Settlement Offer vs. Demand Decision Analysis for a Personal Injury Case
Compares an insurer's offer with your demand and with the trial scenarios you supply. It recomputes net-to-client under your fee terms, costs and liens, uses only your probabilities and values, and lists the decision points for you and the client.
The Prompt
Variables (8)
| Variable | Description | Example |
|---|---|---|
| {{client_name}} | Client Name | Maria Gonzalez |
| {{offer_amount}} | Insurer's Offer (USD) | 85000 |
| {{demand_amount}} | Our Demand (USD) | 225000 |
| {{fee_agreement_terms}} | Fee Agreement Terms | One-third of gross recovery if resolved before suit; 40% after filing. Costs advanced by firm and reimbursed from client share after fee. |
| {{coverage_and_limits}} | Coverage and Limits | Defendant policy limit $250,000 per person (declarations page pasted). UIM claim not yet opened. |
| {{costs_and_liens}} | Costs and Liens | Costs to date $4,180; projected through trial $38,000 (attorney estimate). Health plan lien letter: $21,400. |
| {{attorney_valuation_inputs}} | Attorney Valuation Inputs | Scenario A: trial verdict $300,000, probability 40%. Scenario B: defense verdict, probability 25%. Timeline to trial 20 months (attorney estimate). |
| {{offer_demand_and_case_record}} | Offer, Demand and Case Record | Adjuster letter 09/18/2026 offering $85,000; demand letter 08/01/2026; medical specials summary; police report. |
Expected Output
A decision memo: conflicts, a net-to-client table with every step shown, a gap and policy-limit comparison, risk factors with sources, decision points and any counter inside your own figures, missing information. Closes with a Verification list.
Usage Notes
Use when an offer arrives and you must prepare the client conversation. Paste your own fee terms, lien letters and any scenarios and probabilities you want modeled; the model will not supply them. Watch for any probability, verdict range or multiplier that is not yours, and for a net figure that skips a lien or applies the fee in the wrong order. Check the arithmetic line by line. Not legal advice. The attorney remains responsible for verifying every fact, figure and authority before use.
Double-check before use
- Check which fee tier is applied to each scenario against your fee agreement. In testing, the pre-suit rate was once applied to a verdict.
These are the places where this prompt was seen to slip when tested on sample cases with a small AI model.
Legal Sources Referenced
- Fed. R. Evid. 408 (compromise offers and statements made during compromise negotiations are not admissible to prove or disprove the validity or amount of a disputed claim)
Originally featured in: AI for Personal Injury Lawyers: Prompts for Demand Letters, Medical Summaries & Depositions
Related Prompts
Adjuster Counteroffer Analysis and Response Letter for Personal Injury Claims
Tests each reason the adjuster gave against your demand package, separates the reasons the record answers from the ones that expose a real weakness, proposes a counter using only your figures, and drafts the response letter.
Client Case Status Update Email for Personal Injury Matters
Drafts a short, warm client status email that leads with the most important update, uses only developments your documents support, and leaves every timeline and date you did not supply for you to complete.
New Personal Injury Client Welcome and Expectations Letter
Drafts a warm, jargon-free welcome letter that explains the process, restates your fee terms exactly as pasted, lists what you need from the client and gives your own do and do-not guidance, leaving anything you did not supply for you to complete.
Medical Bill Audit and Itemization for PI Cases
Audits pasted medical billing records into a date-sorted itemization with provider subtotals, totals recomputed before any stated total is read, duplicates and pre-incident charges excluded with the subtraction shown, and unsupported charges flagged.
* These prompts are drafting and analysis aids for licensed attorneys. They are not legal advice and do not replace professional judgment. AI output can contain errors, including invented citations and incorrect deadlines: verify every fact, figure, authority and deadline against primary sources before relying on it. Rules vary by jurisdiction, and you remain responsible for the final work product.