An arbitration agreement is a legal contract that exists between a patient and a medical provider (or their medical insurance company). An arbitration agreement is a legally binding agreement that offers an alternate dispute resolution between two parties or more.Individuals and companies enter into a mutual agreement to arbitrate claims as a means for keeping their disputes and resolutions out of the courts. By signing the Submission Agreement, you are stating that you are one of the following: (1) the claimant; or. The arbitrator's decision shall be final and binding. They are private proceedings instead of public.