reglab/statecodes huggingface dataset:
2023 Kansas Statutes › Chapter 40 - Insurance › Article 3 - Organization, Merger Or Consolidation Of Stock Companies › 40-309 Union, merger or consolidation; reinsurance.

40-309.
Union, merger or consolidation; reinsurance.
(a) (1) Any insurance company and any health maintenance organization of this state may unite, merge or consolidate with any other company or companies of this or any other state engaged in like business and having similar corporate powers, upon such terms and conditions, including the reinsurance of the business in force, as may be approved at a meeting of the stockholders of any such company or companies of this state, called for that purpose, such approval to be by vote of stockholders owning not less than two-thirds of the shares of stock of any such company or companies of this state. The agreement for such union, merger, consolidation and reinsurance shall be subject to the approval of the commissioner of insurance. There shall be filed with the commissioner of insurance a verified schedule by the actuaries of the companies or health maintenance organizations interested showing that the legal reserve for the policyholders of each of the several companies is of the amount required by law.
(2) Where companies of other states are uniting, consolidating, merging and reinsuring with a company or health maintenance organization of this state the commissioner of insurance also shall approve in the same manner such amendments to the articles of incorporation of such companies of this state as may be necessary and proper. Such agreement shall provide for payment in cash to any dissenting stockholder of an amount equal to the fair value of the stock if the stockholder shall refuse to assent to the union, merger or consolidation.
(3) When a company or health maintenance organization of this state shall be merged, consolidated or united with a company organized under the laws of any other state, the commissioner of insurance in the commissioner's order of approval shall direct that the assets of the domestic company or health maintenance organization be delivered to the company with which the domestic company is united, merged or consolidated.
(b) For the purposes of this section the term "health maintenance organization" shall have the meaning ascribed to it in K.S.A. 40-3202, and amendments thereto.
History: L. 1927, ch. 231, 40-309; L. 1933, ch. 200, § 2; L. 1972, ch. 53, § 5; L. 1978, ch. 173, § 1; L. 1996, ch. 25, § 4; L. 2007, ch. 122, § 2; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 3 - Organization, Merger Or Consolidation Of Stock Companies › 40-310 Additional kinds of insurance authorized; surplus and deposit requirements.

40-310.
Additional kinds of insurance authorized; surplus and deposit requirements.
(a) Any insurance company organized under article 3 of chapter 40 of the Kansas Statutes Annotated, and amendments thereto, may make and issue contracts of insurance, in addition to those specified in subsections (a) through (g) of K.S.A. 40-901, and amendments thereto, which include such amount and kind of insurance against legal liability for injury, damage or loss to the person or property of others, and for medical, hospital and surgical expense related to such injury, as the commissioner of insurance deems to be reasonably incidental to insurance of real or personal property against fire or other perils under policies covering residential properties involving not more than two families with or without incidental office, professional, private school or studio occupancy by an insured, whether or not the premium or rate charged for certain perils so covered is specified in the policy. Any provision of K.S.A. 40-901 or 40-902, and amendments thereto, to the contrary notwithstanding: (1) No insurer having paid-up capital stock of at least $600,000 and a bona fide net surplus of at least $400,000 but less than $1,500,000 paid-up capital and surplus combined authorized as to property insurance only shall, pursuant to this subsection (a), retain risk as to any one subject of insurance as to hazards other than property insurance hazards in an amount exceeding 3% of its surplus to policyholders; and (2) no insurer having at least paid-up capital stock of $450,000 and a bona fide net surplus of at least $300,000 but less than $1,000,000 paid-up capital stock and surplus combined authorized as to property insurance only shall, pursuant to subsection (a), retain any risk other than property insurance hazards, and all such companies shall reinsure all such risks as to hazards other than property insurance hazards.
(b) It is required when a company is acting under this section that its board of directors authorize such action by the affirmative vote of at least 2/3 of its membership. Any company which has acted under this section shall certify such action to the commissioner of insurance, together with a statement showing its financial status and a net surplus sufficient to warrant such action.
(c) Any company operating under this section shall maintain unearned premium reserves equal to a pro rata amount of the premiums received on all unexpired risks and such unearned premium reserves shall be held and regarded as an absolute liability of the company.
History:
L. 1994, ch. 87, § 2; April 7.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-402 Paid-up capital stock, surplus; deposit of securities.

