A substantial number of commercial insurance claims remain unresolved and tied up in litigation one year after hurricane Katrina, according to an article in the Sept. 4 issue of BestWeek, a magazine for insurance professionals published by A.M. Best Co.

New lawsuits arising from coverage disputes continue to flood the courts. But John Eager, senior director of claims at the Property Casualty Insurers Association of America, said field reports show insurers are “doing well in both commercial and noncommercial. I wouldn’t say it’s all good news, but I think in the commercial area we can hold our head up and say we’ve settled some really tough claims, we’ve settled the majority of claims, we’ve done it with on-site adjusters, and for those businesses that had a continuity plan, they’re up even faster.”

Eager pointed to the industry’s payout figure in and around Louisiana area, about US$32 billion to date, as an indication that claims are being settled. “If we projected the losses to be that high, and you look at the payout, that’s very telling,” he said.