What Is a Personal Injury Demand Letter? Do I Need One?

When you suffer an injury due to someone else's negligence, securing compensation for medical expenses, lost wages, and pain and suffering can help you get your life back on track. 

This is often done with a personal injury claim. One of the most important steps in the personal injury claims process is drafting a well-structured demand letter. A demand letter serves as a formal request to the at-fault party’s insurance company, outlining your injuries, damages, and the compensation you seek.

At Morgan & Morgan, we understand how critical a demand letter is in strengthening your case and maximizing your settlement. When you work with us, we handle the complicated parts of your case, from demand letters to settlements and even going to trial if necessary, so that you can focus your energy on moving forward with your life.

Hiring one of our lawyers is easy, and you can get started in minutes with a free case evaluation.

What Is a Personal Injury Demand Letter?

A personal injury demand letter is a document sent to the responsible party’s insurance company, formally requesting compensation for damages incurred from an accident. It serves as the foundation for settlement negotiations and often sets the tone for the entire claims process.

A well-written demand letter should:

• Clearly outline the facts of the case.
• Specify the injuries sustained.
• Include supporting evidence.
• Demand a specific compensation amount.
• Convey the seriousness of the claim.

The Big Picture: Every Personal Injury Is a Negotiation

When you are injured due to the fault of another party, you deserve compensation for that injury. But the amount of compensation you deserve is not inherently obvious. 

An insurance company is almost certain to try to pay you as little as possible while you will want as much money as you can get from that injury. This difference of opinion is the basis of negotiation.

That negotiation starts with a personal injury demand letter. In this letter, you set forth the facts of the case from your perspective and present your demands for compensation. 

You must include all of the relevant facts and make a case as strong as possible in this letter. If you leave something out, it can be extremely difficult to effectively add that information to your negotiating position in the future.

The job of your attorney is to assist you with your negotiation. They will help you gather relevant evidence and ensure that you don’t leave important information out of your letter. 

They also have the experience to accurately estimate both your short-term and long-term losses and expenses. This allows you to request compensation that will provide the relief you need to recover from your injuries.

A lawyer also makes it easier to file a lawsuit. While filing a lawsuit may seem like you have given up on negotiation, it is just another negotiating tool for an experienced attorney. Filing a lawsuit increases the potential losses the insurance company might suffer if it refuses to offer a fair settlement. 

More often than not, lawsuits are used as leverage to force a fair settlement and never result in a trial.

When to Send a Personal Injury Demand Letter

Timing is key when sending a demand letter. You should only draft and send it once you have:

• Completed medical treatment or reached maximum medical improvement (MMI).
• Gathered all necessary documentation, including medical records, bills, and proof of lost wages.
• Consulted with a personal injury attorney to ensure that your claim is strong and comprehensive.

Sending a demand letter too early could result in an undervalued settlement, as you may not fully understand the long-term impact of your injuries.

Key Components of a Strong Demand Letter

A persuasive and effective personal injury demand letter should include the following elements:

1. Heading and Contact Information

Your demand letter should start with your name, address, phone number, and the date. Below that, include the insurance adjuster’s name, the insurance company’s name, and the claim number.

2. Statement of Facts

Clearly and concisely describe the accident, including:

• The date, time, and location.
• How the accident occurred.
• Who was at fault and why.
• A summary of the events leading up to the accident.

3. Description of Injuries and Medical Treatment

Provide a detailed account of your injuries, including:

• The type and severity of injuries sustained.
• The medical treatments received (ER visits, surgeries, therapy, etc.).
• Any ongoing or future medical care required.
• How the injuries have impacted your daily life and well-being.

4. Financial Losses and Expenses

List all financial damages incurred as a result of the accident, including:

• Medical bills (hospital visits, prescriptions, physical therapy, etc.).
• Lost wages due to missed work.
• Property damage.
• Any other out-of-pocket expenses related to your injury.

5. Pain and Suffering Damages

Beyond financial losses, a demand letter should highlight the emotional and physical pain endured due to the accident. This includes:

• Physical pain and discomfort.
• Emotional distress, anxiety, or depression.
• Loss of enjoyment of life.

6. Settlement Demand

Clearly state the amount of compensation you are seeking. This figure should be based on your total damages, including:

• Medical expenses (past and future).
• Lost wages.
• Property damage.
• Pain and suffering.
• Any other relevant damages.

It is advisable to demand a higher amount than what you expect to receive, allowing room for negotiation.

7. Supporting Evidence

Attach copies of key documents to strengthen your case, such as:

• Medical records and bills.
• Photos of injuries and property damage.
• Witness statements.
• Police or accident reports.
• Pay stubs showing lost wages.

8. Firm But Professional Tone

Your demand letter should be assertive yet professional. Avoid emotional language or unnecessary hostility. Instead, focus on presenting a compelling case backed by facts and evidence.

9. Deadline for Response

Include a reasonable deadline (typically 15-30 days) for the insurance company to respond. This creates a sense of urgency and encourages prompt action.

10. Closing Statement

Conclude the letter by reiterating your demand and stating that you are prepared to take legal action if necessary. Include your contact information and express your willingness to discuss the matter further.

What Happens After Sending a Demand Letter?

Once the insurance company receives your demand letter, they will typically:

• Review the claim and evidence.
• Conduct their own investigation.
• Respond with a settlement offer, a counteroffer, or a denial.

If the insurance company offers a fair settlement, negotiations may lead to a resolution. If they refuse to offer reasonable compensation, your attorney may advise filing a lawsuit.

Why Work With Morgan & Morgan?

Drafting a demand letter requires legal knowledge and negotiation skills. At Morgan & Morgan, we have extensive experience in personal injury claims and can:

• Ensure your demand letter is strong and persuasive.
• Gather and present compelling evidence.
• Handle negotiations with insurance companies.
• Take your case to trial if necessary.

If you or a loved one has been injured due to someone else’s negligence, contact Morgan & Morgan today for a free consultation. We are committed to fighting For the People, ensuring that you receive the justice and compensation you deserve.

A well-crafted personal injury demand letter is a powerful tool in securing fair compensation. By outlining the facts, presenting evidence, and demanding a reasonable settlement, you set the stage for a successful resolution. For expert legal guidance, trust Morgan & Morgan to advocate on your behalf.

Hiring one of our lawyers is easy, and you can get started in minutes with a free case evaluation.

Frequently Asked Questions

Do I have to send a demand letter?

The claims process can happen without a demand letter, but if it does, you are putting the power entirely in the hands of the insurance company. Without your demand letter, the insurance company is effectively negotiating with itself about how much it will pay you. 

Except for what it is legally required to cover, it has no reason to provide anything but the lowest possible compensation. That is the worst possible way to start a negotiation.

What should I do if I leave something out of a personal injury demand letter?

If you leave something important out of a personal injury demand letter, you must introduce that information to the insurance company as quickly as possible. 

You can add an addendum to your letter if you act promptly. An addendum needs to be clear about what information is being added, and you must get written confirmation of receipt of the addendum.

In general, you want to avoid the hassle of having to add an addendum to your personal injury demand letter. 

The best way to avoid this is by hiring a personal injury lawyer in advance and ensuring they are involved with the entire process of writing and delivering a personal injury demand letter. Their experience will prevent you from making mistakes that could cost you time and money.

Where Can I Find Good Personal Injury Demand Letter Examples?

The best place to get a good personal injury demand letter example is from your attorney. They can show you past letters that they have written and tell you how successful those letters were in obtaining a fair settlement. 

Letters you find on the internet won’t come with that type of surrounding information and won’t necessarily follow the laws of your state.