Sample Demand Letter for a Car Accident Settlement

‍What Is a Demand Letter For A Car Accident Settlement?

A demand letter is a formal document sent to the at-fault driver's insurance company.

It outlines the details of the accident, the injuries sustained, and the financial losses incurred.

It serves as a formal request for compensation and initiates the settlement negotiation process.

How To Write a Professional Demand Letter for Car Accident Damage

Like many formal letters, it pays to approach writing an insurance demand letter in a systematic way.

Here’s what we recommend:

1. Organize Necessary Information

Before drafting your demand letter, gather all relevant documentation:

• ‍Police report: Obtain a copy from the investigating officer.‍
• Medical records: Collect all medical bills, doctor's notes, and any other relevant medical documents.‍
• Photographs: Take photos of the scene, vehicle damage, and any injuries.‍
• Witness statements: If any witnesses were present, obtain their contact information and statements.‍
• Repair estimates: Obtain estimates for vehicle repairs.‍
• Pay stubs: Document any lost wages due to missed work.

2. Provide Basic Information

All claims are information heavy. The more you provide, the smoother the process should go.

Make sure to include:

• ‍Your contact information: Include your full name, address, phone number, and email address.‍
• Insurance information: Include your insurance policy number and the name of your insurance company.‍
• Date of the accident: Clearly state the date and time of the accident.
• ‍Location of the accident: Specify the exact location of the accident (e.g., street address, intersection).

3. Describe the Car Accident

Provide a clear and concise account of the accident: Explain how the accident occurred, including the actions of the at-fault driver.

Mention any traffic signals, road conditions, or other relevant factors that contributed to the accident.

If available, cite the police report number and any relevant findings.

4. Outline Injuries and Medical Treatment

Describe all injuries sustained: Include details about the type, severity, and duration of each injury.

Include doctor visits, hospital stays, surgeries, medications, and any ongoing therapies.

Explain how your injuries have impacted your daily activities, such as work, household chores, and leisure activities.

5. Explain Impact on Your Life

Describe the impact of the accident on your daily life. Explain how your injuries have affected your physical, emotional, and financial well-being.

Mention any pain and suffering and describe the physical and emotional pain and suffering you have endured as a result of the accident.

6. List Financial Damages

Itemize all financial losses so they can be included in the claim.

Make sure to include:

• ‍Medical expenses: Doctor visits, hospital bills, medications, surgeries, therapy costs.‍
• Lost wages: Income lost due to missed work or reduced earning capacity.‍
• Property damage: Cost of vehicle repairs or replacement.‍
• Other expenses: Rental car expenses, transportation costs, and any other expenses related to the accident.

7. List Your Total Demand for Compensation

Clearly state your total demand for compensation. It should include all medical expenses, lost wages, property damage, pain and suffering, and any other relevant damages.

Be prepared to negotiate as your initial demand may be refuted.

8. Conclude the Letter With a Reasonable Deadline

Set a reasonable deadline for the insurance company to respond. We consider 30 days as a reasonable timeframe.

State your preferred method of contact. Indicate how the insurance company should respond to your demand (e.g., phone call, email).

State your willingness to negotiate a fair settlement.

Sample Demand Letter: Claim for Vehicle Damage After Car Accident

Here’s a sample demand letter for vehicle damage. Use it, along with the Mighty.com AI claims helper to make your claim.

[Your Name]

[Your Address]

[Your Phone Number]

[Your Email Address]

[Date]

[Insurance Company Name]

[Insurance Company Address]

[City, State, Zip Code]

Re: Automobile Accident Claim - [Your Name] vs. [At-Fault Driver's Name]

Claim Number: [If applicable]

Date of Accident: [Date of Accident]

Location of Accident: [Location of Accident]

Dear [Insurance Adjuster Name],

This letter constitutes a formal demand for settlement of my property damage claim arising from the automobile accident that occurred on [Date of Accident] at [Time of Accident] at [Location of Accident].

On that date, I was operating my [Year, Make, and Model of Vehicle] when it was struck by a vehicle driven by [At-Fault Driver's Name], who was insured by your company under policy number [At-Fault Driver's Policy Number].

[Briefly describe the accident, including the at-fault driver's actions. For example: "Mr./Ms. [At-Fault Driver's Name] failed to yield the right-of-way at the intersection and struck the side of my vehicle."].

As a result of this accident, my vehicle sustained significant damage. I have attached [list attached documents, such as repair estimates, photographs of damage, etc.] as evidence of the damage incurred.

I request full and fair compensation for the following damages:

Cost of Vehicle Repairs: [Amount]

[Include any other relevant expenses, such as rental car costs, towing fees, etc.]

Please review this claim promptly and make a fair settlement offer within [Number] days of the date of this letter. I am available to discuss this matter further at your convenience.

Please contact me at [Your Phone Number] or [Your Email Address] to schedule a time to discuss this matter further.

