Archives: Negotiation

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The Appraisal Provision in First-Party Property Policies

I’m not a big fan of arbitration.  I think it costs too much (which kind of goes against its main marketing point), and I don’t particularly like the fact that there’s no right of appeal absent the arbitrator committing fraud. Having said that, and with so many Sandy-related claims still pending in New Jersey, I … Continue Reading

Contribution claims between insurance companies

Settling complex insurance claims involving multiple carriers can be like playing three-dimensional chess. (Since I can’t even play one-dimensional chess, that means it’s really difficult.) I once had a multimillion-dollar environmental insurance coverage settlement fall apart because one of the participating carriers would not assume an extra 1% of the coverage, despite (or perhaps because … Continue Reading

Bad Faith and Settlement Negotiations

Here’s an interesting question recently confronted by the Ninth Circuit:  Is it bad faith for an insurance company to refuse to initiate settlement discussions in a third-party context when liability has become reasonably clear?  The carrier (Deerbrook, an Allstate company) took the position that bad faith could not exist unless the carrier failed to respond … Continue Reading

The insurance company’s duty to negotiate in good faith

Needless to say, it can be very dangerous for insurance companies to “roll the dice.”  Over at the Michigan Auto Lawyers Blog, Steve Gursten tells the story of an adjuster who showed up 40 minutes late for a mediation, and then wouldn’t go north of $1 million in a catastrophic truck accident case involving serious personal injury.  The carrier … Continue Reading

Settling with insurance companies

Over at Settlement Perspectives, they have some good advice about working with your insurance carrier to resolve disputes.  These include: “Insurers hate surprises.  Communication is key.”  I will add the following.  You must observe the rules of the ritual.  Insurance companies are huge bureaucracies, and like all bureaucracies, they have their sometimes arcane procedures for getting things … Continue Reading
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