Settlement Demand Package

You are tasked with preparing a comprehensive Settlement Demand Package to be submitted to the at-fault party's insurance adjuster. This document serves as a persuasive, professionally crafted submission that presents a complete narrative of liability and damages, supported by evidence and legal authority. The package must be thorough, well-organized, and compelling enough to motivate settlement without litigation.

Cover Letter and Demand Overview

Draft a professional cover letter that introduces the claim and establishes the tone for the entire package. Begin by identifying all parties involved, including your client (the claimant), the at-fault party (the insured), the insurance company, and the claim number. Provide a concise executive summary of the incident, the legal basis for liability, and the total settlement demand amount. This opening section should be authoritative yet professional, making clear that you have thoroughly investigated the claim and are prepared to pursue litigation if necessary. The demand amount should be stated prominently and unequivocally. Review uploaded case documents to ensure accuracy of all identifying information, dates, and claim details. The letter should follow standard business correspondence format with proper letterhead, date, recipient information, and professional salutation.

Factual Background

Present a detailed chronological narrative of the incident that gives rise to this claim. Begin with the circumstances leading up to the event, then describe the incident itself with specificity regarding date, time, location, weather conditions, and any other relevant environmental factors. Include the immediate aftermath and your client's actions following the incident. This section must be factual, objective, and supported by evidence such as police reports, witness statements, photographs, and other documentation. Extract specific details from uploaded evidence including official reports, witness accounts, and contemporaneous records. The narrative should be compelling and paint a clear picture of what occurred, establishing a foundation for the liability analysis that follows. Avoid legal conclusions in this section; focus solely on presenting the facts in a logical, persuasive sequence that naturally leads the reader to understand how the incident occurred and why the defendant bears responsibility.

Liability Analysis

Provide a thorough legal analysis establishing the at-fault party's liability under applicable law. Identify the specific legal theory or theories supporting the claim, whether negligence, strict liability, premises liability, or another cause of action. Articulate each element of the claim and explain how the facts satisfy those elements. Reference relevant statutes, regulations, and case law from your jurisdiction that support your position. If comparative negligence is a consideration in your jurisdiction, address any potential arguments regarding your client's conduct and explain why they do not diminish the defendant's primary responsibility. This section should demonstrate command of the applicable legal standards while remaining accessible to an insurance adjuster who may not be an attorney. Include citations to authoritative legal sources, and ensure that any case law referenced is from controlling or persuasive authority in the relevant jurisdiction. The analysis should be structured logically, moving from general legal principles to specific application to the facts of this case.

Damages Assessment

Present a comprehensive and detailed accounting of all damages sustained by your client, divided into special damages (economic losses) and general damages (non-economic losses). For special damages, provide an itemized breakdown including:

• All medical expenses incurred to date, organized by provider and treatment type, with supporting documentation
• Future medical expenses reasonably certain to be incurred, supported by medical opinions or life care plans
• Lost wages and loss of earning capacity, calculated with specificity and supported by employment records and expert opinions if applicable
• Property damage, out-of-pocket expenses, and any other quantifiable economic losses

For general damages, provide a thorough discussion of pain and suffering, emotional distress, loss of enjoyment of life, disfigurement, and any other non-economic impacts. Support these claims with medical records documenting the nature and severity of injuries, treatment notes describing pain levels and functional limitations, and your client's own account of how the injuries have affected daily life. Use recognized valuation methods appropriate to your jurisdiction, and explain your methodology for arriving at the demanded amounts. The total damages calculation should be clear, well-supported, and presented in a format that allows the adjuster to verify each component.

Supporting Documentation

Provide a comprehensive index of all evidence attached to or referenced in the demand package. Organize the documentation logically, typically in chronological order or by category (medical records, employment records, expert reports, photographs, etc.). For each category of documents, provide a brief description of what the documents show and their relevance to establishing liability or damages. This section serves as both a table of contents and a guide to help the adjuster navigate the supporting materials efficiently. Include:

• Medical records and bills from all treating providers, organized chronologically
• Diagnostic imaging reports, test results, and other objective medical evidence
• Photographs of injuries, property damage, accident scene, and any other relevant visual evidence
• Police reports, incident reports, or other official documentation
• Witness statements or affidavits
• Employment records, wage statements, and documentation of lost income
• Expert reports or opinions, if applicable
• Any other documentary evidence supporting the claim

Ensure that all documents are clearly labeled, legible, and properly authenticated where necessary.

Settlement Demand and Terms

State your settlement demand with absolute clarity and specificity. Identify the exact dollar amount demanded in exchange for a full and final release of all claims arising from this incident. Specify the deadline by which the demand must be accepted, typically 30 days from receipt, and make clear that the demand may be withdrawn or modified if not accepted within that timeframe. Outline the proposed settlement terms, including payment method (typically a single lump sum), timing of payment, and the requirement that payment be made by certified check or wire transfer. Address the expectation that acceptance of the settlement will include execution of a mutual release and dismissal of any pending claims. If confidentiality is important to your client, include proposed confidentiality terms. Make clear that this demand is made in the interest of avoiding the time, expense, and uncertainty of litigation, but that your client is fully prepared to file suit if a reasonable settlement cannot be reached. The tone should be firm but professional, conveying that this is a serious demand backed by thorough preparation and a willingness to litigate if necessary.

Conclusion and Next Steps

Conclude the demand package by reiterating the strength of your client's claim and the reasonableness of the settlement demand. Summarize the key points: clear liability, well-documented and substantial damages, and a demand that reflects fair compensation for the harm suffered. Remind the adjuster of the deadline for response and the consequences of failing to settle, including the likelihood of litigation, additional costs, potential for a higher verdict, and possible bad faith exposure if the claim is unreasonably denied or delayed. Provide clear contact information for all communications regarding the settlement, including your direct phone number, email address, and mailing address. Express willingness to discuss the claim and answer any questions, while maintaining that the demand represents a fair resolution. Close with a professional signature block. The conclusion should leave the adjuster with a clear understanding that settlement is in everyone's best interest, but that you and your client are fully prepared to pursue all available remedies if the claim is not resolved satisfactorily.

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Final Instructions: After completing all sections, compile the demand package in a professional format with a table of contents, numbered pages, and all supporting documentation properly organized and attached. Ensure that the entire package is cohesive, persuasive, and presents a compelling case for settlement at the demanded amount. The package should be suitable for immediate submission to the insurance adjuster and should require no additional explanation or supplementation.