In this comprehensive guide, we'll walk you through an example car accident settlement letter and break down its key elements. Your letter should include a concise factual summary of the accident, an overview of your damages, your settlement demand, and not much more.When writing the letter, you must include all the case's facts, the total amount of damages you are seeking, and the monetary amount you expect to receive. The small claims demand letter can open up a dialogue between you and the defendant and help you reach some sort of settlement. She and her insurance (State Farm) accepted full liability as she was obviously at fault and was being careless. Learn about cash settlements in your case and how they are accepted and approved. David Azizi explains the process of cash settlement acceptance. Once you've submitted your demand letter, the ball is in the insurance company's court. This letter will describe your injuries, explain how the at-fault party acted negligently, and explicitly request compensation for the damage. I'm about to start writing a settlement deman letter to Geico for a Rear end Collision i was in.