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Sounds like they want you to cash that check as an acceptance for your damages. I hope you are suing the living you know what out of them. I wouldn't deposit that check until you talk to your lawyer
I wouldn't cash/deposit that on a bet. I don't know if wording was done like that on purpose or not, being an insurance company, nothing would surprise me. You're doing a lot of work that could someday help a lot of people, thank you for that. I've had Allstate for over 25 years, tomorrow I'm going to get rate quotes from other companies, It's been long enough.