In many cases, denials are unjustified and based on technicalities or errors. If this happens to you, you have the right to file for arbitration. Arbitration is a type of dispute resolution in which an impartial third party, the arbitrator, hears both sides of the dispute and makes a decision. The arbitrator’s decision is binding, which means the insurance company will be required to pay the claim if the arbitrator rules in your favor.