Arbitration Agreement

An Arbitration Agreement is a written contract between parties to an insurance dispute, typically the policyholder and the insurance company, agreeing to submit the dispute to arbitration. Arbitration is a form of alternative dispute resolution in which a neutral third party, known as an arbitrator, hears evidence and arguments from both sides and renders a binding decision. The arbitration agreement typically outlines the rules and procedures for the arbitration process, including the selection of the arbitrator, the scope of the arbitrator’s authority, and the finality and enforceability of the arbitrator’s decision.