HCS HB 474 -- INSURER INTERVENTION IN CIVIL ACTIONS

SPONSOR:  Yates

COMMITTEE ACTION:  Voted "do pass by consent" by the Committee on
Insurance Policy by a vote of 15 to 0.

This substitute allows insurers to intervene in civil actions
where they may be obligated to provide a defense or indemnity for
any judgment rendered in the action.  The court will determine
the extent of the insurer's coverage obligations, but its
decision may be appealed.  Any action by the insurer will not
constitute a breach of contract.

FISCAL NOTE:  No impact on state funds in FY 2006, FY 2007, and
FY 2008.

PROPONENTS:  Supporters say that the bill will allow
determinations to be made up front on who is at fault in a civil
action, and the court can determine the extent of an insurer's
coverage obligations.  This will be good for the industry by
making this determination up front.

Testifying for the bill were Representative Yates; American
Insurance Coalition; State Farm Insurance; Missouri Insurance
Coalition; Shelter Insurance Company; and Property Casualty
Insurers Association of America.

OPPONENTS:  There was no opposition voiced to the committee.

Marc Webb, Legislative Analyst

Missouri House of Representatives
93rd General Assembly, 1st Regular Session
Last Updated August 25, 2005 at 1:19 pm