Rowland told the AAA annual meeting that a claims council could help prevent conflicts over interpretations of market practice escalating into costly and time consuming disputes.
A claims council could also provide guidance on the impact of court decisions and on the need to update or clarify insurance policy wordings.
Rowland said a claims council could compensate for London wordings not having the commentary appended to their Nordic Marine Insurance Plan.
“I believe the [Nordic] commentary performs a crucial role in explaining how claims matters are dealt with on a day-to-day basis without the need for recourse to a ‘higher’ level,” added Rowland
Producing a comparable commentary relating to the Institute Time Clauses, American Institute Hull Clauses and other policy conditions on which hull insurance is written in London would be far too extensive an undertaking argued Rowland but “perhaps claims guidelines would be useful, or even some form of claims council.”
Rowland, of the Richards Hogg Lindley adjusting group, suggests a claims council would be “hugely valuable” and like the body overseeing reviews of the Nordic plan could comprise representatives of insurers, shipowners, adjusters and academics.
