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Trade faces high costs for arbitration cases under new GISC guidelines


AGENTS could have to pay a ú500 fee for each case referred by their clients to arbitration if General Insurance Standards Council proposals are accepted.



Insurance ombudsman Walter Merricks said agents will be liable for the cost under GISC proposals as they will have to join the Ombudsman Scheme as a condition of getting a licence.



Intermediaries are also threatened with the ú500 cost as they will also have to become members of the Ombudsman Scheme under the prescribed GISC proposals. Insurers have to pay the fee now. The ombudsman funding formula is in line for revision in 2001.


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