If No Claim Yet: Provide the atfault driver's full name, policy number (found on their insurance card), and any crash report details. Your settlement demand letter should stand out from the rest and explain clearly why they must respond to you as soon as possible.(a) An insurer engaging in business in this state may not engage in an unfair claim settlement practice. You must sign the form. Prepare and Submit a Settlement Demand Letter. A settlement demand letter outlines the facts of your case. If you sign a release you give up the right to sue the atfault party and their insurance company will be under no obligation to ever pay anything else to you. Crafting a demand letter requires two critical steps: working out the worth of your claim and ensuring that you have all the evidence to back it up. In the insurance lawsuit. Usually such agreements are not filed.