Last Updated on 20/07/2021 by Deepak Singla
Depending on the extent of the accident, you might be left with serious injuries and a heavily damaged car. After seeking medical help, the next important step for you is to draft a proper settlement letter or demand letter explaining the situation to your insurance provider and claim the coverage.
However, you have to take extra care before writing your settlement letter because sometimes car insurance companies try to settle the claim for as little as possible. You need coverage that will help pay for your bills as well as repair your car. So follow the below-mentioned steps to write the perfect settlement letter and speed up the settlement process.
Also, if you are looking for the best quotes on car insurance in Edmonton, make sure you check out this page.
Things To Keep In Mind While Writing A Car Accident Settlement Letter
Writing an insurance settlement letter requires quite a few pieces of evidence and records to ensure that you get the maximum benefit out of your car insurance policy. Here is a list of things that you will be needing before you submit the letter:
1. Include As Many Detail As Possible
Make sure your letter has all the details of the accident. Include the date, time, location, cause, and also the details of the other party who was involved in the accident. Without these, your insurance company will keep writing back to you demanding all this information and will slow down the process.
2. Ask Your Doctor For A Copy Of Your Medical Records
Without proper medical records, your insurance company might claim that the injury sustained by you is due to some other cause that’s not covered by them. They might also try to undermine the extent of injuries and the cost you might have incurred in treating them.
In a situation like this, a copy of your medical records, as well as the bills, will act as proof to ensure that your insurance company provides you with the coverage amount you deserve.
3. Determine The Extent Of Property Damage
Do not let your insurance company tell you the extent of your car’s damage because they will always try to undermine the value. Instead, go to a reputable garage and let them check your car.
They will not only tell you the extent of damage and the amount of money that you will be needing to repair it but will also provide you with a bill that you can show to your insurance company to claim your coverage.
4. Keep Everything Documented
Whether it is the name of the driver, the number of the car, or the circumstances in which the accident occurred, document as many things as possible. Without documentation, your insurance company reserves the right to reject your claim or not pay for certain expenses.
Also, if you are entitled to receive a payment for loss of income during the time you were injured according to your insurance policy, it will be better if you can get your employer or someone expert to write a letter online stating the same. This will make sure that your claim is more credible and the insurance company will not have any excuse to deny your coverage.
These are the few basic things that you need to keep in mind while drafting the settlement letter. Once you have these documents with you, proceed to write the letter, and make sure you do not miss out on any important detail.
Organize and format the letter properly before sending it to the insurance provider. From here on, it’s all about waiting for them to get back to you to take the matter to the next level.
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What Happens Once A Settlement Letter Is Sent To Your Insurance Provider
Once the insurance company has received the letter, it will evaluate it. There are four possible responses you can get:
- They can accept your claim and be willing to pay you as soon as possible.
- They might try to negotiate and offer you a counter-settlement offer.
- They might ask you for more information to evaluate your claim before reaching a decision.
- They might deny your claim for the coverage. However, in this case, they will have to provide a valid reason for the rejection.
If they do not meet your expectations in terms of providing the coverage and you suspect an ounce of dishonesty on their part, you can always file a lawsuit against them. Just keep the deadlines and statute of limitations in mind.
No matter how many letters of negotiation are exchanged between you and the company, it does not put the statute of limitations on hold. However, you’ll have to file the lawsuit within the deadline, else it won’t be considered a valid one.
If you do not want to go through the hassle of filing a lawsuit but at the same time, dealing with your insurance company seems a tough ask, you can always seek legal advice. Lawyers who handle such cases have written countless settlement letters.
You will have to pay a part of your coverage to the lawyer as a fee but hiring a lawyer will also maximize your chances of getting the best coverage with minimum hassle.
While looking for the perfect insurance company, consider both the service they provide and their quotes. After all, paying hefty car premiums is of no use if you can’t get your money back when you need it.
Always see to it that the insurance company you are opting for has a smooth settlement process so that in difficult times, you do not get burdened with unnecessary documentation and negotiation.
If a smooth claim settlement process is on your mind, opt for reputed insurance companies only.