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Just modify the language so it only releases the specific claims at issue. This is standard
Settlement Agreement & Release from Insurers is fairly common in our practice.
A release for settlement with an insurance company is standard practice. Just curious, why wouldn't you want your client to sign a release?
Principle. Because it’s a fulfillment of a contractual obligation, not consideration paid for some new agreement. The first-party carrier hasn’t done anything to warrant being released.