If you have been hurt after a car accident and are pursuing financial compensation for your losses, you may have to send a demand letter to the liable, or at-fault, party. A car accident demand letter is a formal request for compensation for your medical bills, lost income, and other damages. Demand letters are not required in every car accident case, but can be powerful tools in settlement negotiations. Below, our West Virginia car accident lawyer explains in more detail.
What is a Demand Letter?
A demand letter is usually sent to the negligent driver’s auto insurance company, or, when applicable, to your own UM or UIM carrier. The car accident demand letter outlines the details of the crash, the injuries you suffered, and the compensation you are pursuing.
While it is possible to find a car accident demand letter example online, these letters require in-depth legal knowledge and precision. It is important to work with a West Virginia car accident lawyer who can draft an effective car accident demand letter. If you write a demand letter on your own, the insurance company will likely take advantage of your inexperience, which may result in an unfair settlement.
Remain Level-Headed and Professional
Writing an aggressive or threatening letter may make you feel better, but it can also greatly hurt your case. Car accident demand letters are formal notices, and so, you should remain professional and keep a level head. If you are antagonistic in your demand letter, the insurance company will not want to work with you, and it will be much harder to negotiate a fair settlement.
Be Clear About What You Want
In your demand letter, you must state the exact dollar amount you are asking for. It is just as critical that you provide a clear reason for requesting such an amount. A sample demand letter for a car accident may even have an itemized list of damages suffered by crash victims. For example, are you requesting the amount for medical bills, pain and suffering, or lost wages? Your request must be very specific.
Do Not Ask for Punitive Damages
Unlike compensation for medical bills and lost income, punitive damages are not meant to compensate you for your losses. They are meant to punish the negligent driver and deter them from behaving similarly in the future. Due to this, punitive damages are only awarded when a driver acted in a particularly egregious or reckless manner. As such, punitive damages can only be awarded in court by a judge or jury.
If you ask for punitive damages in your car accident demand letter, the insurance company will not look kindly on it. They may not want to work with you at all and deny any settlement or make a lowball offer that will not cover all of your losses. Including a request for punitive damages can ruin your chance of negotiating in good faith, even before you begin. The demand for punitive damages, if made at all, should only be made in litigation when settlement talks have failed. You should have an experienced and well-qualified attorney make that determination.
Provide a Timeline
You must include a timeline in your car accident demand letter. Inform the insurance company that they have a specific amount of time to respond. Also, outline the consequences that will occur if you do not receive a prompt response. Many people are unaware of the consequences for insurers who do not reply promptly, which is one reason it is so important to work with a lawyer.
While it is important to include these demands in your letter, remember that you need to be careful not to appear too aggressive. If the insurer believes you are being too demanding, they may ignore the letter entirely. In the majority of car accident cases, 30 days is usually a sufficient amount of time to give the insurance company to respond. Still, this timeline is dependent on many factors.
Send the Car Accident Demand Letter by Certified Mail
Sending your car accident demand letter by certified mail and requesting a return receipt is important. This will give you proof that the insurance company received your letter. If you do not send the letter by certified mail, the insurance company will likely deny that they ever received it.
This tip for demand letters showcases the importance of documenting everything and keeping all documentation related to the crash organized for when you need it.
Include All Pertinent Information
You must include all pertinent information relating to the accident. This can include information regarding your injuries and other losses. Be very clear and concise when outlining your losses.
Do Not Include Too Much Information
Although you should include all important information in your car accident demand letter, you also do not want to include too much. The insurance company will have its investigators who will investigate the crash. If you say too much, you may provide the insurer with information they can use against you.
Collect Evidence to Support Your Case
You must have evidence that supports the request you are making in your demand letter. This evidence can include police reports, medical bills, proof of income loss, reports from economists or vocational professionals, and statements from eyewitnesses. This will show the insurance company that you have a strong case and it will be more likely to make a fair offer.
Do Not Exaggerate
While you should comprehensively outline all of your losses and the fair settlement amount you are seeking, it is important that you are realistic and do not exaggerate your injuries or other losses. If the insurer believes that you are embellishing, they are unlikely to offer a fair settlement.
Our Car Accident Lawyer in West Virginia Will Fight for You
When requesting a fair settlement, it is too risky to leave it up to a sample demand letter for a car accident. You need advice from a West Virginia car accident lawyer. At Kaufman & McPherson, our experienced attorney can write an effective demand letter to start the negotiations that will help you obtain a fair settlement. We fight for our clients, and we will fight for you, too. Contact us to schedule a free case evaluation.
