Missouri Business Headlines

Collateral source reforms sent to governor

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The Missouri House has given final approval to a key legal reform bill regarding the state’s collateral source rule.

By a vote of 95-47, the Missouri House approved Senate Bill 847. The bill clarifies that in a lawsuit, an injured person can recover only the actual medial costs he or she incurred.

The bill would alter Missouri’s current collateral source rule, which bars the admissibility of trial evidence showing when a plaintiff’s medical losses have been compensated from other sources. Plaintiffs can make money bringing suits for injuries that may already be covered by other sources or claim phantom damages.

Senate Bill 847 is sponsored by Sen. Ed Emery, a Republican from Lamar. The bill now goes to Gov. Jay Nixon who must decide whether to sign or veto this effort.

For more information, contact Brian Bunten, Missouri Chamber general counsel and director of legislative affairs, at bbunten@mochamber.com, or by phone at 573.634.3511.

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