SESSION OF 2025
SUPPLEMENTAL NOTE ON SENATE BILL NO. 22
As Amended by Senate Committee on Financial
Institutions and Insurance
Brief*
SB 22, as amended, would amend law related to title
insurance agent audits, surety bonds, and controlled
business.
The bill would also make technical changes in the
Insurance Code. The bill would become effective January 1,
2026, and its publication in the statute book.
Audit Report Available by Request
The bill would remove the requirement that each title
insurance agent in the state submit a copy of its annual audit
report made of its escrow, settlement, and closing deposit
accounts to the Commissioner of Insurance (Commissioner)
within 30 days of the end of a calendar year. The bill would
instead require that annual audit reports of title insurance
agents be available upon request.
Surety Bonds
The bill would require any title insurance agent who
handles escrow, settlement, or closing accounts to file with
the Commissioner documentation of a $100,000 surety bond
or irrevocable letter of credit, regardless of the population of
the county or counties the agent serves.
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*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
https://klrd.gov/ Controlled Business Exemption
The bill would remove the controlled business
exemption in counties that have a population of 10,000 or
less for title insurer or title agent.
Background
The bill was introduced by the Senate Committee on
Financial Institutions and Insurance at the request of a
representative of the Kansas Insurance Department
(Department).
Senate Committee on Financial Institutions and
Insurance
In the Senate Committee hearing, proponent testimony
was provided by a representative of the Department who
stated that the bill would simplify and remove unenforceable
parts of the title insurance statutes and increase the efficiency
of the Department.
Written-only proponent testimony was provided by a
representative of the Kansas Land Title Association.
No other testimony was provided.
The Senate Committee amended the bill to add the
effective date of the bill as January 1, 2026, to after its
publication in the statute book..
Fiscal Information
According to the fiscal note prepared by the Division of
the Budget on the bill, as introduced, the Department states
that enactment of the bill would not have a fiscal effect for the
agency. The Division of the Budget notes that title insurance
agents could experience higher operating costs.
Insurance; title insurance; title agents; audit reports; surety bonds; controlled
business exemption
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