Kansas Statutes 40-2908. Same; powers and duties of commissioner
(a) The commissioner shall:
(1) Notify the association of the existence of an insolvent insurer not later than three regular business days after the commissioner receives notice of the determination of the insolvency.
Terms Used In Kansas Statutes 40-2908
- Association: means the Kansas insurance guaranty association created by this act. See Kansas Statutes 40-2903
- Commissioner: means the commissioner of insurance of this state. See Kansas Statutes 40-2903
- Insolvent insurer: means :
(1) An insurer licensed by the commissioner to transact insurance in this state either at the time the policy was issued or when the insured event occurred; and
(2) determined to be insolvent by a court of competent jurisdiction and against whom a final order of liquidation has been entered by a court of competent jurisdiction in the insurer's domiciliary state. See Kansas Statutes 40-2903
- Member insurer: means any person who (1) is authorized to write any kind of insurance to which this act applies under Kan. See Kansas Statutes 40-2903
- Month: means a calendar month, unless otherwise expressed. See Kansas Statutes 77-201
- Net direct written premiums: means first gross premiums written in this state on insurance policies to which this act applies, less return premiums thereon and dividends paid or credited to policyholders on such direct business. See Kansas Statutes 40-2903
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Kansas Statutes 77-201
(2) Upon request of the board of directors, provide the association with a statement of the net direct written premiums of each member insurer.
(b) The commissioner may:
(1) Require that the association notify the insureds of the insolvent insurer and any other interested party of the determination of insolvency and of their rights under this act. Such notification shall be by mail at the insurer’s or interested party’s last known address, where available, but if sufficient information for notification by mail is not available, notice by publication in a newspaper of general circulation shall be sufficient.
(2) Suspend or revoke, pursuant to the provisions of Kan. Stat. Ann. § 40-223, and amendments thereto, the certificate of authority to transact insurance in this state of any member insurer which fails to pay an assessment when due or fails to comply with the plan of operation. As an alternative, the commissioner may levy a fine on any member insurer which fails to pay an assessment when due. Such fine shall not exceed 5% of the unpaid assessment per month, except that no fine shall be less than $100 per month.
(3) Revoke the designation of any servicing facility if the commissioner finds claims are being handled unsatisfactorily.