N.J. TO LAUNCH MEDIATION PROGRAM FOR HURRICANE SANDY INSURANCE DISPUTES
By Ed Beeson/Star-Ledger
February 25, 2013
Policyholders at odds with their insurer over Hurricane Sandy-related claims soon will have a more cost-effective and efficient way to resolve their differences over coverage, the Christie administration announced today.
New Jersey’s Department of Banking and Insurance is setting up a mediation program to give consumers the chance to settle insurance disputes without the time and expense of litigation. The department currently is seeking proposals from companies to provide mediation services, and interested firms have until March 7 to submit a bid.
The program would sit an experienced mediator between policyholders and their insurance companies in order to review the case and assist in settlement discussions. Similar efforts were undertaken with success in Gulf Coast states after hurricanes Katrina and Rita slammed the region in 2005, Kenneth Kobylowski, commissioner of the insurance department, said yesterday.