Read the full stored bill text
SENATE BILL No. 55
AN A CT concerning property and casualty insurance; prohibiting the assignment of
benefits therefor; defining such assignment of benefits as an unfair method of
competition and unfair or deceptive act or practice; amending K.S.A. 2025 Supp. 40-
2404 and repealing the existing section.
Be it enacted by the Legislature of the State of Kansas:
New Section 1. (a) As used in this section:
(1) "Assignment agreement" means any instrument by which post-
loss benefits under a residential property insurance policy are assigned,
transferred or acquired in any other manner, in whole or in part, to or
from a person providing services, including, but not limited to,
inspecting, protecting, repairing, restoring or replacing the property or
mitigating against further damage to the property.
(2) "Person" means the same as defined in K.S.A. 40-2402, and
amendments thereto.
(b) (1) A person shall not solicit or accept an assignment, in whole
or in part, of any post-loss insurance benefit under a residential
property insurance policy. An assignment agreement shall be
considered against public policy and shall be null and void.
(2) The provisions of paragraph (1) shall not apply to:
(A) An assignment, transfer, pledge or conveyance granted to a
federally insured financial institution, mortgagee or subsequent
purchaser of the property; or
(B) liability coverage under a residential property insurance
policy.
(c) Violation of subsection (b) shall be considered an unfair
method of competition and unfair or deceptive act or practice.
Sec. 2. K.S.A. 2025 Supp. 40-2404 is hereby amended to read as
follows: 40-2404. The following are hereby defined as unfair methods
of competition and unfair or deceptive acts or practices in the business
of insurance:
(1) Misrepresentations and false advertising of insurance policies.
Making, issuing, circulating or causing to be made, issued or circulated,
any estimate, illustration, circular, statement, sales presentation,
omission or comparison that:
(a) Misrepresents the benefits, advantages, conditions or terms of
any insurance policy;
(b) misrepresents the dividends or share of the surplus to be
received on any insurance policy;
(c) makes any false or misleading statements as to the dividends or
share of surplus previously paid on any insurance policy;
(d) is misleading or is a misrepresentation as to the financial
condition of any person, or as to the legal reserve system upon which
any life insurer operates;
(e) uses any name or title of any insurance policy or class of
insurance policies misrepresenting the true nature thereof;
(f) is a misrepresentation for the purpose of inducing or tending to
induce the lapse, forfeiture, exchange, conversion or surrender of any
insurance policy;
(g) is a misrepresentation for the purpose of effecting a pledge or
assignment of or effecting a loan against any insurance policy; or
(h) misrepresents any insurance policy as being shares of stock.
(2) False information and advertising generally. Making,
publishing, disseminating, circulating or placing before the public, or
causing, directly or indirectly, to be made, published, disseminated,
circulated or placed before the public, in a newspaper, magazine or
other publication, or in the form of a notice, circular, pamphlet, letter or
poster, or over any radio or television station, or in any other way, an
advertisement, announcement or statement containing any assertion,
misrepresentation or statement with respect to the business of insurance
SENATE BILL No. 55—page 2
or with respect to any person in the conduct of such person's insurance
business, that is untrue, deceptive or misleading.
(3) Defamation. Making, publishing, disseminating or circulating,
directly or indirectly, or aiding, abetting or encouraging the making,
publishing, disseminating or circulating of any oral or written statement
or any pamphlet, circular, article or literature that is false, or
maliciously critical of or derogatory to the financial condition of any
person, and that is calculated to injure such person.
(4) Boycott, coercion and intimidation. Entering into any
agreement to commit, or by any concerted action committing, any act
of boycott, coercion or intimidation resulting in or tending to result in
unreasonable restraint of the business of insurance, or by any act of
boycott, coercion or intimidation monopolizing or attempting to
monopolize any part of the business of insurance.
(5) False statements and entries. (a) Knowingly filing with any
supervisory or other public official, or knowingly making, publishing,
disseminating, circulating or delivering to any person, or placing before
the public, or knowingly causing directly or indirectly, to be made,
published, disseminated, circulated, delivered to any person, or placed
before the public, any false material statement of fact as to the financial
condition of a person.
