Senate Bill 162 repeals NRS 690B.042. Effective May 28, 2015.
Under prior Nevada law, the insurer of the party against whom a personal injury claim was asserted had to disclose the insurance policy limits upon request by the claimant and receipt of records and bills from the claimant’s health care providers, or a written authorization from the claimant. This law was repealed. Therefore, claimants will not generally have the right to know whether the wrongdoer has the Nevada minimum required $15,000 per person policy limits or more.
The problem for many innocent claimants is they may not have health insurance and be treating pursuant to a lien or promise to pay back each medical provider regardless of recovery, all as a result of the other party’s negligence. Even with health insurance, the innocent victim may be stuck with expensive deductibles if the recovery is not sufficient.
Presently, the only way to force disclosure of the tortfeasor’s policy limits is through discovery after filing a personal injury lawsuit in court. The repeal of this law will very likely increase the time and costs of litigation and backlog the Nevada District Court calendar with unnecessary cases filed (to determine policy limits) that could have been settled without litigation.