CCP 999 and policy limit demands

Before the CCP 999 there were codified rules for pre-litigation policy-limit demands, sometimes leading to ambiguity and triable issues of facts concerning bad-faith

What is CCP 999-1-5?

States that minimum material terms include a 30-day acceptance period, an offer to settle within policy limits, lien satisfaction, a complete release of the insured, loss details, claim number, a description of injuries, and reasonable supporting proof.

Specifies that demands should be sent to the designated email or physical address of the liability insurer or the known insurance representative. The Department of Insurance posts these addresses on its website for implementation.

Requests for clarification or extensions during the acceptance period are deemed counteroffers.

Demands not substantially complying won't be considered a "reasonable offer to settle"

CCP §999.5 applies to personal injury, property damage, bodily injury, or wrongful death claims covered under various liability insurance policies, including those for automobiles, motor vehicles, homeowners, or commercial premises.