The bill empowers the Kansas commissioner of insurance to select and announce the version of insurance calculations and instructions from the National Association of Insurance Commissioners (NAIC) that will be effective for the upcoming calendar year, with a requirement to publish this announcement in the Kansas register by December 1 each year. It also amends K.S.A. 40-202 to clarify exemptions for certain fraternal benefit societies and organizations from specific insurance code provisions, while updating definitions related to risk-based capital (RBC) reports to align with NAIC standards. The bill enhances oversight of insurers within an insurance holding company system by requiring them to file detailed registration statements and maintain current information on their financial conditions and relationships with affiliates.

Additionally, the bill introduces provisions for the ultimate controlling person of each insurer to file an annual enterprise risk report and a group capital calculation, ensuring fair and reasonable terms for transactions between registered insurers and their affiliates. It establishes the commissioner’s authority to examine registered insurers and their affiliates, emphasizing the confidentiality of documents obtained during these examinations. The bill also includes new definitions related to emergency medical conditions and health benefit plans, prohibits misleading advertisements regarding regulatory calculations, and repeals several sections of existing law. Overall, these amendments aim to strengthen regulatory oversight, protect policyholders, and ensure the financial stability of the insurance market in Kansas.

Statutes affected:
As introduced: 40-2d01, 40-3302, 40-2c01, 40-3305, 40-3306, 40-3307, 40-3308, 45-229, 40-249, 40-2c29
As Amended by House Committee: 40-2d01, 40-3302, 40-2c01, 40-3305, 40-3306, 40-3307, 40-3308, 45-229, 40-249, 40-2c29
As Amended by Senate Committee: 40-2d01, 40-3302, 40-202, 40-2c01, 40-3305, 40-3306, 40-3307, 40-3308, 45-229, 40-4602, 40-249, 40-2c29