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United States: Introducing The ARIAS-US Panel Rules For The Resolution Of Insurance And Contract Disputes

Oct. 04, 2019

In April 2017, ARIAS-US undertook a project to create arbitration rules for use in non-reinsurance disputes including direct insurance disputes and those involving captives1. Following many meetings, drafts, and revisions, the new ARIAS-US Panel Rules for the Resolution of Insurance and Contract Disputes are here and went into effect as of September 16, 2019 (the “Insurance Rules”).

The Neutral Rules

The starting point for the rules was the ARIAS-US Neutral Panel Rules for the Resolution of U.S. Insurance and Reinsurance Disputes (the “Neutral Rules”).2

As set forth in Article 1.6 of the Neutral Rules, “The object of these Rules is to obtain the fair resolution of disputes by an independent and impartial arbitration panel free of any bias or predisposition. The arbitration panel selected under these Rules is assigned the mandatory duty to act fairly and impartially as between the Parties.”3

To that end, the Neutral Rules require that the arbitration panel consist of three neutral arbitrators who qualify under the ARIAS-US Neutral Arbitration Panel Criteria (the “Neutral Criteria”).4 They also require that, “The arbitrators shall be persons who are current or former officers or executives of an insurer or reinsurer.”5

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