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Agreed, though arbitration isn't absolutely enforceable. If you can't reach an agreement through it you can always still sue. It'll just cost ya.
I have been told (by my attorney) that arbitration is sometimes more expensive than filing suit. IIRC, the rationale is that arbitration can have very high fees and involve a large number of people. It was in the context of drawing up a boilerplate nda, but it has been awhile and I don't remember the details.
Lovely. Deterring people from claiming damages by making it have a high barrier of entry or financially stupid to follow through with. Not to mention, using an arbitration agreement to make it risky to start class-action lawsuits and obscure visibility so nobody else knows they could get compensation from a company's misdeeds.
In other words, fuck the consumer. That sounds about right.
This is by no means in defense of the practice, but I remember taking a doctor's de bene esse deposition, and afterwards he goes to the taking attorney "Hey, you're paying me more than this case is worth, what gives?" And the attorney said the carrier is trying everything in an effort to deter people filing lawsuits for easy 5-10k payouts. I understand the rationale, but it still sucks.