How to Write a Letter to an Insurance Company Requesting Money
When you have been injured as the result of an accident that someone else is responsible for, receiving just compensation from the insurance company may not be as cut and dried as you think it should be. The insurance company will try to pay as little as possible, overlooking your time off work and pain and suffering in order to save themselves some money. Often you have to request the settlement amount through a demand letter. Writing a demand letter well is the key to receiving a fair settlement, so take the time to craft yours well before you send it.
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Instructions
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Write the letter using professional business letter format. Place your address, without your name, in the upper right corner by placing the left edge of the address even with the center of your page. Double space below the address and add the date on the same side. One line below that on the left of the page add the name of the recipient and the insurance company's address.
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Address the letter to the company representative a formal salutation, like "Dear Mr. Smith," followed by a colon. If you do not know the name, "Dear Sir or Madam" or "To Whom It May Concern" is appropriate.
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Begin each single-spaced paragraph with a half-inch indentation, with a line between each paragraph. Close the letter with "Sincerely," on the right-hand side of the page even with the sender's address, skipping four lines and typing your name in the same location. Once the letter is printed, sign your name in the space between the closing and your typed name.
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As part of the letter, state that you are interested in negotiating a settlement and will file a lawsuit if that is not possible.
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Explain why the other person holds legal responsibility for these costs by restating the facts of the case, including information about where you were, what you were doing and how the other person caused the accident. If you have any eye-witness accounts, include those.
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Describe your injuries, damage to your property and any other damages suffered as a result of the accident or event. Be detailed and include information about treatments, pain, suffering and difficulty you experienced. Use medically specific terminology whenever possible, such as "herniated disk" instead of "back pain."
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State your income loss, the cost of treatment, the price for repairs and the estimated value of your pain and suffering
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Ask for a lump sum to settle your entire claim. Consider making this 75 to 100 percent higher than what you would be comfortable receiving, giving you some room for negotiation.
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Send the letter along with copies of all supporting documents, such as medical bills and reports, receipts form repairs, letters from your attorney or anything else that lends support to the claims you are making.
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Tips & Warnings
When writing a letter demanding money from an insurance company, your words need to be direct and firm, indicating you will file a lawsuit if they do not comply.
If you claim any fault for the accident or event in your letter, your chances of negotiating will be harmed. Avoid this, even if you feel that you were somehow negligent or partially at fault. That is for the insurance company to determine.
While you want to list your injuries and losses accurately and completely, you do not want to be overly dramatic. The insurance company will ignore claims that appear false or inflated.
