Mandated arbitration has no place in insurance policies for individuals, NAIC reviewing, McCarran- Ferguson Act allows states to regulate arbitration in insurance over Federal Arbitration Act FAA

Mandated arbitration has no place in insurance policies for individuals, NAIC reviewing, McCarran- Ferguson Act allows states to regulate arbitration in insurance over Federal Arbitration Act FAA

“Thrivent contends that its commitment to individual arbitration is ‘”important to the membership because it reflects Thrivent’s Christian Common Bond, helps preserve members’ fraternal relationships, and avoids protracted and adversarial litigation that could undermine Thrivent’s core mission.’”…Thrivent v. Acosta Nov. 3, 2017

“pre-dispute mandatory arbitration provisions are inappropriate in insurance policies and incompatible with the legal duties insurers owe policyholders when handling their claims.”…NAIC, National Association of Insurance Commissioners, August 15, 2016

“Our organization was founded to help Lutherans care for and support one another in time of need, guided by the principles of the Christian faith.”…Thrivent Code of Conduct

 

From Insurance Business Magazine.

Clicking “accept” on a company’s terms and conditions – something we do daily to use and pay for products and services – usually subjects us to lengthy contractual agreements, many of which contain mandatory arbitration clauses. Proponents of arbitration might think it’s the greatest thing since whole wheat artisanal sliced bread, but mandating arbitration in consumer contracts is troublesome, and it has no place in insurance policies for individuals and small businesses.

Over the last 10 to 15 years, the practice of requiring individuals to agree to arbitrate rather than litigate any future disputes (or forgo the product, service or employment altogether) has been heavily criticized by government agencies, the media, academics and consumer groups. Arbitration, it turns out, is not always faster and cheaper (the two major benefits claimed), and it can suppress the number of consumers pursuing legal remedies, the likelihood of success and the amount of damages.”

“However, placing mandatory arbitration clauses in insurance policies restructures this crucial aspect of the insurer-insured relationship. Companies presumably employ pre-dispute mandatory arbitration provisions because they believe arbitration generally benefits them – and a growing amount of research suggests they are right. In addition, arbitration proceedings are usually confidential, not subject to judicial or regulatory review (absent fraud), and may contractually limit remedies and damages policyholders would otherwise have under their state law. Manipulating the dispute resolution process in this manner in insurance is in conflict with the duties insurers owe their policyholders and is not holding their policyholders’ interests “at least equal to their own.”

These concerns are why NAIC consumer representatives have requested the NAIC amend the Model Unfair Trade Practices Act to prohibit mandatory pre-dispute arbitration clauses in insurance policies sold to individuals, and ideally small businesses. An NAIC working group is now considering this action.”

“Thanks to the strong presumption favoring state insurance regulation in the McCarran- Ferguson Act, states can regulate arbitration in insurance despite the Federal Arbitration Act [FAA], which otherwise pre-empts most state laws restricting arbitration. Every court considering the application of McCarran Ferguson to the FAA has acknowledged that states can ban or restrict arbitration clauses in insurance contracts as long as the state prohibition “regulates the business of insurance” and the proposed arbitration provision would prejudice that law’s purpose.”

Read more:

https://www.insurancebusinessmag.com/us/opinion/arbitration-no-thanks-105347.aspx

From the NAIC, The National Association of Insurance Commissioners, August 15, 2016.

“Why arbitration clauses should be banned”

“Insurers that would insist on mandatory arbitration of policyholder disputes have selected the forum that they believe will be more favorable to them than to their policyholders, if not on each individual claim then in the aggregate. However, manipulating the dispute resolution process in this manner conflicts with the duties insurers owe their policyholders and is not holding their policyholders’ interests “at least equal to their own.”