40-402.
Paid-up capital stock, surplus; deposit of securities.
It shall not be lawful for any life insurance company organized or incorporated under the laws of the United States or of any other state of the United States to transact business in this state unless, if a stock company, it shall have and maintain a paid-up capital stock of at least $600,000 and a surplus of at least $600,000, and shall have deposited $400,000, or if a mutual company, a surplus of at least $1,200,000, and shall have deposited $400,000 in approved securities for the benefit of all of its policyholders or creditors, or both, with the commissioner, superintendent of insurance or chief financial officer of the state in which such company is incorporated, or, if such company is incorporated under the laws of the United States, with some financial officer of the United States, or if incorporated under the laws of any foreign government, such deposit shall be made with such an officer in any state of the United States. Any such company not having such deposit made in the state in which it is organized, or with some officer of the United States, shall make such deposit in this state in the manner prescribed by K.S.A. 40-229a.
History: L. 1927, ch. 231, 40-402; L. 1965, ch. 300, § 2; L. 1969, ch. 237, § 2; L. 1984, ch. 169, § 2; L. 1996, ch. 25, § 6; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-403b Same; foreign companies.

40-403b.
Same; foreign companies.
Any life insurance company organized under the laws of another country, state, or territory and authorized to do business in the state of Kansas, shall, within the limitations of the powers vested in it by the laws of the state wherein it was incorporated, be permitted to invest its capital, reserve and surplus funds within the state of Kansas in the same manner, to the same extent and in the same investments as are permitted to domestic life insurance companies organized under the laws of this state: Provided, That nothing herein contained shall be so construed as to prohibit any such foreign company from investing its capital, reserve, and surplus funds as permitted by its charter and the laws of its domiciliary state: And provided further, That such company shall not engage in the agricultural or horticultural business of producing, planting, raising, harvesting or gathering of wheat, corn, barley, oats, rye or potatoes, or the milking of cows for dairy purposes.
History:
L. 1947, ch. 283, § 1; April 12.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-410 Cancellation of policy for nonpayment of premiums; notice, when; policyowner defined.

40-410.
Cancellation of policy for nonpayment of premiums; notice, when; policyowner defined.
It shall be unlawful for any life insurance company, other than fraternal, doing business in this state within six (6) months after default in payment of any premium or installment of premium, to forfeit or cancel any life insurance policy on account of nonpayment of any such premium or installment of premium thereon, without first giving notice in writing to the policyowner of such policy of its intention to forfeit or cancel the same: Provided, however, That this section shall not apply to any policy under the terms of which the premium is to be paid weekly, biweekly or monthly and under which a grace period of at least four (4) weeks is granted for the payment of every premium after the first, during which time the insurance shall continue in force, and shall not apply to general or blanket contracts insuring groups of lives. Policyowner as used herein shall be the owner of the policy as shown by the records of the life insurance company. When the policyowner is other than the insured, the company, upon specific written request by the insured to the company at its home office at any time before a premium is due, shall thereafter furnish the insured a duplicate of any notice required to be sent to the policyowner hereunder.
History:
L. 1927, ch. 231, 40-410; L. 1959, ch. 214, § 1; June 30.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-411 Notice of intention to cancel policy for nonpayment of premium; time for payment.

40-411.
Notice of intention to cancel policy for nonpayment of premium; time for payment.
Before any such cancellation or forfeiture can be made for the non-payment of any such premium the insurance company shall notify the policyowner of any such policy that the premium thereon, stating the amount thereof, is due and unpaid, and of its intention to forfeit or cancel the same, and such policyowner shall have the right, at any time within thirty (30) days after such notice has been duly deposited in the post office, postage prepaid, and addressed to such policyowner to the address last known by such company, to pay such premium: Provided, That in lieu of the notice hereinbefore provided, in the case of policies providing for a period of grace of not less than thirty (30) days, or one month, for the payment of premiums and containing any provision for cancellation or forfeiture in case of nonpayment of premiums at the end of such period, the insurance company may, not more than thirty (30) days prior to the date specified in such policy when any premium will become due and payable without grace, in like manner notify the policyowner under any such policy, of the date when such premium will fall due, stating the amount thereof, and its intention to forfeit or cancel the same if such premium be not paid within the period of grace provided in the policy; and any attempt on the part of such insurance company, within six (6) months after default in the payment of any premium, to cancel or forfeit any such policy without the notice herein provided shall be null and void. The affidavit of any responsible officer, clerk or agent of the corporation authorized to mail such notice, that the notice required by this section has been duly addressed and mailed by the corporation issuing such policy shall be prima facie evidence that such notice has been duly given.
History:
L. 1927, ch. 231, 40-411; L. 1959, ch. 214, § 2; June 30.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-412 When action to be maintained on insurance contract.

