Kansas House Bill HB2707

Kansas 2023-2024 Regular Session

• Introduced: 2/6/24
• Refer: 2/6/24
• Failed: 4/30/24

Caption

Modifying automobile insurance policy uninsured and underinsured motorist coverage liability limitations for bodily injury or death.

Impact

If enacted, HB2707 will significantly influence the way automobile insurance policies are structured in Kansas. The bill requires that any provision for uninsured motorist coverage must include an underinsured motorist provision, thereby ensuring that policyholders can recover damages not just from completely uninsured drivers but also from those whose insurance limits are insufficient to cover the damages. This is projected to improve recovery outcomes for individuals injured in accidents, alleviating financial burdens caused by insufficient insurance coverage from at-fault parties.

Summary

House Bill 2707 (HB2707) is an act concerning automobile liability insurance that aims to modify the existing uninsured and underinsured motorist coverage liability limitations with respect to bodily injury or death. The bill seeks to enhance the protection afforded to policyholders by ensuring that automobile insurance policies maintained by drivers in Kansas include adequate provisions for uninsured and underinsured motorist coverage. It mandates that starting January 1, 2025, no automobile liability insurance policy can be issued in Kansas unless it contains endorsement for coverage limits that match liability coverage for bodily injuries or deaths sustained in accidents involving uninsured motorists.

Contention

The introduction of HB2707 may stir up debate regarding the implications for both insurance providers and consumers. Advocates, particularly from the Kansas Trial Lawyers Association who requested the bill, argue that it strengthens consumer protections and holds insurers accountable for providing adequate coverage. Nonetheless, there are concerns regarding potential impacts on insurance premiums; insurance companies may argue that the increased liabilities could lead to higher costs for consumers. Therefore, the balancing of benefits for consumers with the financial sustainability of insurance companies will likely be a critical discussion point during the bill's considerations.