(b) Knowingly making any false entry of a material fact in any
book, report or statement of any person or knowingly omitting to make
a true entry of any material fact pertaining to the business of such
person in any book, report or statement of such person.
(6) Stock operations and advisory board contracts. Issuing or
delivering or permitting agents, officers or employees to issue or
deliver, agency company stock or other capital stock, or benefit
certificates or shares in any common-law corporation, or securities or
any special or advisory board contracts or other contracts of any kind
promising returns and profits as an inducement to insurance. Nothing
herein shall prohibit the acts permitted by K.S.A. 40-232, and
amendments thereto.
(7) Unfair discrimination. (a) Making or permitting any unfair
discrimination between individuals of the same class and equal
expectation of life in the rates charged for any contract of life insurance
or life annuity or in the dividends or other benefits payable thereon, or
in any other of the terms and conditions of such contract.
(b) Making or permitting any unfair discrimination between
individuals of the same class and of essentially the same hazard in the
amount of premium, policy fees or rates charged for any policy or
contract of accident or health insurance or in the benefits payable
thereunder, in any of the terms or conditions of such contract or in any
other manner whatever.
(c) Refusing to insure, refusing to continue to insure, limiting the
amount, extent or kind of coverage available to an individual or
charging an individual a different rate for the same coverage solely
because of blindness or partial blindness. With respect to all other
conditions, including the underlying cause of the blindness or partial
blindness, persons who are blind or partially blind shall be subject to
the same standards of sound actuarial principles or actual or reasonably
anticipated experience as are sighted persons. Refusal to insure
includes denial by an insurer of disability insurance coverage on the
grounds that the policy defines "disability" as being presumed in the
event that the insured loses such person's eyesight. However, an insurer
may exclude from coverage disabilities consisting solely of blindness
or partial blindness when such condition existed at the time the policy
was issued.
(d) Refusing to insure, refusing to continue to insure or limiting
SENATE BILL No. 55—page 3
the amount, extent or kind of coverage available for accident and health
and life insurance to an applicant who is the proposed insured, charging
a different rate for the same coverage, excluding or limiting coverage
for losses or denying a claim incurred by an insured as a result of abuse
based on the fact that the applicant who, is the proposed insured, is, has
been, or may be the subject of domestic abuse, except as provided in
subsection (7)(d)(v) (7)(d)(vi).
(i) As used in this paragraph, "abuse" means one or more acts
defined in K.S.A. 60-3102, and amendments thereto, between family
members, current or former household members or current or former
intimate partners.
(i)(ii) An insurer shall not ask an applicant for life or accident and
health insurance who is the proposed insured if the individual is, has
been or may be the subject of domestic abuse, or seeks, has sought or
had reason to seek medical or psychological treatment or counseling
specifically for abuse, protection from abuse or shelter from abuse.
(ii)(iii) Nothing in this section shall be construed to prohibit a
person from declining to issue an insurance policy insuring the life of
an individual who is, has been or has the potential to be the subject of
abuse if the perpetrator of the abuse is the applicant or would be the
owner of the insurance policy.
(iii)(iv) No insurer that issues a life or accident and health policy
to an individual who is, has been or may be the subject of domestic
abuse shall be subject to civil or criminal liability for the death or any
injuries suffered by that individual as a result of domestic abuse.
(iv)(v) No person shall refuse to insure, refuse to continue to
insure, limit the amount, extent or kind of coverage available to an
individual or charge a different rate for the same coverage solely
because of physical or mental condition, except where the refusal,
limitation or rate differential is based on sound actuarial principles.
(v)(vi) Nothing in this section shall be construed to prohibit a
person from underwriting or rating a risk on the basis of a preexisting
physical or mental condition, even if such condition has been caused by
abuse, provided that:
(A) The person routinely underwrites or rates such condition in
the same manner with respect to an insured or an applicant who is not a
victim of abuse;
(B) the fact that an individual is, has been or may be the subject of
abuse may not be considered a physical or mental condition; and
(C) such underwriting or rating is not used to evade the intent of
this section or any other provision of the Kansas insurance code.
