What Is a Time-Limited Demand in Georgia?
Short answer: A time-limited demand is a written offer to settle an injury claim for a set amount that expires on a set date. In Georgia motor vehicle cases, O.C.G.A. § 9-11-67.1 spells out what these offers must contain and how the insurer can accept them.
Definition
In Georgia practice the term usually means a formal demand, often for the at-fault driver’s policy limits, sent before or early in a lawsuit. The deadline matters because an insurer that unreasonably lets a valid offer expire may later owe a verdict above its limits.
How it works in Georgia
For a lawyer’s offer in a motor vehicle injury or death claim, made before all defendants answer the lawsuit, O.C.G.A. § 9-11-67.1 sets these rules:
- Only the listed material terms: a deadline to accept of at least 30 days from receipt, the amount, who will be released, whether the release is full or limited, the claims released, a payment date at least 40 days from receipt and, unless waived, the insurer’s sworn statement about its coverage.
- Records: enough medical or other records for the insurer to evaluate the claim.
- Delivery: certified mail or statutory overnight delivery, return receipt requested, citing the Code section and giving an address plus a fax number or email for acceptance.
- Clarification: the insurer may ask written questions about the terms, release, liens and bills without making a counteroffer.
- Safe harbor: an insurer that accepts the material terms in writing, provides any required coverage statement and timely pays the lesser of the demand or its bodily injury limits cannot be sued for failing to settle.
The statute has been amended several times, so the version that applies depends on when the offer was made.
Example
A driver with a $50,000 policy runs a stop sign in Marietta and breaks your leg. Your lawyer sends a § 9-11-67.1 demand with your records, offering to settle for $50,000 and giving the insurer 30 days from receipt to accept. If the insurer lets it lapse without good reason, it may face larger exposure later.
Why it matters for your claim
- A properly drafted demand can open the door to money beyond a small policy.
- One technical mistake can make the demand invalid.
Read more: Bad faith insurance claims in Georgia: holding insurers accountable.
Related terms
Frequently Asked Questions
Is a time-limited demand the same as a Holt demand?
They overlap. “Holt demand” is the Georgia name for a time-limited offer to settle within the policy limits, after Southern General Insurance Co. v. Holt (Ga. 1992). A time-limited demand can be for any amount.
Does § 9-11-67.1 apply to slip and fall or other non-car cases?
No. It covers injury and death claims arising from a motor vehicle collision and excludes product liability claims. Other offers follow general contract and insurance law.
Browse the full Georgia personal injury glossary
Questions about how this applies to your accident? Call 888-BIG-GUNN or request a free case review. There is no fee unless we recover for you.
This is general information about Georgia law, not legal advice for your situation.
