People often think of insurance claims as a bureaucratic process. They think that all someone has to do is file paperwork with an insurance company and they will soon have a check in their hands for exactly as much money as they require.
While that may be the ideal claims process, that is rarely the experience that someone has. The bigger the claim, the more likely it is to result in disputes with the insurance company and other challenges. The process of trying to negotiate a settlement with an insurance company can take months and sometimes leads to civil litigation. Some people embroiled in a dispute with an insurance provider would benefit from trying to settle the matter in mediation. How might mediation help those struggling with an insurance claim?
1. They can resolve matters more quickly
Mediation can result in a settlement far faster than litigation. It may only take a few weeks of advance notice to schedule a mediation session with insurance professionals and someone’s lawyer. It could take months before there is an opportunity for a hearing in civil court. The more significant the financial impact the incident has been on employment, the more important it may be for them to get a timely settlement instead of waiting for their day in court.
2. They can settle the issue confidentially
The details of an insurance claim can sometimes be deeply personal. The mental health and secondary physical consequences of an injury or traumatizing incident can have profound impacts on someone’s daily life, professional expectations and interpersonal relationships. People often feel uncomfortable or embarrassed discussing those matters in a quart of law where not only are their statements public but they will become part of the permanent court record.
Mediation sessions are confidential. The only part that would become even remotely public might be the agreement signed at the end of the negotiations. Those that have deeply personal factors influencing their insurance claim may want to consider mediation as a means of preserving their personal privacy.
Exploring the benefits of dispute mediation for those who are currently navigating an insurance dispute could lead to a faster and fairer resolution to any particular matter. Seeking legal guidance is usually a good place to start.