Page 42 - Fire Insurance Ebook IC 57
P. 42
Fire and Consequential Loss Insurance
(iii) A sole arbitrator has to e appointed in writing,
agreed by both the parties.
(iv) If the parties cannot agree upon a single
arbitrator within 30 days of any party invoking
arbitration, then a panel of three arbitrators can
be appointed, where two arbitrators are selected
by the two parties, and the third is chosen by
the two selected arbitrators.
(v) Arbitration shall be conducted under the
provisions of the Arbitration and Conciliation Act,
1996.
(vi) The award by the arbitrators shall be a condition
precedent to any right of action or suit upon the
policy.
(viii)The object of this condition is to ensure that
disputes are settled quickly. Arbitration is less
expensive than litigation, and a private process.
So, it avoids undue publicity or press coverage.
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