Law 4010 : insurance claims & the insurance regulator

Abstract

Insurance claims in the Maltese insurance industry, particularly complaints and disputes arising therefrom, were examined, and the procedures contemporary insurance firms entail for the solving of such complaints from the arising disputes in virtue of claims lodged under an insurance policy were evaluated. Additionally, various research methods were used, namely, interviews, sending out questionnaires to Maltese insurance major players, such as, Underwriters, Brokers and Insurance Specialists and collecting statistical data, in order to grasp first-hand the current situation and find out truly what may be done to solve any flaws which exist, to the detriment of consumers and insurance firms alike. The aim of such study brought about a delicate issue which arises from courts and arbitration sittings, which exhibited the long amount of time required for the conclusion of a case. From the data that had been collected, views, opinions and day to day experiences’ of the sample targets indicated that it is the insurance markets’ common wish that a body separate should be introduced, separate from what the courts and arbitration fora already provide. This research paper may be used as a guide for the introduction of a mechanism for the betterment of the insurance sphere. The findings of the research at hand further show that a large number of knowledgeable persons in insurance believe that arbitration, although proposed to solve the lengthy and expensive court decisions, actually failed its primary purpose. It is recommended that an independent body, separate from the MFSA, should be introduced, in order for Malta to have a credible channel which solves particular insurance disputes in the fairest and most efficient way possible.