Sincerely,

[Your Signature]

[Your Typed Name]

Minor Car Accident Settlement Example Letter

Here’s a sample letter for a minor accident you can use with Mighty.com.

You’ll see it’s very similar to the one above and should achieve a very similar goal.

[Your Name]

[Your Address]

[Your Phone Number]

[Your Email Address]

[Date]

[Insurance Company Name]

[Insurance Company Address]

[City, State, ZIP Code]

Re: Automobile Accident Claim - [Your Name] vs. [At-Fault Driver's Name]

Claim Number: [If applicable]

Date of Accident: [Date of Accident]

Location of Accident: [Location of Accident]

Dear [Insurance Adjuster Name],

This letter constitutes a formal demand for settlement of my property damage claim arising from the minor automobile accident that occurred on [Date of Accident] at approximately [Time of Accident] at [Location of Accident].

On that date, I was operating my [Year, Make, and Model of Your Vehicle] when it was [briefly describe the accident, e.g., "gently tapped from behind" by] a vehicle driven by [At-Fault Driver's Name], who was insured by your company under policy number [At-Fault Driver's Policy Number].

As a result of this minor accident, my vehicle sustained [briefly describe the damage, e.g., "minor bumper damage"]. I have attached [list attached documents, such as repair estimates, photographs of damage] as evidence of the damage incurred.

I request full and fair compensation for the following damages:

Cost of Vehicle Repairs: [Amount]

I request that you review this claim promptly and make a fair settlement offer within [Number] days of the date of this letter. I am available to discuss this matter further at your convenience.

Please contact me at [Your Phone Number] or [Your Email Address] to schedule a time to discuss this matter further.

Sincerely,

[Your Signature]

[Your Typed Name]

Key differences from the vehicle damage example:

• This example letter is specifically for minor accidents with less severe damage.
• The language is more concise and less formal, reflecting the nature of a minor accident.
• The demand for compensation is limited to property damage, as there are no significant injuries or other losses mentioned.

This example provides a starting point for drafting your own demand letter. Remember to adapt it to the specific details of your situation.

Minor Injury Car Accident Demand Letter

This sample letter tackles the results of injury sustained in a vehicle accident.

[Your Name]

[Your Address]

[Your Phone Number]

[Your Email Address]

[Date]

[Insurance Company Name]

[Insurance Company Address]

[City, State, ZIP Code]

Re: Automobile Accident Claim - [Your Name] vs. [At-Fault Driver's Name]

Claim Number: [If applicable]

Date of Accident: [Date of Accident]

Location of Accident: [Location of Accident]

Dear [Insurance Adjuster Name],

This letter constitutes a formal demand for settlement of my personal injury and property damage claim arising from the automobile accident that occurred on [Date of Accident] at approximately [Time] at [Location].

On that date, I was operating my [Year, Make, and Model of Your Vehicle] when it was [briefly describe the accident, e.g., "rear-ended" by] a vehicle driven by [At-Fault Driver's Name], who was insured by your company under policy number [At-Fault Driver's Policy Number].

As a result of this accident, I sustained [briefly describe minor injuries, e.g., "whiplash, minor soft tissue injuries"].

I have attached [list attached documents, such as medical records, doctor's notes] as evidence of my injuries and treatment.

[Optional: Briefly describe the impact of the injuries. For example: "These injuries caused me to experience [briefly list symptoms, e.g., neck pain, headaches, limited range of motion] for approximately [number] weeks. I missed [number] days of work as a result."]

Furthermore, my vehicle sustained [briefly describe vehicle damage, e.g., "minor bumper damage"]. I have attached [list attached documents, such as repair estimates, photographs of damage] as evidence of the damage incurred.

I am demanding full and fair compensation for the following:

Medical Expenses: [Amount]

Lost Wages: [Amount]

Pain and Suffering: [Amount - this is a subjective amount and may require negotiation]

Property Damage: [Amount]

I request that you review this claim promptly and make a fair settlement offer within [Number] days of the date of this letter. I am available to discuss this matter further at your convenience.

Please contact me at [Your Phone Number] or [Your Email Address] to schedule a time to discuss this matter further.

Sincerely, [Your Signature] [Your Typed Name]

As you can see, this letter is more in-depth as it needs to outline damage and injuries.

Documents to Include in a Demand Letter for a Car Accident

As well as the demand letter, you should also include evidence to support your claim¹.

The more evidence you provide, the higher the chances of success.

Try to include:

• Police report: This official document provides an unbiased account of the accident, including witness statements, diagrams, and officer observations.
• Doctor's notes, hospital bills, prescriptions, receipts for over-the-counter medications, and any other medical documentation: If applicable, include records from physical therapy, chiropractic care, or other forms of treatment.
• Photos of the accident scene, vehicle damage, and your injuries (if visible).
• Photos of any property damage, such as damage to your home or personal belongings.
• Repair estimate.
• Pay stubs to document any lost wages due to missed work.
• Rental car receipts if you rented a car while your vehicle was being repaired or unavailable.
• Witness statements. If any witnesses were present at the accident, obtain written or recorded statements from them.
• Your own insurance policy information (if applicable, such as uninsured/underinsured motorist coverage) and third party’s if available.

