Division of the Budget
Landon State Office Building Phone: (785) 296-2436
900 SW Jackson Street, Room 504 larry.campbell@ks.gov
Topeka, KS 66612 Division of the Budget http://budget.kansas.gov
Larry L. Campbell, Director Laura Kelly, Governor


January 29, 2019


The Honorable Robert Olson, Chairperson
Senate Committee on Financial Institutions and Insurance
Statehouse, Room 236-E
Topeka, Kansas 66612
Dear Senator Olson:
SUBJECT: Fiscal Note for SB 33 by Senate Committee on Financial Institutions and
Insurance
In accordance with KSA 75-3715a, the following fiscal note concerning SB 33 is
respectfully submitted to your committee.
Under current law, a small employer carrier that provides coverage to one or more
association groups may establish a class of business to reflect substantial differences in expected
claims experience or administrative costs. SB 33 would not allow small employer carriers to
continue to do this. Additionally, SB 33 would strike “from and after January 1, 1993” from
KSA 40-2209g.
The Insurance Department indicates enactment of SB 33 would have no fiscal effect on the
Department. However, the Department indicates striking “from and after January 1, 1993” from
statute would affect current allowances that some carriers use to file an exemption from Small
Group Rate Reform, which could affect some school districts. Any fiscal effect associated with
SB 33 is not reflected in The FY 2020 Governor’s Budget Report.

Sincerely,

Larry L. Campbell
Director of the Budget

cc: Glenda Haverkamp, Insurance


Statutes affected:
As introduced: 40-2209g