A New Jersey appeals court has ruled that all disputes between insurers that occur when more than one carrier could be responsible for paying personal injury protection benefits stemming from automobile-related accidents must be settled through arbitration.
A three-judge Appellate Division panel on March 4 said in State Farm Indemnity v. National Liability & Fire Insurance that the state’s no-fault insurance law specifically calls for coverage disputes to be handled by arbitrators rather than by trial judges.
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