The bill amends K.S.A. 40-209 and related statutes to modernize the operational requirements for insurance companies in Kansas. Key changes include the elimination of the three-year operational requirement and the examination of affairs for subsidiary or affiliate companies. It also grants the commissioner of insurance the authority to waive certain requirements for prescription drug plan sponsors, while mandating that companies demonstrate sound financial conditions and not be controlled by individuals with a history of fraud or embezzlement. Additionally, amendments to K.S.A. 40-4906 and K.S.A. 40-4909 refine the licensing process for nonresident agents, emphasizing the need for accurate information in applications and establishing criteria for applicants with criminal histories.

Furthermore, the bill revises regulations governing public adjusters' licenses, empowering the commissioner to deny, suspend, revoke, or refuse renewal of a license if public interests are not served. It mandates due process for any actions affecting licenses, including notice and hearings, and introduces a tiered penalty system for violations, with fines up to $500 per violation and a maximum of $2,500 for repeated offenses. The bill also outlines factors for evaluating applicants with prior convictions, establishes waiting periods for reapplication after license denial or revocation, and repeals certain existing statutes related to public adjusters, thereby streamlining the regulatory framework and enhancing accountability within the insurance industry.

Statutes affected:
As introduced: 40-209, 40-4906, 40-4909, 40-5510