Risk for particular losses are often shared among several insurers. But what happens if following an insured’s claim against four insurers, only one of the four insurance policies contains a mandatory arbitration clause? Will the entire claim be resolved through arbitration or in court? Or, perhaps, will the percentage claim against each insurer be resolved through the process set forth in its individual policy?

This issue was faced recently by a federal district court in Signal Ridge Owners Association v. Landmark American Insurance, (N.D Texas 2023).

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