Steps to Take When an Insurance Company Says Their Offer Is Final

Disclaimer: I am not a lawyer. This article is educational and does not constitute legal advice. If you need legal advice about your situation, consult a licensed attorney in Massachusetts.

Detailed Answer — What to do right now

When an insurance company tells you “this offer is final,” you should treat that statement as a negotiation tactic, not as an absolute legal limit. Under Massachusetts law you have options. Take the following steps in order to preserve your rights and decide whether to accept, negotiate further, or escalate the matter.

1. Do not accept quickly — protect your rights

If the offer is less than your confirmed losses, do not sign a full release or accept payment immediately. A release often ends your right to pursue additional recovery later. Ask for the offer in writing and do not agree to language that releases future claims unless you understand and intend it.

2. Get the insurer’s offer and rationale in writing

Ask the company to provide, in writing, the following:

• Exact amount of the offer and whether it is a settlement for all claims;
• How they calculated the amount (policy limits, depreciation, comparative fault, medical records, lien offsets, economic vs. non‑economic damages);
• Any documents and reports they relied on (insurance adjuster notes, medical exam reports, repair estimates, recorded statements).

3. Compare the offer to your damages and documentation

Gather your medical bills, lost-wage records, repair estimates, and any receipts or photos. If your total confirmed losses (bills, out-of-pocket costs, lost income, and reasonable pain and suffering) exceed the offer, you have justification to press for more. If the insurer’s valuation relies on disputed facts or incomplete records, point that out in writing.

4. Send a focused demand letter

Respond with a clear, written demand letter that:

• Summarizes your injuries/damages and relevant policy language;
• Attaches supporting documents (medical bills, estimates, proof of lost wages);
• Explains why the final offer is insufficient and states a reasonable settlement number or asks for a justification of their valuation;
• Requests a response and gives a short deadline (often 10–30 days).

5. Consider statutory remedies under Massachusetts law

Massachusetts law prohibits unfair or deceptive claim settlement practices by insurers. Chapter 176D of the Massachusetts General Laws addresses unfair claim settlement practices by insurers and may apply if the insurer acted unreasonably or deceptively. See M.G.L. c. 176D: https://malegislature.gov/Laws/GeneralLaws/PartI/TitleXXII/Chapter176D.

Separately, Chapter 93A (Massachusetts consumer protection statute) provides a private cause of action for unfair or deceptive acts or practices, which may include bad faith insurance conduct in certain circumstances. Review M.G.L. c. 93A here: https://malegislature.gov/Laws/GeneralLaws/PartI/TitleXV/Chapter93A. A 30‑day demand is commonly used to give the other party a chance to remedy an alleged violation before filing suit — speak with counsel about the timing and content of such a demand.

6. Watch deadlines — statute of limitations and preservation of claims

Don’t let time run out on your legal claims. For most personal injury tort claims in Massachusetts the statute of limitations is three years. See M.G.L. c. 260, § 2A: https://malegislature.gov/Laws/GeneralLaws/PartI/TitleII/Chapter260/Section2A. Other claim types and contractual or policy deadlines may be shorter. If you are near a deadline, consult an attorney promptly.

7. Consider alternative dispute resolution or appraisal if available

Some policies include an appraisal clause for property-damage disputes or require mediation/arbitration. Check your policy. Appraisal can resolve the dollar amount for property loss without a full lawsuit. Mediation can sometimes break an impasse.

8. When to get an attorney

Seek a Massachusetts attorney if:

• Your damages clearly exceed the insurer’s offer by a large amount;
• The insurer will not provide documentation or has an unclear basis for the offer;
• You face complex liens, significant medical issues, or disputes over fault;
• You want to consider a Chapter 93A or other legal claim against the insurer.

An attorney can evaluate coverage and defenses, prepare a c.93A demand if appropriate, and preserve deadlines and evidence.

9. If you suspect bad faith

If the insurer unreasonably denies coverage, ignores evidence, or misstates law or facts, you may have a claim under M.G.L. c. 176D or c. 93A. Document all communications, dates, names, and statements. Save written offers and any release language. The Massachusetts Division of Insurance also handles consumer complaints; you can file a complaint with them: https://www.mass.gov/orgs/division-of-insurance.

A brief hypothetical example

Hypothetical: You suffer a back injury in a Massachusetts car crash. Your medical bills total $12,000 and you miss two weeks of work. The insurer says their final offer is $4,000 and asks you to sign a full release. You should: (1) ask for the offer and basis in writing; (2) send a demand letter attaching your bills and wage statements and asking for a reasonable settlement; (3) decline to sign a release until you are sure it covers all claims; (4) consider counsel if the insurer refuses to negotiate or refuses to produce the basis for its valuation.

Helpful Hints

• Always get offers and settlement language in writing before you sign anything.
• Keep chronological records of contacts with the insurer: dates, names, and content of conversations.
• Attach documentation to your demand — medical bills, wage records, repair estimates, photos, and receipts strengthen your position.
• Be aware of policy provisions (deductible, limits, appraisal clauses) before negotiating.
• If you receive a low “final” offer, ask for the adjuster’s notes and any independent medical examination reports they relied on.
• Filing a complaint with the Massachusetts Division of Insurance is an option if you cannot get a reasonable response.
• Act promptly — statutes of limitations and policy notice requirements can bar claims if you wait too long.

If you want, I can outline what to include in a sample demand letter, list questions to ask an adjuster, or help you find a Massachusetts attorney who handles your type of claim.