40-412.
When action to be maintained on insurance contract.
No action shall be maintained upon or in respect to any contract of life insurance heretofore or hereafter made, upon which any premium shall remain unpaid after the expiration of the period specified in the policy for the payment of such premium, for the enforcement of any right under such contract which is by the terms of the policy conditioned upon the payment of such premium, or which is by the terms of the policy subject to termination or cancellation for failure to pay such premium, unless such action, or an action to reinstate such policy as a premium-paying policy, shall be commenced within six months after the expiration of the period specified in the policy for the payment of the premium so remaining unpaid in cases of failure to pay which may hereafter occur, or within six months from the date hereof in cases of failure to pay which have heretofore occurred.
History:
L. 1927, ch. 231, 40-412; June 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-413 Death of beneficiary in policy; duties of insurance company.

40-413.
Death of beneficiary in policy; duties of insurance company.
In case any life insurance company organized under the laws of this state shall have issued or may hereafter issue any policy of insurance upon the life of any person or persons for another's benefit in which the right to change the beneficiary is not reserved, and such beneficiary dies during the lifetime of the person or persons whose life or lives are insured by such insurance policy or policies, it shall be lawful for such company to receive from the person or persons whose lives are insured an affidavit setting forth the facts in the case; and if it shall appear from such affidavit that the affiants have theretofore paid the annual premium on such policy or policies, and intended thereby to insure for the benefit of the person or persons named in such policy or policies as beneficiary, that such person or persons are dead, and that such policy or policies have not been assigned or transferred to any person or persons, and nominating or appointing some other person or persons as beneficiary in place of such deceased in such policy or policies named, it shall then be the duty of such insurance company to take up and cancel such policies, at the request of the assured, and issue in like terms another policy or policies upon the life or lives of such insured for the benefit of the beneficiary in such affidavit nominated.
History:
L. 1927, ch. 231, 40-413; June 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-414 Exemption of interests in policies; exceptions.

40-414.
Exemption of interests in policies; exceptions.
(a) If a life insurance company or fraternal benefit society issues any policy of insurance or beneficiary certificates upon the life of an individual and payable at the death of the insured, or in any given number of years, to any person or persons having an insurable interest in the life of the insured, the policy and its reserves, or their present value, shall inure to the sole and separate use and benefit of the beneficiaries named in the policy and shall be free from:
(1) The claims of the insured or the insured's creditors and representatives;
(2) the claims of any policyholder or the policyholder's creditors and representatives, subject to the provisions of subsection (b);
(3) all taxes, subject to the provisions of subsection (d); and
(4) the claims and judgments of the creditors and representatives of any person named as beneficiary in the policy of insurance.
(b) The nonforfeiture value of a life insurance policy shall not be exempt from:
(1) Claims of the creditors of a policyholder who files a bankruptcy petition under 11 U.S.C. § 101 et seq. on or within one year after the date the policy is issued; or
(2) the claim of any creditor of a policyholder if execution on judgment for the claim is issued on or within one year after the date that the policy is issued.
(c) Nothing in this section shall be construed as restricting the right of the insured to change the beneficiary if the policy reserves that right to the insured.
(d) Nothing in this section shall be construed as exempting from taxation any real estate which may at any time be carried by any life insurance company as a part of its legal reserve.
(e) The provisions of subsection (b) shall apply only to life insurance policies purchased on or after July 1, 1988.
(f) The provisions of subsection (b) shall not apply to that portion of the nonforfeiture value of a life insurance policy, issued on or within one year of the filing of a bankruptcy petition under 11 U.S.C. § 101 et seq. or an execution on judgment for the claim of the creditor, which is derived from the surrender of a life insurance policy issued more than one year prior to such bankruptcy petition or such execution.
History: L. 1927, ch. 231, 40-414; L. 1933, ch. 71, § 1 (Special Session); L. 1984, ch. 170, § 1; L. 1988, ch. 217, § 1; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-414a Trust provisions in contracts; restrictions on alienation; exemptions.

