5 avenues for resolving insurance indemnity disputes without protracted litigation

When an insurer and an insured disagree on the outcome of a claim under an insurance policy, a well-managed dispute resolution process can offer cost-efficient, impartial and quick resolution of coverage disputes. Here are five different avenues for resolving indemnity disputes without protracted litigation:

1. Dispute resolution clauses

A well-drafted dispute resolution clause in an insurance policy can be a cost-effective way for an insurer to resolve an indemnity dispute without litigation. When drafting a dispute resolution clause in a policy, the insurer may nominate:

• the jurisdiction and choice of law for the resolution of disputes under the policy
• who may act as arbitrator or mediator, and