sustained (documented)
  • Liability (who is responsible)
  • Lost income (past and future)
  • Medical expenses for treatment of your injuries (documented)

Furthermore, you should include any additional losses you may have suffered as a result such as additional or unusual discomforts, any embarrassments attributed to your injuries, and inconveniences that were caused as a result of your injuries.

Your Settlement Demand

The most powerful letter ends with a demand for settlement in the last paragraph of the content.  You should demand a specific amount of money as compensation for lost wages, pain and suffering, and a variety of other losses if they apply in your case.  You should establish an amount that is as much as 75% to 100% more than what you feel your case and claim are worth.  This will provide you with some breathing room once negotiations start.  Most importantly, listen to your personal injury lawyer and the advice they give you. They have  a wealth of experience in similar cases and are usually right.