CPR Institute Releases Two New Tools to Assist Insurance Industry
July 11, 2006• INTERNATIONAL REINSURANCE DISPUTE RESOLUTION PROTOCOL
• MEDIATION PRINCIPLES FOR INSURER-INSURED DISPUTES
The CPR Institute), a nonprofit alliance of the largest global corporations, law firms, scholars, and public institutions, has been an active proponent and convener within the insurance community for over 20 years. The two new tools are a result of this work.
International Reinsurance Dispute Resolution Protocol
In April 2005 a meeting was held at the offices of QBE International Limited in London attended by several prominent insurance companies. The group sought areas in which inter-company disputes were most costly and ripe for reform and cooperation. They chose disputes between re-insurers and ceding companies, and in the ensuing months worked with CPR Institute to devise a set of “best practices” that would be applicable throughout the world. The new Protocol sets forward a straightforward four-step method that addresses the often protracted and always expensive disputes that arise between ceding companies and re-insurers.
The following is a quote from the final document. “The companies adopting this Protocol wish to avoid unnecessary delays, financial burdens, animosity and uncertainties of arbitration and litigation in connection with disputes between reinsurers and ceding companies. They believe that such disputes are best resolved promptly, privately, and efficiently through confidential negotiation and, if necessary, mediation.
“The companies adopting this Protocol therefore undertake to attempt in good faith to resolve any dispute of the nature herein described in the manner set forth.”
Mediation Principles for Insurer-Insured Disputes
In 2005 CPR Institute convened the Corporate Insurance Coverage Committee, comprised of representatives of corporate policyholders, commercial insurers, brokers, coverage counsel, and defense counsel. Their task was to devise and promulgate mediation best practices for managing policyholder coverage disputes in an efficient and commercially rational manner. The resulting product was designed to encourage parties to engage in mediation when faced
with the prospect of coverage or other insurance-related litigation.
These two new initiatives are only one part of an arsenal of materials created specifically for the insurance community. For a complete listing of insurance resources, please go to www.insurancemediation.org.
CPR’s wealth of intellectual property and published material has educated and motivated general counsel and their firms around the world toward an increased reliance on alternative forms of dispute resolution rather than litigation. CPR’s proprietary panel of esteemed arbitrators and mediators has provided resolutions in thousands of cases, with billions of dollars at issue, worldwide. For more information, please visit our web site at www.cpradr.org.
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