If arbitration was truly a neutral forum rather than one favoring insurers, then there would be no need for an insurer to insist on its use before a dispute has even arisen. Insurers should utilize arbitration only when the policyholder has consented to do so after an actual dispute occurs (which is what the suggested amendment to the Model Unfair Trade Practices Act should accomplish), rather than requiring it in boilerplate language that the policyholder is very
unlikely to read, could not bargain over the provision even if she did, and could not make an informed decision at the point of sale on the merits. True freedom of contract, combined with the fundamental right to a trial, requires a knowing relinquishment of that right, which can only occur voluntarily once a specific dispute has materialized.”

http://eachstorytold.com/2018/07/16/naic-banning-arbitration-clauses-in-insurance-policies-why-arbitration-clauses-should-be-banned-companies-that-include-pre-dispute-mandatory-arbitration-clauses-do-so-because-it/

From the NAIC 2018 Adopted Committee Charges.

“8. The Pre-Dispute Mandatory Arbitration Clauses (D) Working Group will:
A. Consider the use of: 1) pre-dispute mandatory arbitration clauses; and 2) choice-of-law and choice-of-venue clauses and, if appropriate, prohibit their use in any individual or commercial insurance policies by amending the Unfair Trade Practices Model Act (#880), developing a new model act or developing other guidance regarding their usage.”

https://www.naic.org/documents/index_committees_2018_committee_charges.pdf

 

More here:

https://citizenwells.com/

http://citizenwells.net/

 

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55 responses to “Mandated arbitration has no place in insurance policies for individuals, NAIC reviewing, McCarran- Ferguson Act allows states to regulate arbitration in insurance over Federal Arbitration Act FAA

  1. citizenwells

    “No one can serve two masters; for either he will hate the one and love the other, or he will be devoted to one and despise the other. You cannot serve God and wealth.”…Matthew 6:24

  2. fhl………..
    ………….KEEP EM COMING……….EVEN CARTOONS EXPRESS IDEAS……..WHILE PHOTOGRAPS SAVE THOUSANDS OF WORDS.

  3. AND NOW……..
    …………the TRUE DEPTH of the SICK TWISTED LUNATIC LIBERAL AGENDA BECOMES CLEARER AS EACH DAY PASSES. THE DEMOCRATS CONTINUE TO PUT THEIR OWN FEET IN THEIR MOUTHS. THEIR TWISTED FANTASIES HAVE SERIOUSLY ERODED THEIR INTELLECTUAL CAPACITY TO REASON. IN TRUTH THEY HAVE LOST THEIR MINDS…………AND ARE NOW EQUIVALENT TO RAVING LUNATICS. SUCH MENTALLY AFFECTED PEOPLE SHOULD BE EXPELLED FROM GOVERNMENT SERVICE.

  4. fhl…………
    ………….low IQ morons are what they are………….INCORRIGIBLE !!!

  5. AND……….
    …………it turns out a one time staff member of “MICHAEL” the first “GUY” may have been behind the charges being dropped against Smollett. Mzzzzzzzzzzzzzzzzz.Fox will eventually pay the fiddler.

  6. TO THIS DAY,……….
    ………and minute Lil Barry Soetoro is STILL NOT A US CITIZEN. Why doesn’t ICE deport him? This is easy………….NO GONADS AT THE DOJ !!!!! Time to deport him back to Kenya. BUT FIRST HE NEEDS TO BE TRIED FOR FEDERAL ELECTION FRAUD, ALONG WITH MZZZZZZZZZZZZZZZZ. PELOSI,AND ALL WHO PARTICIPATED IN THE FRAUD. PELOSI KNOWINGLY SIGNED HER NAME TO AN INVALID HAWAIIAN COE……….MAKING HER AN ACCESSORY TO FEDERAL ELECTION FRAUD.

  7. AND NOW…….
    …………….MZZZZZZZZZZZZZZZZZ. ACASIO’S NEW GREEN DEAL BILL DEFEATED 57-0 !!! WHAT ELSE WOULD ANY SANE PERSON EXPECT? MZZZZZZZZZZZZZZZZZZ “OCCASIONAL” IS A FEMALE MORON. REAL NUMBSKULL !!!!

  8. AND MZZZZZZZZZZZZZ MAD-COW,
    ………….IS CRYING………OHHHHHHHH BOOOOO HOOOOO!!!!! BOY I AM NOWHERE NEAR HER BUT……..P U THE STENCH IS HORRIBLE !!!

