Home > Glossary

Mediation Incentive Deductible

Mediation Incentive Deductible

Definition

A reduced deductible amount offered within some lawyers professional liability policies. It is available to firms requiring its clients to sign agreements stating that the client must use alternative dispute resolution (ADR), rather than the judicial process, if the client pursues a claim against the firm. The rationale for this provision is that both indemnity and defense costs will generally be lower when claims are settled by mediation compared to the traditional judicial system.

Related Products

Navigation

Social Media

User ID: Subscriber Status:Free