How to Write a Settlement Demand Letter for Maximum Compensation

How to write a settlement demand letter for maximum compensation. One of the most important steps in the
personal injury claim process is writing a settlement demand letter. A settlement demand letter is a written request
to the party responsible for your injury or loss to pay you a fair amount of money without going to court. It is an
opportunity to present your case and persuade the other party to settle your claim.

In this blog, we will share some tips on how to write a settlement demand letter for maximum compensation. We will
also discuss some dos and don’ts of writing a settlement demand letter and why you should seek professional legal
advice before sending your letter. At Burger Law, we have the skills, knowledge and
resources to get you maximum compensation in your personal injury claim. If you’d like a free consultation, or are
considering hiring an attorney for your case, speak to a personal injury lawyer at Burger Law today by calling us
at (314) 500-HURT or contact us online. Based in St. Louis and Chicago, we serve the
injured throughout Missouri and Illinois.

What Is a Settlement Demand Letter?

A settlement demand letter is a formal document that summarizes your claim and demands a specific amount of money
from the other party or, in the vast majority of cases, the liable party’s insurance company. A settlement demand
letter usually includes the following:

• A description of the accident or incident that caused your injury or loss
• An explanation of why the other party is at fault or liable for your claim
• Documentation of injuries and damages, such as medical expenses, lost wages and pain and suffering
• A calculation of your total damages and the amount you are demanding
• A deadline for the other party to respond to your demand
• A statement that you are willing to negotiate in good faith

A settlement demand letter is not a legal document, but it can serve as evidence of your claim if you end up filing a
lawsuit. Courts look favorably on plaintiffs who try to settle their case before going through the court system.

“Insurance companies keep lawyers like me in business because they throw a bunch of bogus stuff at you to try to reduce your settlement.”

“When I negotiate a settlement with an insurance claims adjuster I provide documentation, support and proof about liability, how the accident happened, why it’s the other side’s fault and all of your damages: emergency room bills, urgent care and doctor’s office records and bills, physical therapy, chiropractic, wage loss, pain and suffering, disability or disfigurement — all of it.”

Schedule a free case evaluation here.

Gary Burger

Litigation Attorney

Why Write a Settlement Demand Letter?

A settlement demand letter is a powerful tool that can help you get the compensation you deserve for your personal
injury claim. Here are some reasons why you should write a settlement demand letter:

• It shows that you are serious about your claim and that you have done your homework
• It gives the other party an opportunity to evaluate your claim and make a reasonable offer
• It opens the door for negotiation and compromise
• The insurance adjuster will have detailed records of your damages and evidence, making it harder to deny a claim
• You can negotiate a better settlement when your injuries, damages and the strength of your evidence are clearly
  written out
• It can save you time, money and stress by avoiding litigation and the need to file a lawsuit
• The settlement letter helps you prepare for a lawsuit if you do need to file one

In order for a settlement demand letter to be effective, it must be well-written and concise yet comprehensive. There
are many online templates available, but often the best way to write an effective settlement demand letter is to
consult with an experienced personal injury lawyer who can help you understand the legal aspects of your case.

What to Include in a Settlement Demand Letter

Settlement demand letters usually written in the following format:

• Sender’s information, including your name, address, phone number, email address, and date of the letter.
• Recipient’s information, including the name and address of the person or entity you are sending the
  letter to, such as the insurance company or the individual responsible for your injury.
• Introduction and opening paragraph, where you introduce yourself and state that the purpose of your
  letter is to receive compensation for the injuries the other party or their policyholder caused. Briefly outline
  the damages you have sustained as a result.
• Description of the incident and liability, where you provide a detailed account of what happened and how
  the other party was at fault or liable for your injury. You should include facts such as the date, time,
  location and circumstances of the accident, as well as any witnesses or evidence that support your claim.
• Medical treatment and expenses, where you describe the medical treatment you received for your injury and
  the expenses you incurred. You should include information such as the names and addresses of the doctors and
  hospitals that treated you, the diagnoses and prognoses of your injuries, the medications, tests and procedures
  you underwent, and the bills and receipts for your treatment.
• Pain and suffering, where you describe the physical and emotional impact of your injury on your life. You
  should include information such as how your injury affected your daily activities, hobbies, relationships,
  mental health and quality of life.
• Lost wages and future income, where you describe how your injury affected your ability to provide for
  yourself and your family. You should include information such as how much time you missed from work because of
  your injuries and how much income you lost. If your injuries impact your ability to make a living in the future,
  include documentation of that as well.
• Supporting documents and evidence, where you attach copies of any documents or evidence that support your
  claim, such as police reports, medical records, witness statements, photos, videos and whatever else you may
  have.
• Settlement amount and deadline, where you state how much money you are demanding from the insurance
  company to settle your claim. You should also state a deadline for them to respond to your demand, usually 30
  days from the date of the letter.

