The bill amends Kansas insurance laws to enhance accountability, transparency, and consumer protection within the insurance industry. It mandates that insurance agents and insurers respond to inquiries from the commissioner of insurance within 14 calendar days and requires the maintenance of comprehensive records of complaints. The definition of "complaint" is clarified to encompass any written communication expressing grievances about the insurer's practices. Additionally, the bill addresses misrepresentation in insurance applications and outlines statutory violations that could lead to disciplinary actions against insurers. It also establishes stricter regulations for title insurance practices, prohibiting business referrals from individuals with financial interests unless full disclosure is made to consumers.

Key changes include the insertion of provisions that allow for the establishment of pilot programs for testing value-added products or services, as well as the introduction of penalties for violations, including fines and potential license revocation. The bill ensures that any action affecting a license must follow the Kansas administrative procedure act, providing affected parties with notice and an opportunity for a hearing. It also specifies that applicants whose licenses have been denied or revoked must wait one or two years before reapplying. Overall, the amendments aim to protect consumers and ensure fair practices within the insurance sector while enhancing the regulatory framework governing insurers.

Statutes affected:
As introduced: 40-2404, 40-4909
As Amended by Senate Committee: 40-2404, 40-4909
As Amended by House Committee: 40-2404, 40-4909