40-414a.
Trust provisions in contracts; restrictions on alienation; exemptions.
When a contract of annuity, a policy of insurance, or other contract of a life insurance company authorized to do business in this state is entered into with any person for the benefit of another, and such contract so provides, a person entitled to any of the proceeds retained thereunder by said company or to interest thereon shall not be permitted to commute, anticipate, encumber, alienate, or assign the principal or interest thereon, or any part thereof, nor shall any part of such principal or interest be subject to the claims of creditors of any such person, nor be in any way subject to such person's debts, contracts, or engagements, or to any judicial process to levy upon or attach such proceeds for payment of such claims or demands, and such contracts shall be valid and enforceable.
History:
L. 1933, ch. 204, § 1; June 5.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-415 Insurance to go to estate of insured when beneficiary dies before insured.

40-415.
Insurance to go to estate of insured when beneficiary dies before insured.
In all cases of the death of the beneficiary in any insurance policy before the death of the insured, and thereafter the insured dies without having named another beneficiary and without having disposed of said insurance by will, then said insurance shall go to the estate of the insured, the same as other property not exempt.
History:
L. 1927, ch. 231, 40-415; June 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-416 Subsequent agreements.

40-416.
Subsequent agreements.
A life insurance company may enter into subsequent agreements in writing with the insured, which need not be attached to the policy, to extend the time for the payment of any premium, or part thereof, upon condition that failure to comply with the terms of such agreement shall lapse the policy as provided in said agreement. Subject to such lien as may be created to secure any indebtedness contracted by the insured in consideration of such extension, said agreement shall not impair any right existing under the policy.
History:
L. 1927, ch. 231, 40-416; June 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-417 Fraud and perjury; penalty.

40-417.
Fraud and perjury; penalty.
Any solicitor, agent, examining physician or other person who shall knowingly or willfully make any false or fraudulent statement or representation in or with reference to any application for life insurance, or who shall make any such statement for the purpose of obtaining any fee, commission, money or benefits from any company transacting business under this act shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punished by a fine of not more than five hundred dollars or imprisonment in the county jail for not more than one year, or both, at the discretion of the court; and any person who shall willfully make a false statement of any material fact or thing in a sworn statement as to death or disability for the purpose of procuring payment of a benefit named in a policy or certificate shall be deemed guilty of perjury.
History:
L. 1927, ch. 231, 40-417; June 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-418 Materiality of misrepresentation in obtaining policy.

40-418.
Materiality of misrepresentation in obtaining policy.
No misrepresentation made in obtaining or securing a policy of insurance on the life or lives of any person or persons, citizens of this state, shall be deemed material or render the policy void unless the matter misrepresented shall have actually contributed to the contingency or event on which the policy is to become due and payable.
History:
L. 1927, ch. 231, 40-418; June 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-419 Tender of premiums with defense of misrepresentation.

40-419.
Tender of premiums with defense of misrepresentation.
In suits brought upon life policies heretofore or hereafter issued, no defense based upon misrepresentation in obtaining or securing the same shall be valid unless the defendant, at or before the trial, shall deposit in court for the benefit of the plaintiff the premiums received on such policies.
History: L. 1927, ch. 231, 40-419; June 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-419a Refund upon cancellation of individual term policy; calculation.

40-419a.
Refund upon cancellation of individual term policy; calculation.
Upon the cancellation of any individual term life insurance policy by the owner thereof, the insurance company shall not refuse to refund unearned premiums for the remainder of the term for which premiums were paid. The amount of unearned premiums to be refunded shall equal the difference between the total premium paid and the amount derived by multiplying 1/3 of the quarterly rate by the number of months the policy was in effect. For the purposes of this section, "term life insurance" means a life insurance policy that provides a benefit only if the insured dies within a period stated in the policy and is issued for level, increasing or decreasing amounts for a stated period or to a stated age.
History:
L. 1991, ch. 131, § 1; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-420a Policy loan interest rates; purpose.