(vi)(vii) Any person who underwrites or rates a risk on the basis of
preexisting physical or mental condition as set forth in subsection (7)
(d)(v) (7)(d)(vi) , shall treat such underwriting or rating as an adverse
underwriting decision pursuant to K.S.A. 40-2,112, and amendments
thereto.
(vii)(viii) The provisions of this paragraph shall apply to all
policies of life and accident and health insurance issued in this state
after the effective date of this act and all existing contracts that are
renewed on or after the effective date of this act.
(e) Refusing to insure, or refusing to continue to insure, or limiting
the amount, extent or kind of coverage available for life insurance to an
individual, or charging an individual a different rate for the same
coverage, solely because of such individual's status as a living organ
donor. With respect to all other conditions, persons who are living
organ donors shall be subject to the same standards of sound actuarial
principles or actual or reasonably anticipated experience as are persons
who are not organ donors.
(8) Rebates. (a) Except as otherwise expressly provided by law,
SENATE BILL No. 55—page 4
knowingly permitting, offering to make or making any contract of life
insurance, life annuity or accident and health insurance, or agreement
as to such contract other than as plainly expressed in the insurance
contract issued thereon; paying, allowing, giving or offering to pay,
allow or give, directly or indirectly, as inducement to such insurance, or
annuity, any rebate of premiums payable on the contract, any special
favor or advantage in the dividends or other benefits thereon, or any
valuable consideration or inducement whatever not specified in the
contract; or giving, selling, purchasing or offering to give, sell or
purchase as inducement to such insurance contract or annuity or in
connection therewith, any stocks, bonds or other securities of any
insurance company or other corporation, association or partnership, or
any dividends or profits accrued thereon, or anything of value
whatsoever not specified in the contract.
(b) Nothing in subsection (7)(a) or (8)(a) shall be construed as
including within the definition of discrimination or rebates any of the
following practices:
(i) In the case of any contract of life insurance or life annuity,
paying bonuses to policyholders or otherwise abating their premiums in
whole or in part out of surplus accumulated from nonparticipating
insurance. Any such bonuses or abatement of premiums shall be fair
and equitable to policyholders and for the best interests of the company
and its policyholders;
(ii) in the case of life insurance policies issued on the industrial
debit plan, making allowance to policyholders who have continuously
for a specified period made premium payments directly to an office of
the insurer in an amount that fairly represents the saving in collection
expenses;
(iii) readjustment of the rate of premium for a group insurance
policy based on the loss or expense experience thereunder, at the end of
the first or any subsequent policy year of insurance thereunder, which
may be made retroactive only for such policy year;
(iv) engaging in an arrangement that would not violate section 106
of the bank holding company act amendments of 1972, as interpreted
by the board of governors of the federal reserve system or section 5(q)
of the home owners' loan act;
(v) the offer or provision by insurers or producers, by or through
employees, affiliates or third-party representatives, of value-added
products or services at no or reduced cost when such products or
services are not specified in the policy of insurance if the product or
service:
(A) Relates to the insurance coverage; and
(B) is primarily designed to satisfy one or more of the following:
(1) Provide loss mitigation or loss control;
(2) reduce claim costs or claim settlement costs;
(3) provide education about liability risks or risk of loss to persons
or property;
(4) monitor or assess risk, identify sources of risk or develop
strategies for eliminating or reducing risk;
(5) enhance health;
(6) enhance financial wellness through items such as education or
financial planning services;
(7) provide post-loss services;
(8) (a) incentivize behavioral changes to improve the health or
reduce the risk of death or disability of a customer;
(b) as used in this section, "customer" means a policyholder,
potential policyholder, certificate holder, potential certificate holder,
insured, potential insured or applicant; or
(9) assist in the administration of the employee or retiree benefit
SENATE BILL No. 55—page 5
insurance coverage.
