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Missouri House advances bill specifying 90-day written settlement window for extra-contractual claims
Summary
Lawmakers debated House Bill 437, a measure that would require written settlement demands to be held open 90 days and reference the statute before a plaintiff may bring extra-contractual (bad-faith) claims against insurers; the House perfected and printed the bill after extended questioning about effects on injured people.
The Missouri House on March 20 moved House Bill 4 37 forward after an extended debate about how insurers and claimants negotiate settlements. The bill’s sponsor, the gentleman from Pulaski, described it as a narrowly drawn rule: offers related to extra-contractual damages must be in writing, held open for 90 days and reference the statute so parties know when an extra-contractual claim might be pursued.
The sponsor said the measure is intended to clarify when a claimant can bring an extra-contractual or bad-faith claim and to reduce…
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