If you disagree with the offer, you can decline it. However, rejecting a settlement offer isn't as simple as saying, "Sorry, I won't accept it."If you decide to reject the settlement offer, you'll need to do so in writing. Rejecting a settlement letter could either lead to further negotiations or to a courtroom trial where you seek a jury award for your losses. The first step in rejecting a low settlement offer is to write a letter to the insurance company stating the rejection. Understand your options when the insurance company makes a lowball injury settlement offer, and see a claimant's sample response letter.