Tips for Writing an Effective Settlement Demand Letter

Writing a settlement demand letter requires careful planning, research and drafting. You want to make sure that your
letter is clear, concise and specific, without mentioning any info that could damage your claim. Here some tips on
how to write a settlement demand letter for maximum compensation:

Gather All Necessary Information and Evidence

Before you start writing your letter, make sure you have all the information and evidence you need to prove your
case. You may have to contact police departments, medical providers, employers or witnesses to obtain copies of
everything you need. Generally, you should wait until your medical treatment is done so you have your full medical
records to present. You can read about the types of evidence you need in a personal injury claim
here.

Use a Professional Tone and Format

You should type your letter on a computer using a standard font size and style. It should also be free of spelling or
grammatical errors. You should number each page of your letter and include a reference line (such as “Re: Your Claim
Number”) at the top of each page. It’s understandably upsetting when someone else injures you or an insurance
adjuster tries to devalue your claim, but be calm and professional throughout the letter. That will make it more
likely the insurance adjuster responds favorably to your letter.

Clearly State the Facts and Sequence of Events

Your letter should provide a clear and chronological account of what happened and how it caused your injury. Stick
clearly to the facts – what happened and what the other party was doing or did. Don’t exaggerate or presume
what anyone was thinking.

Explain the Liability and Negligence of the Opposing Party

Your need to explain why the other party is legally responsible for your injury or loss. You can read about how to prove negligence in a personal injury
claim here. In the letter, you should identify the duty of care that the other party owed you (such as
driving safely or maintaining their property) and how they breached that duty (such as speeding or failing to fix a
hazard). You should also explain how their breach caused or contributed to your injury (such as causing a collision
or creating a slip-and-fall risk).

Describe the Impact of the Incident on Your Life

Personal injury claims should compensate you for every way your injuries impacted your life. Your letter should
describe how your injury affected your physical health, mental health, emotional well-being, social relationships,
family life, hobbies and personal goals. You should use specific examples and details to illustrate your pain and
suffering and how they have changed your life for the worse. You should also express your feelings and emotions in
an honest and respectful way, without being overly dramatic or sentimental. As evidence, you can include signed
letters from family and friends detailing how your injuries have affected you.

Provide Detailed and Itemized Financial Damages

Your letter should provide a breakdown of all the financial damages you have incurred or will incur as a result of
your injury. You should include both past and future damages in categories such as medical expenses, lost wages,
future medical costs and pain and suffering. You should also explain how you calculated each category and provide
supporting documents and evidence, such as bills, receipts, pay stubs, tax returns or whatever else you can include.
For economic damages, you should be able to point to every
penny in a bill or receipt. You can read about how
to calculate pain and suffering here to get a sense of how much you should demand for non-economic damages.

Specify a Reasonable Settlement Amount and Deadline

Include a demand for compensation that covers all of your damages but doesn’t go overboard. You should base your
demand on the actual value of your claim and legal standards. You should also state a deadline for them to respond
to your demand, usually 30 days from the date of the letter. This lets them know that you are willing to file a
lawsuit if they don’t compensate you fairly. You should indicate that you are willing to negotiate in good faith and
that you are open to alternative solutions. However, you should not reveal your bottom line or accept any offer
without consulting with a personal injury attorney. You can read about how much to ask for in a personal
injury settlement here

Dos and Don’ts of Writing a Settlement Demand Letter

Writing a settlement demand letter can be challenging, but if done correctly it can get you the compensation you
deserve while saving you a lot of time and hassle in the future. Here are some dos and don’ts of writing a
settlement demand letter:

Dos

• Do know the full value of your claim before sending the letter.
• Do maintain a professional and respectful tone throughout your letter.
• Do proofread and edit your letter for clarity and accuracy before sending it.
• Do keep your letter concise and focused on the main points of your claim.
• Do maintain a consistent narrative throughout your letter.
• Do use bullet points and headings for clarity.

Don’ts

• Don’t include irrelevant or excessive information in your letter that may distract or confuse the reader.
• Don’t make unrealistic demands that may undermine your credibility or invite rejection.
• Don’t use aggressive or threatening language that may antagonize or offend the reader.
• Don’t overlook the importance of proofreading for spelling or grammatical errors that may undermine your
  professionalism or credibility.

Missouri and Illinois Personal Injury Lawyers | Burger Law

Writing a settlement demand letter is not easy. You need to have a solid understanding of the law, the facts and the
value of your claim. You also need to craft a clear, concise and compelling letter that shows why you deserve
compensation and how much you are asking for. That’s why it’s advisable to consult with a personal injury attorney
before writing the letter, and why you may need to hire an attorney if the insurance adjuster doesn’t respond to
your letter fairly. We always encourage clients to settle their own cases when they can, but sometimes you need an
experienced and aggressive attorney fighting on your behalf to get the compensation you deserve. At Burger Law, we
answer questions for free every day. Speak to a St. Louis personal injury lawyer now by calling us at (314) 500-HURT
or by filling out our online contact form.

Gary Burger

Founder | Injury Attorney
Gary Burger has dedicated his career to standing up against bullies. The founder and principal attorney of Burger Law | St. Louis Personal Injury Lawyer has helped hundreds of Missouri and Illinois individuals and families recover th …
Years of experience: 30 years
Location: St. Louis, MO

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