40-420a.
Policy loan interest rates; purpose.
The purpose of this act is to permit and set guidelines for life insurers to include in life insurance policies issued after the effective date of this act a provision for periodic adjustment of policy loan interest rates.
History:
L. 1982, ch. 203, § 1; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-420b Same; definitions.

40-420b.
Same; definitions.
For purposes of this act the "published monthly average" means:
(a) Moody's corporate bond yield average—monthly average corporates as published by Moody's investors service, inc., or any successor thereto; or
(b) in the event that Moody's corporate bond yield average—monthly average corporates is no longer published, a substantially similar average, established by regulation issued by the commissioner.
History:
L. 1982, ch. 203, § 2; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-420d Same; applicability to policies.

40-420d.
Same; applicability to policies.
The provisions of this act shall not apply to any insurance contract issued before the effective date of this act, unless the policyholder agrees in writing to the applicability of such provisions.
History:
L. 1982, ch. 203, § 4; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-421 Provisions insurance policy not to contain.

40-421.
Provisions insurance policy not to contain.
From and after the first day of January, 1928, no policy of life insurance, other than industrial insurance, annuities and pure endowments with or without return of premiums or of premiums and interest, shall be issued or delivered in this state or be issued by a life insurance company organized under the laws of this state if it contain any of the following provisions:
(1) A provision by which the policy shall purport to be issued or take effect more than six months before the original application for the insurance was made.
(2) A provision for any mode of settlement at maturity after the expiration of the contestable period of the policy of less value than the amount insured on the face of the policy plus dividend additions, if any, less any indebtedness to the company on or secured by the policy, and less any premium that may by the terms of the policy be deducted. This paragraph shall not apply to any nonforfeiture provision which employs the method provided by subsection 6 of section 40-420 of this code less indebtedness, if any, to purchase automatic paid-up or extended insurance, nor to readjustment because of misstatement of age, nor to any liability in event of violation of the conditions described in paragraph (2) section 40-420.
(3) A provision for forfeiture of the policy for failure to repay any loan on the policy, or to pay interest on such loan, while the total indebtedness on the policy, including interest, is less than the loan value thereof.
(4) A provision to the effect that the agent soliciting the insurance is the agent of the person insured under said policy, or making the acts or representations of such agent binding upon the person so insured under said policy.
(5) A provision to the effect that payment of dividends on any form of participating policies shall be deferred for more than five years.
History:
L. 1927, ch. 231, 40-421; L. 1939, ch. 210, § 1; June 30.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-422 Industrial life insurance; definitions.

40-422.
Industrial life insurance; definitions.
As used in this act "industrial life insurance" means either that form of life insurance under which the premiums are payable weekly, or that under which the premiums are payable monthly or oftener if the face amount of insurance provided in the policy is less than one thousand dollars and the words "industrial policy" are printed in prominent type on the face of the policy.
History:
L. 1941, ch. 258, § 1; June 30.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-424 Same; designation of beneficiary; change of; payments.

40-424.
Same; designation of beneficiary; change of; payments.
Upon proper written request, a named beneficiary shall be designated in, or be endorsed on a policy of industrial life insurance, to receive the benefits thereof on the death of the insured, and there shall be reserved the power to change the beneficiary at any time upon proper written request to the company at its home office, accompanied by the policy for endorsement of the change thereon by the company. The company shall have the right to refuse to designate a beneficiary if evidence satisfactory to the company of such beneficiary's insurable interest in the life of the insured is not furnished on request.
The policy may provide in substance that any payment thereunder may be made or any nonforfeiture benefit may be granted to the insured or to the insured's estate or to any relative by blood or connection by marriage of the insured, or, to the extent of such portion of any payment under the policy as may reasonably appear to the company to be due to such person, to any other person equitably entitled thereto by reason of having incurred expense occasioned by the maintenance or illness or burial of the insured. If the policy shall be in force at the death of the insured, the proceeds thereof shall be payable to the named beneficiary if living, but unless proof of claim in the manner and form required by the policy, accompanied by delivery of the policy for surrender, has been made by such beneficiary within fifteen days after the death of the insured, then upon the expiration of said fifteen days, or if the beneficiary is the estate of the insured, or is a minor, or is not legally qualified to give a valid release or dies before the insured, the company may pay to any person permitted by the policy.
History:
L. 1941, ch. 258, § 3; June 30.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-425 Same; cash surrender value and value of stipulated form to be equal.

