If a lawyer sends a demand to your insurance company, does the insurance company usually comply? -

Let s say my lawyer demands $50,000. The demand letter is legit and everything sounds right, or maybe just a bit fabricated. Well, either way, does the insurance company pay the $50,000 or negotiate? If they say no, then what happens?

They usually will get their lawyer to make a counter-offer.

Unless what their insured did was very egregious, clearly indefensible and probably worth more than the amount demanded in the letter, then no. They will either counter with an offer of a smaller amount, or refuse to pay at all. The first option is the most likely. If your lawyer and the insurer cannot negotiate an amount that is acceptable to both, then your lawyer will file a lawsuit against the insured.