Missouri SB 312: Modifies provisions relating to time-limited settlement demands to liability insurers

Bill Text

EXPLANATION-Matter enclosed in bold-faced brackets [thus] in this bill is not enacted
and is intended to be omitted in the law.
FIRST REGULAR SESSION
SENATE BILL NO. 312
103RD GENERAL ASSEMBLY
INTRODUCED BY SENATOR TRENT.
0349S.01I KRISTINA MARTIN, Secretary
AN ACT
To repeal section 537.058, RSMo, and to enact in lieu thereof one new section relating to
settlement demands.

Be it enacted by the General Assembly of the State of Missouri, as follows:
Section A. Section 537.058, RSMo, is repealed and one new 1
section enacted in lieu thereof, to be known as section 537.058, 2
to read as follows:3
537.058. 1. As used in this section, the following 1
terms shall mean: 2
(1) "Extracontractual damages", any amount of damage 3
that exceeds the total available limit of liability 4
insurance for all of a liability insurer's liability 5
insurance policies applicable to a claim for personal 6
injury, bodily injury, or wrongful death; 7
(2) "[Time-limited] Settlement demand", any offer to 8
settle any claim for personal injury, bodily injury, or 9
wrongful death made by or on behalf of a claimant to a tort- 10
feasor with a liability insurance policy for purposes of 11
settling a claim against such tort-feasor within the 12
insurer's limit of liability insurance[, which by its terms 13
must be accepted within a specified period of time]; 14
(3) "Tort-feasor", any person claimed to have caused 15
or contributed to cause personal injury, bodily injury, or 16
wrongful death to a claimant. 17

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2. [A time-limited] In any action alleging 18
extracontractual damages against the tort-feasor's liability 19
insurer, any prior settlement demand to settle any claim for 20
personal injury, bodily injury, or wrongful death shall not 21
be considered to have been a reasonable opportunity to 22
settle the claim unless the settlement demand was in 23
writing, [shall reference] referenced this section, [shall 24
be] sent by certified mail with return-receipt requested to 25
the tort-feasor's liability insurer, remained open for 26
acceptance by the liability insurer for at least ninety days 27
from the date such settlement demand was received by the 28
liability insurer, and [shall contain] contained the 29
following material terms: 30
(1) The time period within which the offer shall 31
remain open for acceptance by the tort-feasor's liability 32
insurer, [which shall not be less] if the time period for 33
acceptance is more than ninety days from the date such 34
demand is received by the liability insurer; 35
(2) The amount of monetary payment requested or a 36
request for the applicable policy limits; 37
(3) The date and location of the loss; 38
(4) The claim number, if known; 39
(5) A description of all known injuries sustained by 40
the claimant; 41
(6) The party or parties to be released if such [time- 42
limited] settlement demand is accepted; 43
(7) A description of the claims to be released if such 44
[time-limited] settlement demand is accepted; and 45
(8) An offer of unconditional release for the 46
liability insurer's insureds from all present and future 47
liability for that occurrence under section 537.060. 48

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3. Such [time-limited] settlement demand shall be 49
accompanied by: 50
(1) A list of the names and addresses of health care 51
providers who provided treatment to or evaluation of the 52
claimant or decedent for injuries suffered from the date of 53
injury until the date of the [time-limited] settlement 54
demand, and HIPAA compliant written authorizations 55
sufficient to allow the liability insurer to obtain such 56
records from the health care providers listed; and 57
(2) A list of the names and addresses of all the 58
claimant's employers at the time the claimant was first 59
injured until the date of the [time-limited] settlement 60
demand, and written authorizations sufficient to allow the 61
liability insurer to obtain such records from all employers 62
listed, if the claimant asserts a loss of wages, earnings, 63
compensation, or profits however denominated. 64
4. If a liability insurer with the right to settle on 65
behalf of an insured receives a [time-limited] settlement 66
demand, such insurer may accept the [time-limited] 67
settlement demand by providing written acceptance of the 68
material terms outlined in subsection 2 of this section, 69
delivered or postmarked to the claimant or the claimant's 70
representative within the time period [set in the time- 71
limited demand] in which the settlement demand is open for 72
acceptance by the liability insurer, which in no event shall 73
be less than ninety days. 74
5. Nothing in this section shall prohibit a claimant 75
making a [time-limited] settlement demand from requiring 76
payment within a specified period; provided, however, that 77
such period for payment shall not be less than ten days 78
after the insurer's receipt of a fully executed 79

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unconditional release under section 537.060 as specified in 80
subsection 2 of this