In a seminal treatise on Bermuda Form arbitration, the authors explained that the liability crisis of the mid-1980s resulted in the shifting of the resolution of insurance coverage disputes from U.S. courts to London arbitration.
In a similar vein, it is increasingly common to find that policies written in the United States contain some form of alternative dispute resolution clause, calling for the resolution of coverage disputes by arbitration, mediation, or some combination of the two.
Of recent interest to risk management professionals is a new set of arbitration rules specifically designed to address insurance coverage disputes that were just released. Entitled the “ARIAS-US Panel Rules for the Resolution of Insurance and Contract Disputes,” the new rules went into effect on September 16, 2019.
Read more at Risk Management Magazine.