Dale expands Miss. hurricane mediation program

Of the 165 conferences scheduled since mid-February, Dale said 103 were settled before the conference was held, 42 were settled at the meeting and 20 reached impasses.

Mississippi Insurance Com-missioner George Dale has expanded the Hurricane Katrina mediation program for homeowners.

Dale said that the administrators of the program, the American Arbitration Associa-tion, will increase the number of mediation conferences held daily and the number of days those meetings are held.

Dale said about 1,500 policyholders have requested mediation conferences.

Of the 165 conferences scheduled since mid-February, Dale said 103 were settled before the conference was held, 42 were settled at the meeting and 20 reached impasses.

“Mediation is a simple and basic process that is free to the policyholder. It is gratify-ing to see so many citizens being helped and enabled to move on with their lives,” Dale said in a statement.

Disputes can involve the amount owed, but because of Katrina’s unprecedented storm surge, many disputes are over the cause of damage, officials have said. Many homeowners were under the im-pression their policies covered all hurricane damage, but private insurers maintain their policies exclude damage from “wind-driven water.”

Flood damage is covered through the National Flood Insurance Program.

Thousands of homeowners have signed on to sue insurance companies for full coverage under their homeowner polices. Dale has touted mediation as an alternative to litigation.

Homeowners suing their insurers are not eligible for mediation. However, homeowners who are unable to resolve their disputes through mediation still have the option to sue.