Being the victim of a motor vehicle accident, slip and fall, dog bite, or other personal injury accident can be devastating, both physically and financially. Your chances of obtaining the compensation you deserve after such an accident can be greatly increased with the help of an experienced Atlanta personal injury attorney who can deal with insurance companies on your behalf. One of the most important steps your personal injury lawyer will take is writing a policy limit demand letter, which is sent to insurers demanding they pay out their policy limits to reimburse you for your losses.
Understanding Insurance Policy Limits
Insurance policy limits are established to set maximum monetary amounts for payouts of insurance policies for compensation or benefits. Retaining a personal injury lawyer in Atlanta who can write and send a policy limit demand letter is important because if an insurance company fails to accept your offer to settle your case for those limits, they may be forced to eventually pay an amount beyond those limits. A policy limit demand letter is intended to provide the insurance company the chance to protect its insured from paying an excess verdict.
In the event that the insured’s policy limits are unknown, an experienced personal injury attorney will request that the insurance company reveal the limits. It can be considered bad faith for an insurance company to refuse to disclose their insured’s policy limits. As a result, most insurance companies usually reveal the policy limits, giving your lawyer the opportunity to demand such payment prior to a lawsuit being filed.
Demanding insurance policy limits has several benefits. Insurance companies are more likely to settle personal injury claims within those limits when the damages from your personal injury accident are exceedingly large. For example, because the payout of policy limits results in a faster settlement, you will likely settle your case much earlier in the litigation process, giving you access to your monetary compensation quicker, and will avoid having to file suit or eventually go to trial.
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What to Include in a Policy Limit Demand Letter for a Personal Injury Case
Insurance companies are obligated to act in the best interests of their insured. This means that they must consider the strengths and weaknesses of your personal injury claim and determine whether the amount you may be awarded in court exceeds the applicable policy limits. There are several key elements that should be included in a policy limit demand letter for your personal injury case.
A Description of Your Accident
A well-written policy limit demand letter should include a detailed description of your personal injury accident. It should also contain evidence showing the insurance carrier why its insured is liable for your injuries. This evidence may include a copy of the accident report, photographs, and witness statements.
The Nature of Your Injuries and Other Losses
An effective policy limit demand letter will explain the severity of your injuries and their associated costs. It should include any lost wages and future treatment required. It should explain why those damages are likely to exceed the policy’s limits.
The Applicable Insurance Policy Limits
Your personal injury attorney in Atlanta should include the applicable insurance policy limits in their demand letter. It should explain why you are entitled to the full policy limit and include evidence supporting that claim. Including the applicable policy limits also demonstrates that your accident meets the qualifications for coverage.
A Reminder of the Insurance Company’s Duty to Notify Its Insured
An insurer is required to notify its insured prior to rejecting a settlement demand. Reminding the insurance company of this duty to communicate gives the insured a chance to contribute monetary resources to any potential settlement. It also puts some pressure on the insured to settle and avoid a bad faith claim.
An Offer of a Full and Final Release of Your Claims
It is important for policy limit demand letters to include language making it clear that the payment of policy limits will be exchanged for a full and final release of all your personal injury claims. This language removes any possibility that if the insurance carrier accepts your demand, you could still back out of the settlement deal. The demand letter must also include language resolving all claims by all claimants against all insureds.
A Reasonable Settlement Demand
A strong policy limit demand letter should include a demand that a reasonable person or entity would accept. It should also make clear that any liens asserted against you relating to your personal injury accident will be paid out of this settlement. No insurance company will risk making double payments.
A Deadline to Accept Your Demand
Every policy limit demand letter should include a clear deadline for the insurance company to accept your offer. This deadline should be bolded or underlined so any potential confusion can be avoided. It is also important to create a reasonable deadline that considers the facts of the case and the statute of limitations applicable to your accident.
Why You Should Retain an Attorney to Make a Policy Limits Demand in Your Personal Injury Case
A skilled Atlanta personal injury lawyer can help you receive maximum compensation for the damages you received in your accident because of another’s negligence. Our attorneys at John Foy & Associates can also reduce your stress of dealing with insurance companies, whose goal is to pay you as little as possible. In addition to helping you focus on recovering, our attorneys can help with the following:
- Investigating the facts and circumstances of your personal injury accident
- Determining who is liable for your accident
- Determining if bad faith is an issue
- Writing a policy limit demand letter to the insurer
- Filing a personal injury lawsuit if your settlement offer is declined
- Collecting evidence to prepare for a trial, if necessary
There are many benefits to retaining our experienced personal injury lawyers at John Foy & Associates to handle your personal injury claim. Get the Strong Arm, and you can shift your focus to recovering while we handle getting you the compensation you deserve. We have proven results with an outstanding success rate.
Get Help from a Skilled Atlanta Personal Injury Attorney
Our experienced personal injury attorneys at John Foy & Associates are experts at writing policy limit demand letters and fighting to get you compensation for your personal injury losses. Never talk to an insurance company without our help. Contact us today for a free, confidential, no-obligation consultation so we can fight for what you deserve after your personal injury accident.