This document is the property of the Fonds de Garantie and may not be circulated or used without...

This document is the property of the Fonds de Garantie and may not be circulated or used without written permission.

Direct claims settlement in France

François Werner, Managing DirectorFrançois Werner, Managing Director

AIDA AIDA symposiumsymposium, Budapest, 26th November 2010, Budapest, 26th November 2010


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Basis: the ordinary law The compensation payer is responsible

A change: direct settlement Separation between the party liable for the

compensation and the eventual payer


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What is direct settlement?What is direct settlement?

Direct settlement consists in the victim's insurer taking on the burden of investigating the claim and settling the prejudice on behalf of the responsible party's insurer.


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1967: Direct settlement introduced for water damage claims

1968: IDA Convention - direct settlement of material motor claims

1994: IRCA Convention - direct settlement of minor personal injury claims


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I. Organising compensation

II. Application mechanisms


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I. Organising compensation

1) Proving the material facts

2) Determining the amount

3) The need for speedy settlement


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1) Proving the material facts

A standardised document: the parties' accident report, which identifies them and indicates how to approach the determination of the responsible party

An additional tool: a scale created by insurers that organises recourse between them


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2) Determining the amount

To avoid any disputes, the convention established:

a single standardised document

agreement on the items to be compensated

a single list of adjusters

3) The need for speedy settlement


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II. Application mechanisms

A. Financial aspect

B. Legal aspect


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A. Financial aspect

Lump sum enabling recourse between insurers

Offsetting every month between insurers


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B. Legal aspect

An arbitration board to avoid disputes between insurers

An application board to monitor legislative and case law developments

An ethics committee to ensure observance of the spirit of the convention

To contact us:

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Siège social : 64 rue Defrance - 94682 VINCENNES CEDEX

Tél. : + 33 (0)1 43 98 77 00

Site de Marseille : Les Bureaux du Méditerranée39 bd Vincent Delpuech 13281 MARSEILLE CEDEX 06 Tél. : + 33 (0)4 91 83 27 27

SARVI : 75569 Paris Cedex 12Tél. : + 33 (0)8 20 77 27 84

Site Internet :

www.fondsdegarantie.fr

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