(C) The cost to the insurer or producer offering the product or
service to any given customer shall be reasonable in comparison to
such customer's premiums or insurance coverage for the policy class.
(D) If the insurer or producer is providing the product or service
offered, the insurer or producer shall ensure that the customer is
provided with contact information, upon request, to assist the customer
with questions regarding the product or service.
(E) The commissioner may adopt rules and regulations when
implementing the permitted practices set forth in this section to ensure
consumer protection. Such rules and regulations, consistent with
applicable law, may address, among other issues, consumer data
protections and privacy, consumer disclosure and unfair discrimination.
(F) The availability of the value-added product or service shall be
based on documented objective criteria and offered in a manner that is
not unfairly discriminatory. The documented criteria shall be
maintained by the insurer or producer and produced upon request by
the commissioner.
(G) (1) If an insurer or producer does not have sufficient evidence
but has a good-faith belief that the product or service meets the criteria
in subsection (8)(b)(v)(B), the insurer or producer may provide the
product or service in a manner that is not unfairly discriminatory as part
of a pilot or testing program for not more than one year. An insurer or
producer shall notify the commissioner of such a pilot or testing
program offered to consumers in this state prior to launching and may
proceed with the program unless the commissioner objects within 21
days of notice.
(2) If the insurer or producer is unable to determine sufficient
evidence within the one-year pilot or testing period, the insurer or
producer may request that such pilot or testing period be extended for
such additional time as necessary to determine if the product or service
meets the criteria described in subsection (8)(b)(v)(B). Upon such a
request, the commissioner may grant an extension of a specified time.
(vi) An insurer or a producer may:
(A) Offer or give non-cash gifts, items or services, including
meals to or charitable donations on behalf of a customer, in connection
with the marketing, sale, purchase or retention of contracts of
insurance, as long as the cost does not exceed an amount determined to
be reasonable by the commissioner per policy year per term. The offer
shall be made in a manner that is not unfairly discriminatory. The
customer shall not be required to purchase, continue to purchase or
renew a policy in exchange for the gift, item or service.
(B) Conduct raffles or drawings to the extent permitted by state
law, as long as there is no financial cost to entrants to participate, the
drawing or raffle does not obligate participants to purchase insurance,
the prizes are not valued in excess of a reasonable amount determined
by the commissioner and the drawing or raffle is open to the public.
The raffle or drawing shall be offered in a manner that is not unfairly
discriminatory. The customer shall not be required to purchase,
continue to purchase or renew a policy in exchange for the gift, item or
service.
(c) An insurer, producer or representative of an insurer or
producer shall not offer or provide insurance as an inducement to the
purchase of another policy.
(9) Unfair claim settlement practices. It is an unfair claim
settlement practice if any of the following or any rules and regulations
pertaining thereto are either committed flagrantly and in conscious
disregard of such provisions, or committed with such frequency as to
indicate a general business practice:
SENATE BILL No. 55—page 6
(a) Misrepresenting pertinent facts or insurance policy provisions
relating to coverages at issue;
(b) failing to acknowledge and act reasonably promptly upon
communications with respect to claims arising under insurance
policies;
(c) failing to adopt and implement reasonable standards for the
prompt investigation of claims arising under insurance policies;
(d) refusing to pay claims without conducting a reasonable
investigation based upon all available information;
(e) failing to affirm or deny coverage of claims within a
reasonable time after proof of loss statements have been completed;
(f) not attempting in good faith to effectuate prompt, fair and
equitable settlements of claims in which liability has become
reasonably clear;
(g) compelling insureds to institute litigation to recover amounts
due under an insurance policy by offering substantially less than the
amounts ultimately recovered in actions brought by such insureds;
(h) attempting to settle a claim for less than the amount to which a
reasonable person would have believed that such person was entitled by
reference to written or printed advertising material accompanying or
made part of an application;
(i) attempting to settle claims on the basis of an application that
was altered without notice to, or knowledge or consent of the insured;
(j) making claims payments to insureds or beneficiaries not
accompanied by a statement setting forth the coverage under which
payments are being made;
(k) making known to insureds or claimants a policy of appealing
from arbitration awards in favor of insureds or claimants for the
purpose of compelling them to accept settlements or compromises less
than the amount awarded in arbitration;
(l) delaying the investigation or payment of claims by requiring an
insured, claimant or the physician of either to submit a preliminary
claim report and then requiring the subsequent submission of formal
proof of loss forms, both of which submissions contain substantially
the same information;
(m) failing to promptly settle claims, where liability has become
reasonably clear, under one portion of the insurance policy coverage in
order to influence settlements under other portions of the insurance
policy coverage; or
(n) failing to promptly provide a reasonable explanation of the
basis in the insurance policy in relation to the facts or applicable law
for denial of a claim or for the offer of a compromise settlement; or
(o) solicitation or acceptance of an assignment, in whole or in
part, of any post-loss insurance benefit under a residential property
insurance policy pursuant to section 1, and amendments thereto.
