Significance of Personal Injury Demand Letter in Alabama

There are numerous ways to deal with the insurance company and the claims process. You may elect for the more formal methodology of sending a demand letter stating your claim and what you are due. The demand letter will surely put the insurance company on notice that you are fully prepared to sue if necessary. It should be a catalyst for the settlement negotiation process.

You need an experienced Anniston personal injury attorney to both draft the demand letter and negotiate on your behalf.

Call Steve Morris Law to learn more about your legal rights after you have suffered a personal injury.

What Is a Demand Letter?

The insurance claims process involves a dispute between you and the policyholder that the insurance company represents. You may have two different sides of the story or positions that need to be resolved. The party seeking something from the other wants to communicate their position, both why they feel they deserve something and what they feel they are owed.

If you have suffered a personal injury and can establish that the other party was to blame for what happened, you have a legal right to financial compensation. The insurance company is the one that would need to pay you up to the amount of the policy limit. You have a dispute because they often do not want to pay you what you are owed. You would outline your position in the dispute by sending them a demand letter.

What Is the Purpose of a Demand Letter?

The demand letter is a formal way of showing the insurance company that you mean business.

You are sending them a legalistic communication that lets them know your intentions if they do not meet your demand. Insurance companies have been doing business for long enough to know what your next step may be if they are not reasonable.

In some cases, your lawyer may make the strategic decision to begin the negotiation process by sending a demand letter. This step should communicate to the insurance company that you will not hesitate to file a lawsuit, and you may not necessarily have the time for them to use their standard delay tactics.

What Happens After You Send a Demand Letter?

Insurance companies usually take longer to respond when you send a demand letter. They know exactly what the demand letter means, and they are trying to dot all their i’s and cross their T’s legally. They also want to delay the process as much as possible because they think that the passage of time could make you more desperate and improve their own position.

However, the insurance company cannot delay for too long because there is a possibility of a bad faith claim when their policyholder ends up owing money for a claim that could have been settled.

At some point, the insurance company will finally respond to you. Many of them could take months to finally answer your letter. The insurance company will either accept liability and make you a settlement offer, or they may deny your claim entirely.

The one near certainty is that the insurance company will not immediately give you everything you are asking for once they respond. You would then be faced with a choice of whether to keep negotiating with the insurance company or take your case directly to court. After all, the insurance company may have only gone part of the way toward meeting your demand.

Why You Need an Attorney for a Demand Letter

The insurance company is only going to take you seriously when they know that there is a potential consequence for them. Insurance companies fear litigation because it drives up their costs, and it could mean that a jury orders them to pay more. They only know that you really mean business when you are represented by an experienced personal injury attorney.

Otherwise, the insurance company may simply laugh off your letter, knowing that you cannot do anything to hold them accountable.

Furthermore, it is essential that you show the insurance company that you have a sound basis for your claim to give them a reason to make you a reasonable settlement offer. An attorney would have gathered the evidence that shows the insurance company owes you money. They would help you present a credible claim that can form the basis for constructive settlement negotiations. The insurance company may only be willing to play ball if they know that they are up against a strong claimant.

Contact an Anniston Personal injury Lawyer Today

Reach out to Steve Morris Law today when you need an experienced personal injury attorney to deal with the insurance company on your behalf. Our law firm can more than hold its own against the insurance company. To schedule your free initial consultation, you can send us a message online or call us today at 256-357-9211. Not only is the initial consultation free, but you also do not need to pay us anything unless you win your case.

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