Make sure to keep copies of everything for your own records.

While claims are fairly efficient, we strongly recommend keeping copies of all letters, documents and materials sent to support a claim.

What to Do After Sending the Demand Letter to Insurance Company

After sending your demand letter to the insurance company, we recommend you:

• ‍Track the deadline: Note the deadline you provided in the letter for the insurance company to respond.‍
• Maintain communication: If you haven't heard from the insurance company within the specified timeframe, follow up with a phone call or email to inquire about the status of your claim.‍
• Be prepared to negotiate: The insurance company may not accept your initial demand. Be prepared to negotiate a fair settlement while remaining firm in your position.‍
• Seek legal advice: If you encounter difficulties in negotiating a settlement, or if the insurance company denies your claim, consult with an experienced personal injury attorney.

While the insurance company should manage the process, if you remain hands-on, you remain in the picture².

Should You Hire a Lawyer For a Car Accident or File Your Own Claim?

Whether or not to hire a lawyer after a car accident depends on the specific circumstances of your case.

Despite popular belief, you don’t have to use a lawyer. You can make your own claim using our guides and the Mighty.com AI claims helper.

Here's a breakdown to help you decide:

Consider hiring a lawyer If:

• ‍You have significant injuries: This includes serious injuries like broken bones, head trauma, spinal cord injuries, or internal injuries that require extensive medical treatment and may have long-term consequences.  ‍
• You have suffered significant financial losses: This includes substantial medical bills, lost wages, and property damage.  ‍
• Liability is disputed: If the other driver denies fault or if there are multiple parties involved in the accident, a lawyer can help determine liability and build a strong case.  ‍
• You are dealing with a complex insurance claim: This may involve multiple insurance companies, disputes over policy coverage, or complex legal issues.‍
• You are unsure of your rights: A lawyer can provide guidance on your legal rights and options, ensuring you understand the claims process and your rights to compensation.  

Consider filing your own claim If:

• ‍You use Mighty.com: The Mighty.com AI claims handler can assist with most aspects of making a claim.‍
• The accident was minor: If you have minor injuries and minimal property damage, you may be able to handle the claim yourself.‍
• Your insurance company is cooperative: If your insurance company is responsive and willing to work with you to resolve the claim, you may be able to handle the process independently.

Weigh the costs and benefits when deciding whether to hire a lawyer or not.

Consider the potential costs (usually on a contingency fee basis, meaning they only get paid if you win your case) against the potential benefits, such as increased compensation and reduced stress.

What Happens After Sending a Car Accident Settlement Letter?

After sending a car accident settlement demand letter, here's what typically happens³:

Insurance company review:

• The insurance company receives your letter and supporting documentation.  
• An insurance adjuster will review the information, investigate the accident, and assess the validity of your claim.  
• They may request additional information or conduct their own investigation.  

Insurance company response:

• The insurance company will typically respond to your demand letter within the timeframe you specified (usually 30 days).

They may:

• ‍Accept liability: If they admit fault, they will likely make an initial settlement offer.‍
• Deny liability: If they deny responsibility for the accident, they will explain their reasons and may offer alternative solutions.‍
• Request further information: They may request additional documentation or clarification on certain points.

Negotiations (if necessary):

• If you disagree with the initial offer, negotiations may begin.  
• You or your attorney will negotiate with the insurance adjuster to reach a fair settlement amount.  
• This may involve back-and-forth communication and potentially multiple offers and counteroffers.  

Settlement agreement:

• If a mutually agreeable settlement is reached, both parties will sign a settlement agreement.  
• The agreement outlines the terms of the settlement, including the amount of compensation and any other conditions.  

Payment:

• Once the settlement agreement is signed, the insurance company will typically issue a payment within a specified timeframe.  

Maintain copies of all correspondence, documents, and communication with the insurance company.  

Be patient. The settlement process can take an inordinate amount of time. Patience is critical!

Sources

1. The Shirvanian Law Firm: What Legal Documents Do You Need After A Car Accident (https://www.shirvanianlawfirm.com/auto-accident/what-legal-documents-do-you-need-after-car-accident/)
2. Miller Dawson Sigal Ward Legal: How Long After A Demand Letter Can I Expect A Settlement? (https://mdswlegal.com/faqs/how-long-after-a-demand-letter-can-i-expect-a-settlement/)
3. Gibson Hill Personal Injury: What Happens After My Attorney Sends A Demand Letter (https://www.gibsonhillpc.com/blog/what-happens-after-my-lawyer-sends-a-demand-letter/)