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."Understand your options when the insurance company makes a lowball injury settlement offer, and see a claimant's sample response letter. Always reject a settlement offer in writing. Type a letter to your contact at the insurance company listing the reasons you think that their offer is too low. The first step in rejecting a low settlement offer is to write a letter to the insurance company stating the rejection. In a suspense status and dismiss them without prejudice pursuant to. Use this letter to help you negotiate a full and final settlement offer with a creditor.