  9. ………I GUESS HALITOSIS IS BETTER THAN…….NO BREATH AT ALL!! I THINK MZZZZZZZZZZZZZZZ. MAD-COW HAS A REALLY BAD CASE OF DIARRHEA OF THE MOUTH, AND CONSTIPATION OF THE BRAIN. REAL WHACKO !!!

  10. MZZZZZZZZZZZZZZZZ. CAS-E-OHHHH, NEEDS TO LEARN HOW TO THINK. AS IT STANDS NOW HER NEW GREEN DEAL LOOKS , AND SOUNDS LIKE THE RAVINGS OF A COMPLETE NINCOMPOOP.

  11. BINDING ARBITRATION………
    …………IS A CATCH PHRASE INVENTED BY THE DISABILITY INSURERS. SO THAT THEY CAN LEGALLY RIP OFF THEIR POLICY HOLDERS.

  12. TIME FOR………
    ………US INSURANCE COMMISSION TO INSTALL MEANINGFUL LAWS AGAINST CROOKED PURVEYORS OF DISABILITY INSURANCE BEING ABLE TO SELL THEIR RIP OFF POLICIES ANYWHERE IN AMERICA.

  13. POOR LITTLE…………
    …….ATOM (MARTY) SNIFF, AS EACH DAY PASSES HE BECOMES EVEN MORE DEMENTED THAN BEFORE. SOON IT WILL BE NECESSARY FOR THEM TO TAKE HIM AWAY TO A PADDED CELL IN A STRAIGHT JACKET. HE HAS BECOME A SERIOUSLY ILL INDIVIDUAL.HE SHOULD BE INSTITUTIONALISED.

  14. AND MR. MADLER,AND MR. SWALLOW HARD, NEED TO ACCOMPANY MR SNIFF TO THE BOOBY HATCH.

  15. AND………..
    ………….apparently it was not enough for the PIG FROM DEARBORN to call the POTUS A MOTHERF—–. Now she has introduced her own exploratory action for IMPEACHING the POTUS. If anybody deserves removal from office it is MZZZZZZZZZZZZZZZZZZZZZZZZZ. TLAIB. It is time that Congress moves to CENSURE her, or eject her from office as mentally , and morally UNFIT to serve.

  16. AND TODAY……..
    ………….the RAVING LUNATIC Mr. GREEN of Texas again has foamed at the mouth, and screamed his charges against President Trump, just as has Mzzzzzzzzzzzzzzzzzzzzzz. TLAIB of Dearborn. It is now quite clear that both have gone completely off their rocker. It is time for both to face ejection from Congress because both are mentally, and morally unfit to serve in the public interest.

  17. AND NOW…….
    ……..there are over 15 snotnosed liberal lunatics who are running for POTUS in 2020. Even the last bastion of the Democratic party Mr. Biden has finally gone completely crazy……..he talks about the white man’s cult. Obviously he is talking against himself. Only a crazed individual does that.

  18. AND TUESDAY……..
    …………we heard the CRAZED words of Mzzzzzzzzzzzzzzz. Ocasio, as she raved , ranted, and threw her papers around during her lunatic rant in the house. She is another who advocates SOCIALISM as the CURE ALL for America. She is a PSYCHOPATH.

  19. fhl………
    …………and as the FINAL VESTIGES of reality drains from THE LIBERAL minds they will be chanting over and over THE RUSSIANS ARE COMING, THE RUSSIANS ARE COMING, AT WHICH POINT THE DOCTORS WILL BE PLACING THEM IN STRAIGHT JACKETS FOR A RIDE TO THE BOOBY HATCH.
    ONE BY ONE THE LIBERAL LUNATICS WILL BE TAKEN FOR A RIDE TO THE BUGGY BIN AS THEY FOAM AT THE MOUTH, AND CRY “THEY ARE COMING TO TAKE US AWAY, THEY ARE COMING TO TAKE US AWAY”.