(10) Failure to respond to an inquiry. An insurer's failing, upon
receipt of any inquiry from the insurance department concerning a
complaint or inquiry related to a particular matter, within 14 calendar
days of receipt of such inquiry to furnish the department with an
adequate response to such inquiry.
(11) Failure to maintain complaint handling procedures. Failure
of any person, who is an insurer on an insurance policy, to maintain a
complete record of all the complaints that it has received since the date
of its last examination under K.S.A. 40-222, and amendments thereto,
except that no such records shall be required for complaints received
prior to the effective date of this act. The record shall indicate the total
number of complaints, their classification by line of insurance, the
nature of each complaint, the disposition of the complaints, the date
each complaint was originally received by the insurer and the date of
SENATE BILL No. 55—page 7
final disposition of each complaint. For purposes of this section,
"complaint" means any written communication primarily expressing a
grievance related to the acts and practices set out in this section.
(12) Misrepresentation in insurance applications. Making false or
fraudulent statements or representations on or relative to an application
for an insurance policy, for the purpose of obtaining a fee, commission,
money or other benefit from any insurer, agent, broker or individual.
(13) Statutory violations. Any violation of any of the provisions of
K.S.A. 40-216, 40-276a, 40-2,155 or 40-1515, and amendments
thereto.
(14) Disclosure of information relating to adverse underwriting
decisions and refund of premiums. Failing to comply with the
provisions of K.S.A. 40-2,112, and amendments thereto, within the
time prescribed in such section.
(15) Rebates and other inducements in title insurance. (a) No title
insurance company or title insurance agent, or any officer, employee,
attorney, agent or solicitor thereof, may pay, allow or give, or offer to
pay, allow or give, directly or indirectly, as an inducement to obtaining
any title insurance business, any rebate, reduction or abatement of any
rate or charge made incident to the issuance of such insurance, any
special favor or advantage not generally available to others of the same
classification, or any money, thing of value or other consideration or
material inducement. "Charge made incident to the issuance of such
insurance" includes, without limitations, escrow, settlement and closing
charges.
(b) No insured named in a title insurance policy or contract nor
any other person directly or indirectly connected with the transaction
involving the issuance of the policy or contract, including, but not
limited to, mortgage lender, real estate broker, builder, attorney or any
officer, employee, agent representative or solicitor thereof, or any other
person may knowingly receive or accept, directly or indirectly, any
rebate, reduction or abatement of any charge, or any special favor or
advantage or any monetary consideration or inducement referred to in
subsection (15)(a).
(c) Nothing in this section shall be construed as prohibiting:
(i) The payment of reasonable fees for services actually rendered
to a title insurance agent in connection with a title insurance
transaction;
(ii) the payment of an earned commission to a duly appointed title
insurance agent for services actually performed in the issuance of the
policy of title insurance; or
(iii) the payment of reasonable entertainment and advertising
expenses.
