3 Key Changes In New Insurance Arbitration Rules
Traditionally, policyholders and their counsel have had concerns about AIDA Reinsurance and Insurance Arbitration Society, or ARIAS-U.S., a nonprofit corporation that seeks to improve the insurance and reinsurance arbitration process.
Given this, in seeking to expand ARIAS-U.S. to cover nonreinsurance disputes including direct insurance disputes and those involving captives, ARIAS-U.S. sought policyholder input in developing the new rules. Following many meetings, drafts and revisions, the new ARIAS-U.S. Panel Rules for the Resolution of Insurance and Contract Disputes are here and went into effect as of Sept. 16.
While there are many nuances in the insurance rules worth noting, this article focuses on three key changes — party-appointed arbitrators, the requirement that arbitrators follow applicable law and the optional mediation procedure.
As the starting point for the insurance rules was the ARIAS-U.S. Neutral Panel Rules for the Resolution of U.S. Insurance and Reinsurance Disputes, this article focuses on those key changes from the neutral rules.
Read more at Law360.