WeVote
Log In

Bill

Bill

HF 219

Maple Grove; community center construction funding modified, and money appropriated.

2025-2026 Regular Session Introduced by Kristin Bahner and 1 co-sponsor

The bill requires insurers to negotiate professional negligence settlements in good faith within policy limits, or face liability for resultant judgments and costs.

Introduction and first reading, referred to Capital Investment
#citiesandtowns-specific
0
WeVote Research Nonpartisan
Bill Summary · HF 219

HF 219 – Summary

Overview

HF 219, introduced February 6, 2025 (primary sponsor: LOHSE; companion SF 64), is currently in the introductory stage and has been referred to committees related to Commerce and Capital Investment. The bill’s title mentions Maple Grove and community center funding, but the version content provided here focuses on a medical malpractice liability provision governing insurer settlement negotiations. The bill is categorized under Cities and Towns-Specific, though the substantive section described concerns health care provider professional liability insurance.

Key provision (new section 507B.4D)

A new provision would regulate how insurers handle settlement negotiations for professional negligence claims against health care providers.

  • Insurer obligation: An insurance company insuring a health care provider against professional negligence must negotiate in good faith all claims presented to the provider.
  • Settlement within policy limits: If a claimant offers to settle within the policy limits, and the insurer refuses or declines the offer, and the case proceeds to judgment in excess of the policy limit, the insurer would be liable for the full amount of the judgment (regardless of the policy’s limit).
  • Duty to negotiate: The insurer has a duty to negotiate a settlement within the policy limits if an offer is made by the claimant at or within the policy limits.
  • Consequences of failure to negotiate: If the insurer fails to negotiate within the policy limits, the health care provider may file a cause of action against the insurer for the failure.
  • Damages: Damages in such actions would include recovery of all costs incurred by the health care provider and reasonable attorney fees.

What this change would do

  • Strengthen leverage for health care providers in settlement negotiations by potentially exposing insurers to liability beyond policy limits if they fail to negotiate within those limits.
  • Create a procedural remedy for providers who are unable to settle within policy limits and see judgments exceed those limits.
  • Align insurer settlement behavior with a duty to negotiate “in good faith” and within policy limits, with a remedy (and costs) if that duty is breached.

Who/what is affected

  • Health care providers insured for professional negligence under the policy described in section 135P.1.
  • Health care insurers writing professional liability policies for those providers.
  • Claimants (patients) in professional negligence cases involving insured providers.

Procedural/timeline notes

  • Introduced: February 6, 2025.
  • Initial committee referrals: Commerce; later, Capital Investment for the first reading.
  • Companion: SF 64 (likely same provision in a Senate version).
  • No fiscal note details are provided in the summary text.

Additional context

  • The bill’s full title references Maple Grove community center funding, but the specific section described delivers a health care liability reform. This may indicate multiple topics within the same bill or a drafting alignment with other policy goals.
  • As of the provided information, the bill is in early stages with sponsors and committee assignments available, but no enacted provisions or effective dates yet.

If you’d like, I can compare this provision to current Minnesota malpractice settlement rules or summarize potential fiscal implications once more details are available.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.