What are the Different Parts of an Auto Liability Demand Letter?

An auto liability demand letter is used to request settlement on an outstanding insurance claim. Even though it is called a demand letter, it is important that the tone of the letter remain courteous and concise. State the facts about the accident, list any claims that have already been settled, and then itemize the outstanding claims on the settlement. In closing, recount the claim total, and request payment or personal contact.

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– A letter of demand is a type of business letter, and should begin using the standard business letter formula. Your address goes at the top right corner, Followed by the current date and the insurance company address on the left side of the page, separated by a single space. Provide the claim number for easy reference.

Introductory Paragraph – In the opening paragraph, state the date and time of the accident, the general details, who was found at fault and any additional information pertinent to the case. This paragraph does not have to specify any claim details, it is simply meant to introduce the reader to the basic facts surrounding the claim.

Property Damages – List the damages sustained on your property, including your car or other items involved. In most cases, the property damage liability is handled before the injury claims can be settled. State whether or not all property damage obligations have been satisfied. If there are still outstanding property damages, list them here and itemize the values for each portion of the claim.

Bodily Injury – List all costs associated with bodily injuries, including ambulance transportation, X-rays, medications, and physical therapy. Itemize costs, and then state the total bodily injury claim amount in the last sentence.

Other Claims – Specify any other costs, including time missed from your job, rental cars, towing, personal monetary losses (concerts, conferences, etc.) and costs associated with pain and suffering. List each item individually, and then provide a total claim amount in the final sentence.

Summary – The summary paragraph does not contain any new information, but is used to briefly recap claimed items and their values. The final sentence should provide the reader with the total amount of the claim, minus any payments you have already received.

Posted in Car Insurance, Insurance.