How To Settle Claims

Front 1

Accoridng to the recent Nuera Survey, what is the average settlement in a classic security class action case?

Back 1

25.8M

Front 2

What is the median settlement?

Back 2

7 M

Front 3

How may a claim be resolved?

Back 3

Settle early before litigation commences and after assessing liability and damages. Settle while the lawsuit is pending. Allow a verdict from a jury. Settle during or after an appeal.

Front 4

What are the objectives of claim settlement?

Back 4

Verification of covered loss. Fair and appropriate payments. Prevent payment of a fraudulent claims. Prompt, fair, and equitable settlements.

Front 5

What are some considerations for an effective case management strategy.

Back 5

Assessment of Liability, Evaluation of covered damages, assessment of how much of the damage the policyholder could be responsible for, knowledge of the legal jurisdiction where the claim is being litigated, understanding how a policyholder will appear and conduct himself at trial, assessment of the quality of counsel, keeping principals informed, preparation and reserving for settlement, evaluation of independent defendants, developement of a unified strategy among multiple insurers, determination of the levels of contribution from multiple insurers

Front 6

Explain how a policyholder's appearance or conduct may influence case management strategy

Back 6

It may be revised based on the Policyholder's conduct or appearance. An arrogant, insecure, or uncaring impression could cause harm to the defense of a case and increase the ultimate cost of a case.

Front 7

Explain why the time immediately before trial may present an opportunity for settlement.

Back 7

Both monetary and non-monetary burdens of a trial may influence the partie' willingness to settle a case before trial

Front 8

What is the claim professionals responsibility when there are multiple insurers involved in a claim?

Back 8

Must establish a common, unified strategy among all insurers before responding to the claim.

Front 9

Provision of a policy that describes how conflicts will be resolved between the policyholder and insurer.

Back 9

Dispute Resolution

Front 10

Settlement technique used in place of a trial, in which parties agree whether they will be bound by the decision

Back 10

Arbitration

Front 11

Form of settlement that provides periodic installment payments over a specified period.

Back 11

Structured Settlement

Front 12

Settlement technique used in place of a trial, in which parties agree whether they will be bound by the decision.

Back 12

Arbitration

Front 13

Form of settlement in which all claims of all parties are resolved.

Back 13

Global Settlement

Front 14

Insurer has the right and duty to defend and settle the claim.

Back 14

Duty to defend policy

Front 15

Insurer's consent must be obtained to settle a claim.

Back 15

Consent-to-settlement provision

Front 16

Provision that affords the insured the right to approve settlements

Back 16

Duty to Pay Policy

Front 17

PRovision that limits the insurer's liability if a policyholder withholds consent of a reasonable settlement offer.

Back 17

Settlement-Opportunity Clause

Front 18

Settlement technique required by judge and used to facilitate a settlement

Back 18

Mandatory conference.

Front 19

How is the cost for indemnity allocated?

Back 19

Based on the percentage of fault of the covered parties or claims

Front 20

Explain how to allocate for covered and uncovered claims and parties

Back 20

The insurer assesses the total value of the claim an determines how much is attributed to covered claims or parties. The insurer then makes a settlement offer for the amounts arising from the covered claims or parties. The insurer doesn't pay for uncovered claims or parties.

Front 21

List the important terms included in a settlement agreement

Back 21

Amont of money to be paid, nature of claims being released, definitions of policies being released, definitions of all parties to the agreement, confidentiality agreement.