  20. AND WHEN……….
    ………….THE ATTENDANTS FROM THE LOONEY BIN COME FOR ATOM SNIFF TO PLACE HIM IN A STRAIGHT JACKET, HE WILL BE SCREAMING OVER AND OVER “THERE WAS COLLUSION, THERE WAS COLLUSION”.
    IT HAS LONG BEEN PLAIN TO SEE THAT A FAST GROWING NUMBER OF DEMOCRATIC POLITICIANS HAVE BECOME PSYCHOTIC TO VARYING DEGREES. A FEW HAVE GONE COMPLETELY INSANE LIKE MAXINE OF CALIFORNIA, AND MR. GREEN OF TEXAS. NOW WE ARE SEEING UNHINGED FEMALE FRESHMEN DEMOCRATIC CONGRESS PEOPLE WHO USE THEIR FILTHY INVECTIVES AGAINST OUR POTUS. THESE ARE PEOPLE WHO SHOULD EITHER BE HEAVILY CENSURED, OR IMMEDIATELY DISCHARGED FROM CONGRESS IN PENALTY FOR THEIR PROFANE INSULTS AGAINST THE POTUS. SUCH FRESHMEN HAVE NO PLACE IN CONGRESS WITH THEIR LUNATIC EXPLETIVES. THE AMERICAN PEOPLE DO NOT HAVE TO ACCEPT THESE SORT OF OFFICIALS AS REPRESENTATIVES.
    SADLY TODAY THERE IS A GROWING NUMBER OF ALLEGED CONGRESSMEN WHO REALLY DO NOT GIVE A DAMN ABOUT THOSE WHO ELECTED THEM. IN REALITY THE ELECTED PEOPLE WILL USE THEIR STATUS TO GAIN MONETARY POSITION, AND WEALTH.

  21. AND TONIGHT………..
    ……….TRUMP IS IN GRAND RAPIDS………RAISING HELL !!!! TRUMP REFERRED TO ATOM SNIFF AS “PENCIL NECK”. I CALL SNIFF “MARTY”. THIS IS BECAUSE MARTY FELDMAN HAD A PAIR OF EYES THAT LOOKED REALLY GROTESQUE. AS DOES “PENCIL NECK”.

  22. ANYONE……..
    …………..WHO DOESN’T KNOW WHO MARTY FELDMAN IS SHOULD TYPE THE NAME INTO YOUR COMPUTER SEARCH ENGINE, AND THEN HIT SEARCH. THEN TAKE SPECIAL NOTE OF THE PICTURES WHICH APPEAR…….THEN YOU WILL SEE ANOTHER PICTURE OF PENCIL NECK.

  23. AND TODAY……..
    …………..a portion of humanity joyfully, and eagerly watch the idiotic, and twisted movies being produced by Hollywood. Some of these movies even portray super humans who can by themselves fly through space to other planets, and still others can turn into vehicles. and grotesque robots. When our children are allowed to watch this sort of irrational BS their minds become poisoned, and twisted away from reality, and into FANTASYLAND. This happens because the parents themselves are often so twisted that they think such BS adds to the mental creative ability of the child…….when in reality it does the opposite.!!! In younger years children must first be taught about God. At extremely young ages our children must learn about Christ…..FIRST ,and FOREMOST.!!
    Todays children need to learn what is blasphemy, and what is not. They need to be shown what happened when the words “run for the mountains, do not look back, do not stop in the valley”. Lot’s wife looked back and was turned into a pillar of salt. Our children need to know why Sodom and Gomorrah were destroyed, and what led up to it.
    In today’s world every sort of deviant behavior, blatant lies, and twisted behavior is looked upon as OK. What is our children learning from all of this? NOTHING OF VALUE !!!!. If this sort of teaching continues humanity will ultimately disappear from the face of the earth. Today children are being taught that they must get anything, and everything they can in life, as quickly as they can, and by any means necessary. If lies , and deceit is necessary to obtain wealth then that sort of behavior is OK. They are taught that the wealthier you are the better off you are. In reality they are learning the principles of GREED. There is nothing wrong in obtaining stature from hard work, clean living, and belief in God. Most people who obtain wealth in this manner also give back a great deal of it to charities to help those in need. I stand with such people. Sadly as each day passes more and more people enter our prison system. Had these people been brought to Christ at very young ages they might have become people of stature themselves.
    Every Sunday we watch people enter a church, then leave……..what are they bringing out of the church with them? Some are without a doubt bringing with them the BODY OF CHRIST, while others just roll their eyes , and YAWN. In actuality such people waste their time even going to church. They refuse to believe in Christ…….yet they sing the hymns loudly, bow their heads in prayer all in an act to make others think they are true believers. Yet the same folks are often not yet even out of the building as they tell somebody a filthy joke. They are the practitioners of BLASPHEMY.