40-425.
Same; cash surrender value and value of stipulated form to be equal.
The cash surrender value and the value of any stipulated form of insurance granted under subsections (7) and (9) of K.S.A. 40-423, shall be equal provided that the amount of paid-up insurance may be taken to either the next lower or next higher dollar and the period of extended insurance may be taken to either the beginning or end of the week in which such extended insurance would otherwise expire.
History:
L. 1941, ch. 258, § 4; L. 1947, ch. 277, § 7; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-426 Same; commissioner may authorize policies more favorable.

40-426.
Same; commissioner may authorize policies more favorable.
Any policy of industrial life insurance may be delivered or issued for delivery in this state which in the opinion of the insurance commissioner contains provisions on any one or more of the several foregoing requirements more favorable to policyholders than provided by this act.
History:
L. 1941, ch. 258, § 5; June 30.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-429 Loan provisions in policies.

40-429.
Loan provisions in policies.
(a) In the case of those policies issued prior to the operative date of K.S.A. 40-428 (the standard nonforfeiture law) the loan value referred to in subsection (5) of K.S.A. 40-420, shall be the reserve at the end of the current policy year on the policy and on the dividend additions thereto, if any, exclusive of the reserve on account of return premium insurance and of total and permanent disability and additional accidental death benefits, less a sum not more than two and one-half percentum of the amount insured by the policy and of any dividend additions thereto (the policy to specify the mortality table and rate of interest adopted for computing such reserve). Such policies may further provide that such loan may be deferred for not exceeding six months after the application therefor is made.
(b) In the case of policies issued on or after the operative date of K.S.A. 40-428 (the standard nonforfeiture law) the loan value referred to in subsection (5) of K.S.A. 40-420, shall be the cash surrender value at the end of the current policy year as required by K.S.A. 40-428. The company shall reserve the right to defer such loan, except when made to pay premiums, for six months after application therefor is made.
History:
L. 1947, ch. 277, § 5; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-431 Definition of due date for the payment of premiums and of when premium in default.

40-431.
Definition of due date for the payment of premiums and of when premium in default.
For the purpose of this act the due date for the payment of premiums shall be construed to mean the date specified in the policy when any premium will be due and payable without grace, and the premiums shall be deemed to be in default if not paid on or before said date, but this shall not be deemed to preclude the right to pay the premium during the grace period.
History:
L. 1947, ch. 277, § 9; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-432 Invalidity of part.

40-432.
Invalidity of part.
If any clause, sentence, section, provision, or part of this act shall be adjudged to be unconstitutional or invalid for any reason by any court of competent jurisdiction, such judgment shall not invalidate, impair, or affect the remainder of this act, which shall remain in full force and effect.
History:
L. 1947, ch. 277, § 10; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-433a Same; provision granting employee right of assignment of benefits.

40-433a.
Same; provision granting employee right of assignment of benefits.
Any policy of group life insurance issued under the authority granted in K.S.A. 40-433 subsection (1) may, at the option of the insurer, contain a provision granting to any employee insured under the policy the inalienable right to irrevocably or revocably assign all rights, privileges, benefits, or other incidents of ownership conferred upon the employee by the policy by filing such assignment with the insurer and the policyholder.
History:
L. 1969, ch. 234, § 2; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-435 Same; conversion privileges; notice.

40-435.
Same; conversion privileges; notice.
If any individual insured under a group life insurance policy delivered in this state becomes entitled under the terms of such policy to have an individual policy of life insurance issued to such insured without evidence of insurability, subject to making application and payment of the first premium within the period specified in such policy, and if such individual is not given notice of the existence of such right at least 15 days prior to the expiration date of such period, then, in such event the individual shall have an additional period within which to exercise such right, but, except as provided in subsection (10) of K.S.A. 40-434, and amendments thereto, nothing contained in this section shall be construed to continue any insurance beyond the period provided in such policy. The additional period shall expire 15 days next after the individual is given such notice but in no event shall such additional period extend beyond 60 days next after the expiration date of the period provided in such policy. Written notice presented to the individual or mailed by the policyholder to the last known address of the individual or mailed by the insurer to the last known address of the individual as furnished by the policyholder shall constitute notice for the purpose of this section.
History:
L. 1951, ch. 301, § 3; L. 1994, ch. 17, § 1; March 17.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-437 Same; application of other laws; variable life contracts, provisions required; reserve liability requirements.

