What is the importance of the demand letter in case a plaintiff has to proceed with a bad faith claim against the insurer?

Your Palm Beach County accident attorney should immediately determine if there is a good case on liability and if injuries and damages are substantial. Once this has been determined, your attorney should determine the amount of policy coverage available to determine if the policy is adequate. If deemed that the policy coverage probably isn’t adequate, there may be a possibility of a bad-faith case down the line. The demand letter sets the stage for the injured party to recover an excess verdict against the insurer for bad-faith for refusing to settle the original claim within the policy limits. The demand letter, along with supporting documents is critical because this is part of what will be used later in determining whether the insurer acted in bad faith. More important than the letter is probably the supporting documents sent with the letter such as medical bills, wage information, hospital records, photographs, expert reports, and detailed summaries from treating physicians, along with any other information important to make an evaluation of the claim. The letter should thoroughly explain why the insured is liable with concrete facts. It may seem that admitting some strong points on the defendant’s liability may be counter-productive, but this should be done to avoid an appearance of not being candid. Also, it should discuss the injuries, losses, and damages in strong detail and point out the vital facts on damages sustained by the injured. The Palm Beach County accident attorney should also stress the necessity for the client to immediately have the money. In the letter, it should clearly state that if the insurer promptly settles within a certain period of time, the plaintiff will accept the policy limits. This will serve to lower the legal fees and costs, and also minimize the stress on the plaintiff, which should also be communicated to the insurer in the letter. The letter should inform the adjuster that all pertinent information needed to evaluate the claim is provided, and further reasonable information needed to evaluate the claim will be provided upon request by the adjuster. Your Palm Beach County accident attorney should include a statement advising the insurer that they should pay the policy limits to protect the insured because the attorney has evaluated the damages to be in excess of the limits. After preparing the letter, the plaintiff’s attorney should discuss with the injured the substance of the letter, and obtain consent to demand the limits. From the onset of your case, it is imperative that your Palm Beach County accident attorney fully prepare for litigation and also a bad-faith claim for an award of damages exceeding the policy limits. Contacting an experienced Palm Beach County accident attorney immediately when you have been injured because of the negligence of someone else is essential to the preservation of your rights!