Policyholders at odds with their insurers over Hurricane Ida damage claims may now be able to resolve their disputes through a mediation program created by the Louisiana Department of Insurance.
Louisiana Insurance Commissioner, Jim Donelon explained how the Mediation and Arbitration Program will be administered in a Zoom meeting on Tuesday.
The Hurricane Ida Mediation Program is available to all insurance companies and their policyholders in the New Orleans and Baton Rouge area.
The mediation program aims to facilitate disputes for personal residential insurance damage claims up to $50,000.
“I’m confident this new mediation program will be helpful in solving claim disputes between insurers and policyholders and getting people what they need to put their homes and lives back in order,” said Commissioner Jim Donelon.
Here is how it works:
Policyholders who filed a claim with their insurance company and who are not satisfied with the insurance company’s response must first file a complaint with the Louisiana Department of Insurance.
If the claim disputed is not resolved by the insurance company, the policyholder then has the option to mediate through the program.
Residents will have to ask their insurer for the mediation program option as it is a voluntary program and not mandatory such as it was for Hurricane Katrina Donelon explained.
The program will pay $600 to one of two independent mediation companies in the program which will provide 90 minutes of mediation between the resident and the insurer they are disputing.
The mediator will have 30 days to set the date for mediation. All mediations will take place in either the Baton Rouge or New Orleans metropolitan area at locations provided by Mediation & Arbitration Professional Systems in Metairie or Perry Dampf Dispute Solutions in Baton Rouge.
For more detailed information on the mediation program and how you can utilize the program, click here.
The program is expected to run through June 30, 2022.