40-437.
Same; application of other laws; variable life contracts, provisions required; reserve liability requirements.
Except for subsections (1), (4), (5), (6), (7), (8), (9) and (11) of K.S.A. 40-420; subsections (1), (2) and (3) of K.S.A. 40-421; K.S.A. 40-427, 40-428, 40-428a, 40-429 and subsection (1) of K.S.A. 40-434, and except as otherwise provided in this act, all pertinent provisions of the insurance laws of this state shall apply to separate accounts and contracts relating thereto. Any individual variable life insurance or annuity contract, delivered or issued for delivery in this state shall contain grace, reinstatement and nonforfeiture provisions appropriate to such a contract. Any group variable life insurance contract, delivered or issued for delivery in this state, shall contain a grace provision appropriate to such a contract. The reserve liability for variable contracts shall be established in accordance with actuarial procedures that recognize the variable nature of the benefits provided and any mortality guarantees.
History:
L. 1967, ch. 259, § 2; L. 1968, ch. 382, § 2; L. 1972, ch. 182, § 2; L. 1978, ch. 175, § 3; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-438 Same; severability.

40-438.
Same; severability.
If any provision of this act or application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the act which can be given effect without the invalid provision or application, and to this end the provisions of this act are declared to be severable.
History:
L. 1967, ch. 259, § 3; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-439 Assignment of rights and privileges under life and accident and health insurance policies.

40-439.
Assignment of rights and privileges under life and accident and health insurance policies.
No provision in K.S.A. 40-434 and 40-435 or any other law shall be construed as prohibiting a person whose life is insured under a policy of group life or accident and health insurance or the policyowner of an individual life or accident and health policy from making an assignment of all or any part of his rights and privileges under such policy including specifically, but not by way of limitation, any right to designate a beneficiary or beneficiaries thereunder and any right to have an individual policy issued to him in accordance with subsections (8), (9) or (10) of K.S.A. 40-434 and 40-435. Subject to the terms of the policy relating to assignment of such rights and privileges thereunder, such an assignment by an insured or the policyowner, made either before or after the effective date of this section, is valid for the purpose of vesting in the assignee, in accordance with any provisions included therein as to the time at which it is to be effective, all of such rights and privileges so assigned, but without prejudice to the insurer on account of any payment it may make or individual policy it may issue in accordance with subsections (8), (9) or (10) of K.S.A. 40-434 and 40-435 prior to receipt of notice of the assignment.
History:
L. 1969, ch. 239, § 1; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-440 Same; act acknowledges existing right of assignment.

40-440.
Same; act acknowledges existing right of assignment.
This act acknowledges, declares and codifies the existing right of assignment of interests under individual and group life and accident and health insurance policies.
History:
L. 1969, ch. 239, § 2; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-441 Designation of trustee under will as beneficiary of life insurance policy.

40-441.
Designation of trustee under will as beneficiary of life insurance policy.
A policy of life insurance may designate as beneficiary a trustee or trustees named or to be named by will, if the designation is made in accordance with the provisions of the policy and the requirements of the insurance company. Immediately after the proving of the will the proceeds of such insurance shall be paid to the trustee or trustees named therein to be held and disposed of under the terms of the will as they exist at the death of the testator, but if no qualified trustee makes claim to the proceeds from the insurance company within one (1) year after the death of the insured, or if satisfactory evidence is furnished the insurance company within such one-year period showing that no trustee can qualify to receive the proceeds, payment shall be made by the insurance company to those thereafter entitled. The proceeds of the insurance as collected by the trustee or trustees shall not be subject to debts of the insured to any greater extent than if such proceeds were payable to any other named beneficiary other than the estate of the insured. Nothing in this section shall be construed as invalidating previous life insurance policy beneficiary designations naming trustees of trusts established by will.
History:
L. 1970, ch. 178, § 1; L. 2010, ch. 44, § 18; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-442 Issuance of life insurance policy; filing of form prior to issuance.

40-442.
Issuance of life insurance policy; filing of form prior to issuance.
No individual policy of life insurance shall be issued or delivered to any person in this state nor shall any application, rider or endorsement be used in connection therewith, until a copy of the form thereof has been filed with the commissioner of insurance.
History:
L. 1971, ch. 155, § 1; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-443 Same; approval of commissioner.

