Updating certain statutory references contained in chapter 40 of the Kansas Statutes Annotated; specifying certain requirements of documents submitted by medicare provider organizations and health maintenance organizations to demonstrate fiscal soundness; removing the requirement of a documented written demand for premium as part of a prima facie case; adding certain legal entities to the definition of person for purposes of violations of insurance law; and updating the version of risk-based capital instructions in effect.
Impact
The passage of SB 119 is likely to have significant implications on how insurance operations are regulated in Kansas. By streamlining documentation requirements and updating existing definitions, especially the legal entities considered 'persons' under insurance law, the bill aims to create a more efficient regulatory environment. Furthermore, the modernization of references to risk-based capital instructions is expected to enhance compliance and operational readiness among insurance companies.
Summary
Senate Bill 119 focuses on updating and amending specific provisions within Chapter 40 of the Kansas Statutes Annotated which relates to insurance. The bill specifies new requirements for documents submitted by Medicare provider organizations and health maintenance organizations to demonstrate their fiscal soundness. One of the notable adjustments includes the removal of a previously required documented written demand for premium as part of a prima facie case concerning insurance violations, which simplifies requirements for enforcement of insurance laws.
Sentiment
Overall, the sentiment around SB 119 appears to be supportive among legislators, as indicated by its unanimous passing through the Senate with a vote of 40-0. The bill's measures are viewed as a necessary update to an aging framework governing insurance in Kansas, with proponents emphasizing the importance of adapting to modern financial practices and ensuring the fiscal soundness of providers.
Contention
Despite its favorable reception, there are potential points of contention that could arise regarding the implementation of some of the bill's implications, particularly the removal of the demand for premium requirement. Critics may argue that such a removal could diminish accountability within the insurance sector, potentially leading to issues of under-collection of premiums or deterring enforcement actions against non-compliant insurers. The ongoing debates concerning state oversight in insurance might underscore differing perspectives on industry regulations.
Enacting the Kansas protected cell captive insurance company act, providing for the redomestication of a foreign or alien captive insurance company and updating certain terms, requirements and conditions of the captive insurance act, reducing insurance company premium tax rates, creating parity between the insurance agent and public adjuster licensing requirements, authorizing insurers to file certain travel insurance policies under the accident and health line of insurance and authorizing the commissioner of insurance to select and announce the version of certain instructions, calculations and documents in effect for the upcoming calendar year and cause such announcement to be published in the Kansas register not later than December 1 of the current year.
Eliminating the requirement that the commissioner submit certain reports to the governor and removing certain specific entities from the definition of person for the purpose of enforcing insurance law.
Eliminating the requirement that the commissioner submit certain reports to the governor and removing certain specific entities from the definition of person for the purpose of enforcing insurance law.
Updating certain definitions, terms, conditions and provisions related to the Kansas insurance guaranty association act and Kansas life and health insurance guaranty association act.
Authorizes a proposed increase or decrease in a rate for certain kinds and lines of insurance to be implemented pending approval or disapproval by the Commissioner of Insurance. (BDR 57-93)
Requiring the secretary of health and environment to study drug overdose death cases and providing for the confidentiality of related records, restricting the authority of the secretary of health and environment and local health officers to control the spread of infectious or contagious diseases, repealing the authority of the secretary to quarantine individuals and impose penalties for violations thereof and prohibiting the secretary of health and environment from requiring COVID-19 vaccination for children attending a child care facility or school.
An Act Requiring The Insurance Department To Consult With The Connecticut Health Insurance Exchange For Rates Or Amounts For Health Plans Offered Through Said Exchange.
Relating to property and casualty certificates of insurance and approval of property and casualty certificate of insurance forms by the Texas Department of Insurance; providing penalties.
Relating to property and casualty certificates of insurance and approval of property and casualty certificate of insurance forms by the Texas Department of Insurance; providing penalties.