ABA Sets Up Task Force on Insurance and Terrorism Claims

The American Bar Association announced the creation of a Task Force on Insurance and Terrorism Claims to address insurance issues arising out of the terrorists attacks on the World Trade Center and the Pentagon.

The primary goal of the ABA’s Insurance Coverage Litigation Committee of the Litigation Section is to establish an open and frank dialogue between all concerned participants and to promulgate guidelines for the discussion and settlement of outstanding claims.

The announcement indicated that the participants would be asked to “pledge and agree that no statements made during deliberations of the Task Force will be used against a party making them without its consent, in any litigation, or other adversarial context.”

The Task Force has prepared a general checklist for making claims under property insurance policies, and a checklist of additional information that may be required in making a claim under business-interruption coverage, but warns that they may not cover all cases.

It urged policyholders to to examine their policies closely, and to pay particular attention to the time limits applicable to filing claims. Given the huge volume of claims, any initiative that aims to expedite their adjustment is to be applauded. The ABA stated that it also hoped that the Task Force would “minimize transactional costs and maximize the potential for efficient and fair resolution of common issues in this national tragedy.”

Although it cautioned that its guidelines were not a substitute for actual legal advice, the ABA said that “by providing this information, we hope to speed the claims process for policyholders and insurance companies alike, and thus reduce the costs and time involved in resolving claims.”|”aba, sets, up, task, force, on, insurance, terrorism, claims

Topics Catastrophe Trends Natural Disasters Claims