What is Demand letter?

A demand letter is a written request to the insurer for a specific amount, backed by evidence such as a valuation from comparable vehicles. It's often the first step before appraisal or other remedies.

Appraisal Clause

See how the referral program works The one-pager, the referral line, the AI assistant and the Appraisal Clause, set up for you.

More terms

Total loss Actual cash value (ACV)Appraisal Clause Umpire (appraisal)Total Loss Formula Total loss threshold Salvage value Diminished value Comparable vehicle (comp)Fair market value (FMV)Loss of use Property-damage-only claim Referral agreement (between law firms)

Updated 2026-11-01. General information, not legal advice; policy wording and state rules vary. TRUEclaims is not a law firm.