After being admitted to the Massachusetts Bar in 1950, Mr. Santoorgian practiced law privately for six years. He is now Assistant Branch Manager of the Underwriters Adjusting Company in. Los Angeles. His article is based upon a report he delivered at a seminar on accident claims arbitration conducted earlier this year by the American Arbitration Association.
Most of our large, and many of our smaller, Claims Departments are experiencing a significant increase in litigation arising out of accident claims. The cause of such increased litigation may be attributed in a substantial degree to the desire of the injured claimant and his attorney to secure maximum compensation for the injury and the belief that a lawsuit will enhance such possibilities, and to a lesser degree, conservative appraisal of the claim by the insurance company.
In either case, and whichever group bears the primary responsibility for the increased litigation, the effect is: higher costs of insurance and inability of the Courts to render prompt justice.