The Hong Kong Federation of Insurers (HKFI) yesterday (Tuesday, 16 May 2006) has provided a sum of $250,000 to the Hong Kong Mediation Council (HKMC), a division of the Hong Kong International Arbitration Centre (HKIAC), to support a joint project to promote the use of mediation for settlement of Employees' Compensation insurance claims.

Under this pilot scheme, injured workers will receive free independent legal advice to help them review compensation offers proposed by insurers in the course of mediation.

"Our industry firmly supports the use of mediation to achieve a speedy and reasonable settlement of Employees' Compensation insurance claims for the benefit of all parties concerned including, first and foremost, the injured workers", said Mr Leo Ma, Chairman of the HKFI. "HKMC is an expert on mediation and we are glad to partner with them to get this scheme off the ground."

The HKMC has set up a task force to work out the details of this joint project with parties concerned including the Hong Kong Workers' Health Centre. The scheme is expected to start operation in the third quarter of 2006.

"The Hong Kong Mediation Council is very grateful to the Hong Kong Federation of Insurers for their foresight to promote the fair and early settlement of Employee' Compensation insurance claims with this joint project. We are encouraged by the implementation of mediation pilot schemes by the Judiciary and the promotion of mediation by the Secretary for Justice in Hong Kong", said Mr Norris Yang, Chairman of the HKMC.

"Mediation has been proven to be a very cost-efficient and effective method of resolving insurance disputes in North America, Australia, Europe and the UK," said Ms Helena Yuen, Chairperson of

Mr Leo Ma (second from left), Chairman of the Hong Kong Federation of Insurers, presents a cheque to Mr Norris Yang (third from left), Chairman of the Hong Kong Mediation Council (HKMC), to support a joint project to promote the use of mediation for settlement of Employees’ Compensation insurance claims.Also present are (from left) Ms Helena Yuen, Chairperson of the HKMC Ad-hoc Committee on Employees’ Compensation Insurance Claims and Mr Philip Yang, Chairman of the Hong Kong International Arbitration Centre.