  24. fhl………..
    ……………had a great chuckle at the PENCIL NECK post. Great stuff. See if you can find an appropriate cartoon for OLD TOILET PLUNGER HEAD Chucky baby. Whenever I look at a picture of him a toilet plunger shows up in my mind. ………I WONDER WHY !!!! Could it be he is so full of SH– it would plug up a toilet.

  25. CW,

    I realized long ago (as a former personal injury Paralegal) that anything that benefits the insurance company is the way the system is set up.

    I don’t recall if any of our clients were offered any kind of arbitration (this was ~ 35 years ago) by the other side however, they chose to hire our law firm and sue. This was far better and faster than spinning around forever with insurance companies who continuously acted in their own interest.

    Yes, your case with Thrivent was different, but the bottom line is (and was then) that the insurers opt for what satisfies their bottom line, and to hell with the insured who are paying premiums to defend themselves against getting ripped off.

    ….and it’s the insurance companies who are ripping them off!

  26. SueK……….
    …………..go you think that this might have been the same reasoning behind the Strock – Paige INSURANCE POLICY?

  27. GW,

    I think you may be on to something, there :).

  28. AND TODAY……….
    …………..our children who go to kindergarten, or to the lower grades of school are being accosted by some of the worst sort of pedophiles masked as teachers. Some even have had prison time. Yet some school systems ignore the criminal past of some of the alleged teachers because they are having monetary problems in their school systems. So they bring in questionable people………..including masked PERVERTS. A couple of years back a kindergarten teacher in Connecticut gave HER kindergarten class CONDOMS to play with. What sort of teacher would do this ? It would be a mentally sick, and otherwise twisted teacher. Then later in the same state we learned of a female teacher who was having sex with an 8th grade male student, who impregnated her. Here are two examples of sick, perverted females wearing masks as teachers. Apparently the school system of Connecticut does not look into the past of their alleged TEACHERS. In every state there are a few teachers who are in reality pedophiles. These people need to be found and ejected from ever teaching children again…..ANYWHERE.

  29. typo error………..”two examples of sick perverted females ( the word females should have been TEACHERS) So much for proof reading AFTER THE FACT !!!
    ……..but hopefully you will understand the point which I am trying to make.

  30. NPC libtards

  31. fhl……..
    ………..American ROBOTS have no character, mind. heart, or soul. They respond only to their programming……..THE ROBOTS ARE PROGRAMMED BY LOW IQ ONE TRACK MORONS. THE ROBOTS ARE ALSO USED EXTENSIVELY IN AMERICA’S EDUCATIONAL SYSTEM AS TEACHERS.

  32. AND NOW………..
    IT IS TIME FOR USAG TO RELEASE THE ENTIRE UNREDACTED MUELLER REPORT TO THE INSANE DEMOCRATS. THEN HOLD THEM LIABLE FOR ANY INFORMATION WHICH GETS OUT THAT IS OF GRAND JURY ORIGIN. LET THE COURTS DEAL WITH THEM, FOR BREACHING AMERICA’S SECURITY LAWS. THE LIBERAL MANIACS WILL DIVULGE ANYTHING THEY THINK WILL HARM TRUMP WHETHER IT IS CLASSIFIED OR NOT. IN SO DOING THEY WILL HARM AMERICA INSTEAD OF TRUMP

  33. The left refused to let us see the original birth documents of Nobama.
    Now they want to see the full Mueller report which has grand jury testimony, all kinds of information on innocent people, etc.

    I’d tell them we’ll let you see the Mueller report if we can see Nobama’s original birth documents.

    Nobody will fight for our side. Ever.