40-443.
Same; approval of commissioner.
No such policy shall be issued, nor shall any application, rider or endorsement be used in connection therewith, until such policy, application, rider or endorsement has been approved by the commissioner or until thirty (30) days after the filing of any such form, whichever first occurs.
History:
L. 1971, ch. 155, § 2; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-444 Same; disapproval of policy form; notice, requirements; hearing.

40-444.
Same; disapproval of policy form; notice, requirements; hearing.
The commissioner may, within 30 days after the filing of any such form, disapprove such form if it contains a provision or provisions which are unjust, unfair, inequitable, misleading, deceptive or encourage misrepresentation of such policy. If the commissioner notifies the insurer who has filed any such form that it does not comply with the provisions of this section or K.S.A. 40-420 and 40-421, and amendments thereto, it shall be unlawful thereafter for such insurer to issue such form or use it in connection with any policy. In such notice, the commissioner shall specify the reasons for disapproval and state that a hearing will be granted within 20 days after request in writing by the insurer. Hearings under this section shall be conducted in accordance with the provisions of the Kansas administrative procedure act.
History:
L. 1971, ch. 155, § 3; L. 1988, ch. 356, § 77; July 1, 1989.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-445 Same; withdrawal of approval; notice and hearing; unlawful for insurer to issue or use such form.

40-445.
Same; withdrawal of approval; notice and hearing; unlawful for insurer to issue or use such form.
The commissioner may at any time, after a hearing conducted in accordance with the provisions of the Kansas administrative procedure act, of which not less than 20 days written notice shall have been given to the insurer, withdraw approval of any such form on any of the grounds stated in this act. It shall be unlawful for the insurer to issue such form or use it in connection with any policy after the effective date of such withdrawal of approval.
History:
L. 1971, ch. 155, § 4; L. 1988, ch. 356, § 78; July 1, 1989.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-447 Payment of life insurance proceeds; interest required to be paid, when.

40-447.
Payment of life insurance proceeds; interest required to be paid, when.
(a) Notwithstanding any other provision of law, each insurer admitted to transact life insurance in the state of Kansas which fails or refuses to pay the proceeds of, or payments under, any policy of life insurance issued by it within 10 days after the date of receipt of due proof of death in the manner and form requested by the policy, shall pay interest on any moneys payable and unpaid after the expiration of such 10-day period at an annual rate of not less than the current rate of interest on death proceeds left on deposit with the insurer plus 1% computed from the date of said receipt.
(b) Nothing in this section shall be construed to allow any insurer admitted to transact life insurance in this state to withhold payment of money payable under a life insurance policy to any beneficiary for a period longer than reasonably necessary to transmit such payment.
(c) In any case in which interest on the proceeds of, or payments under, any policy of life insurance becomes payable pursuant to subsection (a), the insurer shall notify the named beneficiary or beneficiaries at their last known address that interest will be paid on the proceeds of, or payments under, such policy from the date of receipt of due proof of death of the named insured. Such notice shall specify the rate of interest to be paid.
(d) This section shall not require the payment of interest in any case in which the beneficiary elects in writing delivered to the insurer to receive the proceeds of, or payments under, the policy by any means other than a lump sum payment thereof.
(e) The commissioner of insurance may adopt such rules and regulations necessary to provide for the enforcement and administration of this act.
History:
L. 1977, ch. 155, § 1; L. 1987, ch. 164, § 1; July 1.
2023 Kansas Statutes › Chapter 40 - Insurance › Article 4 - General Provisions Relating To Life Insurance Companies › 40-449 Policies covering debtors, replacement by creditor; limitation on contestation.

40-449.
Policies covering debtors, replacement by creditor; limitation on contestation.
Whenever any creditor substitutes or replaces a policy of life insurance covering debtors of a creditor in exchange for charges collected from the insured debtors, the insurance company issuing the replacement or substitute policy shall not be entitled to contest the payment of benefits in the event of the debtor's death to any greater extent than the replaced life insurance would have been contestable by the insurer providing the replaced coverage had a replacement not occurred. This prohibition shall not apply to any amount of insurance provided by the replacement policy which exceeds the amount of insurance provided by the replaced policy.
History:
L. 1990, ch. 156, § 1; July 1.