What Is An Insurance Letter?

Insurance letters can be used for a number of purposes. They can be used to get a better price on a new policy, motivate current customers to upgrade their plans, or to attract new clients. Having a good knowledge of what these letters are is important for any prospective customer. The following information will outline some of the most common types of insurance letters.

A reservation of rights letter is a legal document that the insurer sends to you. The purpose of the letter is to inform you that you have a certain legal right to a certain thing. For example, you may have been mistakenly marked as the at fault driver in an accident. You may also have been notified that you are required to provide proof of insurance in order to participate in an investigation.

A subrogation letter is another type of letter that the insurance provider will send to a third party. This letter is usually sent after an insured person has been reimbursed for a claim. It provides the terms of how the provider can pursue the claim against the third party.

An experience letter is a bit like a letter of recommendation. This letter is usually written by an insurance company that has previously covered you. It will contain all the relevant details to set you up for a successful new policy.

When you're shopping for insurance, you might be tempted to skip over the proof of insurance letter. It's a very important piece of documentation, and it can be a real game-changer.