九色

Beginning January 3, 2006, Louisiana residents whose Hurricane Katrina or Rita insurance claims are in dispute will have the opportunity to mediate their claim at no cost, according to the Louisiana Department of Insurance.

Commissioner Robert Wooley has established a mediation program through which a neutral third party will meet with policyholders and their insurance companies in an attempt to resolve coverage disputes and settle claims.

The mediation program is mandatory for insurance companies but voluntary and free for policyholders. All insurers in Louisiana must notify their policyholders with claims disputes about the mediation program, regardless of whether a check has been issued.

“I think that because there’s going to be a lot of dispute over concurrent causes wind versus flood, those types of issues this is a good case-by-case procedure for people to work out those issues with their company,” Wooley told the Associated Press.

The mediation is non-binding, so neither the policyholder nor the company is legally obligated to accept the mediator’s settlement recommendation.

“Even if a policyholder accepts a settlement at mediation, they have up to three days to change their minds as long as they notify their insurer,” Wooley stated when announcing the program. Choosing mediation does not prevent a policyholder from participating in other dispute resolution procedures.

The program’s administrator, the Amer-ican Arbitration Association (AAA), will choose mediators from the Louisiana State Bar Association’s approved list of mediators. AAA will also use as mediators those persons who are qualified under the Louisiana Mediation Act.

AAA can be reached at (800) 426-8792 or found online at www.adr.org.

Topics Catastrophe Natural Disasters Louisiana Hurricane