If you decide to reject the settlement offer, you'll need to do so in writing. Understand your options when the insurance company makes a lowball injury settlement offer, and see a claimant's sample response letter.This letter should clearly state the reasons for rejecting the offer, such as it not providing maximum compensation for the damages incurred. This process involves submitting a formal letter rejecting the settlement and outlining your need for additional funds. Gather Evidence: You'll need evidence to justify rejecting the settlement offer. Victims who want to respond to a low settlement demand offer must use factual information, persuasive arguments, and a professional tone. Choosing to accept or reject a settlement offer is a key decision. Find out what happens if you refuse a settlement offer and how a personal injury lawyer can assist you in fighting for fair compensation. Send a demand letter. At the beginning of a claim, it is best to reject the settlement offer in writing.