  34. AND NOW the garrote.
    is around the necks of the CRAZED LIBERALS, and with every word they utter the garrote draws much closer to tightening around their necks. The lunatics continue to foam at the mouth, rave, and rant their LIBELOUS BS. PENCIL NECK is in OVER HIS HEAD, and soon he will no longer have a way out of his PILE OF BS.

  35. oldsailor85+
    talk, talk and more talk.
    Something different to think about

    The universe may be bigger then you think.
    Video of Universe…Watch

  36. oldsailor85+
    Well, I didn’t see any BLACK HOLES.
    Ooooops…….. WHITE HOLES

  37. hapnHal………
    ………….when or if mankind ever reaches any of the white specks in our night sky what do you think he will find? I believe he will discover what I refer to as REALITY. A GD PLACE which is so hellish there is no way it could ever be occupied by humans.

  38. IN REALITY……..
    ………….humanity is equivalent to a virus, It resulted form a series of natural accidents involving various chemistries in close proximity to each other, and mixing with each other,

  39. AND NOW………
    ……….a.mentally ill, and otherwise sick POS is having legally determined felony charges against him dropped. This is NOT because the charges were invalid, rather because a friend of the POS homosexual “MICHAEL” wanted the charges dropped. This is in truth a product of the Chicago QUEER community, some of whom think they are ABOVE the law.( Note*** they all will discover one day that they are NOT above God’s laws) AIDS is now at near epidemic proportions in several states….….One by one the homosexual sickos will disappear from the face of the earth at relatively young ages…….and they will suffer horribly until they succumb. In their last days on earth their bodies give off the sickening stench of death which permeates the immediate surroundings.

  40. AND TODAY…….
    …….we learn that the Federal judges are now running America. One of these twisted female left overs from the previous administration has now INVALIDATED President Trump’s XO which set aside Obama’s ban on drilling offshore. This will put about 20,000 people out of work. GREAT GOING……I bet doing this makes her feel REALLY IMPORTANT. !!!!!

  41. oldsailor86 | March 31, 2019 at 1:18 pm |

    But, President Trump “CAN” ignore her and do what is right.

  42. IT NOW APPEARS……….
    ………….that Federal JUDGES are running America. They can now even change existing law. Judges ARE NOT LEGISLATORS……they are ENFORCERS of Constitutional law. Now they have voided Trumps XO which allowed drilling offshore. Lil Barry had banned drilling offshore. Now a female holdover judge from the Soetoro administration has decided she is running America. These judges have overstepped their power.

  43. old coot……….
    ………..there was once a time in America when the JUDICIAL tended to the ENFORCEMENT of our laws. They CANNOT legally REWRITE LAW, nor can they INVALIDATE EXISTING LAW. They can block the enforcement of a law, and they can write injunctions against the enforcement of a law………BUT THE JUDICIAL CANNOT INVALIDATE EXISTING LAWS. This amounts to LEGISLATION and the JUDICIAL DOES NOT HAVE THAT POWER. This notion is a product of a NITWIT who thinks she is running America. She must be kin to ATOM SNIFF.

  44. AND NOW…………
    ………….the MOTHER of all caravans has left Central America. This one is allegedly comprised of over 10,000 people. They will be travelling in the hottest time of the year. Those who make it to the US border will probably be candidates for emergency hospitalization.

  45. oldsailor86

    WOW………..
    …………it looks as though uncle Joe likes to SNIFF hairy things. Perhaps this sort of behavior TURNS HIM ON. !!!! har har

  46. AND NOW……….
    ……….people driving vehicles in Manhattan will face a tax upon their vehicles by NYC. This will drive many business out of New York. To try to tax a vehicle for being in Manhattan is going to backfire big time on De Blasio, and his slimy friends. New York lawmakers have gone completely BUGGY.
    BUT THEY ARE ALL LIBERALS……..SO WHAT ELSE IS NEW?

  47. AND SOON……….
    …………..THE CREEPY PORN LAWYER MIGHT HAVE HIS OWN PRIVATE OFFICE …….COMPLETE WITH IRON BARS ON THE DOOR. THE OFFICE WILL BE RENT FREE. UNFORTUNATELY IT ISN’T LOCATED IN THE BEST NEIGHBORHOOD. HAR HAR

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