Sample Letter Requesting Insurance Proceeds be Placed in an Interest-bearing Escrow Account

NOTE: The sample letter below must be customized to the facts of your individual situation and claim.  All portions that are in parentheses and/or underlined must be completed or revised and anything in italics should be removed before you send it.




On [INSERT DATE OF LOSS], I experienced a [FIRE, FLOOD, ETC.] at my home located at [INSERT ADDRESS OF DESTROYED PROPERTY]. This [FIRE, FLOOD, ETC.] resulted in a total loss. I timely filed a claim with my insurance company.

The insurance company issued a check for my destroyed dwelling in the amount of [INSERT AMOUNT OF INSURANCE PROCEEDS]. I have endorsed this check and am requesting the proceeds be placed in an interest-bearing escrow account with all interest credited to my account. I do not want to pay off my mortgage at this time, and want to preserve these funds for the rebuild of my residence.

Please send me the account number the funds are deposited into, the terms of that account, and a monthly statement regarding the status of the account.

Additionally, please immediately provide the name, direct telephone number and email of a person with authority to work with me on [INSERT NAME OF MORTGAGE COMPANY’S] behalf. Thank you for your time and prompt attention to this request.



The information presented in this publication is for general informational purposes and is not a substitute for legal advice. If you have a specific legal issue or problem, United Policyholders recommends that you consult with an attorney. Guidance on hiring professional help can be found in the “Find Help” section of United Policyholders does not sell insurance or certify, endorse or warrant any of the insurance products, vendors, or professionals identified on our website.

Date: July 17, 2024