A demand letter is your formal settlement request to the at-fault driver’s insurer — it lays out the facts, your injuries, your losses, and a specific dollar demand (FindLaw, 2026). Done well, it signals you’re serious and ready to file a lawsuit if needed.
Key Takeaways
- Send the demand letter only after reaching maximum medical improvement.
- Include the facts, fault, injuries, itemized damages, and a specific demand.
- Ask for slightly more than you expect, to leave room to negotiate.
- Give a 30-day deadline and send it by certified mail.
When Should You Send a Demand Letter?
Send it only after you’ve reached maximum medical improvement — the point where your doctor confirms your recovery is stable (AllLaw/Nolo, 2026). Sending too early risks underestimating your total costs, and once you settle, you can’t reopen the claim.
What Should a Demand Letter Include?
A strong demand letter has a clear structure. Include each of these sections:
- Claim details — the insurer’s file/claim number, date, and parties
- Statement of facts — how the crash happened, backed by the police report
- Statement of fault — why the other driver was negligent (cite any citation)
- Injuries and treatment — detailed, using proper medical terms
- Itemized damages — medical bills, lost wages, property damage
- Pain and suffering — how the injuries affected your daily life
- A specific demand — the dollar amount you’ll accept
- A deadline — typically 30 days to respond
How Much Should You Demand?
Ask for more than you think the claim is worth — but don’t exaggerate wildly. A reasonable cushion gives you room to negotiate down to a fair figure when the adjuster counteroffers. Inflated, unsupported numbers hurt your credibility, so back every dollar with documentation.
What Documents Should You Attach?
Attach proof for every claim you make: medical bills and records, repair estimates, pay stubs showing lost income, the police report, and photos of the damage and injuries. Send the letter by certified mail so you have confirmation it was delivered.
Not sure what your demand should be? A free attorney review can help you value your claim.
Frequently Asked Questions
Do I need a lawyer to write a demand letter?
Not necessarily. For minor, vehicle-damage-only claims, many people write their own. For injury claims or disputed fault, a lawyer’s demand letter often carries more weight and helps value pain and suffering accurately. Most injury attorneys offer free consultations.
How long until the insurer responds?
It’s standard to give the insurer 30 days to respond. Many reply within 30 to 45 days, often with a counteroffer rather than acceptance. If they don’t respond, follow up with the adjuster or their supervisor to keep negotiations moving.
What happens after I send the demand letter?
The insurer will usually accept, request more information, deny, or (most commonly) counteroffer with a lower amount. The demand letter starts the negotiation — expect some back-and-forth before reaching a fair settlement figure.
Conclusion
A well-structured demand letter can set the tone for your entire settlement. Wait until you’ve reached maximum medical improvement, document every loss, make a specific demand with room to negotiate, and set a clear deadline. For serious or disputed claims, a free legal consultation is worth considering.
Related Guides
- How Long Does a Car Accident Settlement Take?
- Should You Accept the First Settlement Offer?
- How Much Is the Average Car Accident Settlement?
Disclaimer: This article is for general informational purposes only and does not constitute legal advice. Consult a licensed attorney in your jurisdiction for advice about your specific situation.