Missouri: Session Ends with Few Disappointments for Insurers

Although insurers would have liked to see asbestos reform and a fix to the negative Missouri Supreme Court Schoemehl decision, the Legislature did pass the omnibus insurance bill, SB 66, and a key salvage title bill, SB 82.

There are many key provisions in the 219 pages of SB 66, including the clarification of modernization of the department of insurance’s regulatory powers and fee structure, plus the elimination of the 15 percent examination surcharge. The bill also includes title insurance reform.

A proactive measure introduced by the Missouri Insurance Coalition, SB 82 changes when a vehicle is required to have a salvage title by increasing the damage threshold from 75 percent to 85 percent, exempting hail damage.

“A successful session can especially be measured by what legislation did not pass,” said Calvin Call, the president of MIC, a NAMIC state trade partner.

Agreeing with Call’s assessment, Tami Stanton, NAMIC’s Central Region state affairs manager, said “with MIC’s leadership at the state Legislature, the industry successfully stopped measures eliminating the use of credit scoring and weather-related claims in underwriting, not to mention legislation calling for prior approval of all rate changes.

“Again, with MIC leading the way, NAMIC and the rest of the industry are already getting ready to work on the two key issues that did not pass this session, asbestos reform and a fix for the Schoemehl case, in preparation for 2008.”

Direct questions to NAMIC State Affairs Manager Tami Stanton.

Posted: Tuesday, May 29, 2007 12:00:00 AM. Modified: Tuesday, May 29, 2007 12:33:03 PM.

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