If you decide to reject the settlement offer, you'll need to do so in writing. 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. I looked back at some rejection letters I sent and realized that I usually follow a pretty simple format: Say thanks. Does the collection agency have to accept my settlement offer? No, they do not have to accept your offer. Most jurisdictions require a meet-and-confer letter for deficient discovery request responses before you can file a motion to compel. View on Westlaw or start a FREE TRIAL today, § . Letter to Client Recommending Rejection of Settlement Offer, Legal Forms. This letter should clearly state the reasons for rejecting the offer, such as it not providing maximum compensation for the damages incurred.