(d) Nothing in this section prohibits the division of rates and
charges between or among a title insurance company and its agent, or
one or more title insurance companies and one or more title insurance
agents, if such division of rates and charges does not constitute an
unlawful rebate under the provisions of this section and is not in
payment of a forwarding fee or a finder's fee.
(e) As used in subsections (15)(e) through (15)(i), unless the
context otherwise requires:
(i) "Associate" means:
(A) Any firm, association, organization, partnership, business
trust, corporation or other legal entity organized for profit in which a
producer of title business is a director, officer or partner thereof, or
owner of a financial interest,;
(B) the spouse or any relative within the second degree by blood
or marriage of a producer of title business who is a natural person,;
(C) any director, officer or employee of a producer of title
SENATE BILL No. 55—page 8
business or associate,;
(D) any legal entity that controls, is controlled by, or is under
common control with a producer of title business or associate and; or
(E) any natural person or legal entity with whom a producer of
title business or associate has any agreement, arrangement or
understanding or pursues any course of conduct, the purpose or effect
of which is to evade the provisions of this section.
(ii) "Financial interest" means any direct or indirect interest, legal
or beneficial, where the holder thereof is or will be entitled to 1% or
more of the net profits or net worth of the entity in which such interest
is held. Notwithstanding the foregoing, an interest of less than 1% or
any other type of interest shall constitute a "financial interest" if the
primary purpose of the acquisition or retention of that interest is the
financial benefit to be obtained as a consequence of that interest from
the referral of title business.
(iii) "Person" means any natural person, partnership, association,
cooperative, corporation, trust or other legal entity.
(iv) "Producer of title business" or "producer" means any person,
including any officer, director or owner of 5% or more of the equity or
capital or both of any person, engaged in this state in the trade,
business, occupation or profession of:
(A) Buying or selling interests in real property;
(B) making loans secured by interests in real property; or
(C) acting as broker, agent, representative or attorney for a person
who buys or sells any interest in real property or who lends or borrows
money with such interest as security.
(v) "Refer" means to direct or cause to be directed or to exercise
any power or influence over the direction of title insurance business,
whether or not the consent or approval of any other person is sought or
obtained with respect to the referral.
(f) No title insurer or title agent may accept any order for, issue a
title insurance policy to, or provide services to, an applicant if it knows
or has reason to believe that the applicant was referred to it by any
producer of title business or by any associate of such producer, where
the producer, the associate, or both, have a financial interest in the title
insurer or title agent to which business is referred unless the producer
has disclosed to the buyer, seller and lender the financial interest of the
producer of title business or associate referring the title insurance
business.
(g) (i) No title insurer or title agent may accept an order for title
insurance business, issue a title insurance policy, or receive or retain
any premium, or charge in connection with any transaction if: (A) The
title insurer or title agent knows or has reason to believe that the
transaction will constitute controlled business for that title insurer or
title agent; and (B) 70% or more of the closed title orders of that title
insurer or title agent during the 12 full calendar months immediately
preceding the month in which the transaction takes place is derived
from controlled business.
(ii) Paragraph (g) shall become effective on and after January 1,
2026.
(h) Within 90 days following the end of each business year, as
established by the title insurer or title agent, each title insurer or title
agent shall file with the department of insurance and any title insurer
with which the title agent maintains an underwriting agreement, a
report executed by the title insurer's or title agent's chief executive
officer or designee, under penalty of perjury, stating the percent of
closed title orders originating from controlled business. The failure of a
title insurer or title agent to comply with the requirements of this
section, at the discretion of the commissioner, shall be grounds for the
SENATE BILL No. 55—page 9
suspension or revocation of a license or other disciplinary action, with
the commissioner able to mitigate any such disciplinary action if the
title insurer or title agent is found to be in substantial compliance with
competitive behavior as defined by federal housing and urban
development statement of policy 1996-2.
(i) (1) No title insurer or title agent may accept any title insurance
order or issue a title insurance policy to any person if it knows or has
reason to believe that such person was referred to it by any producer of
title business or by any associate of such producer, where the producer,
the associate, or both, have a financial interest in the title insurer or title
agent to which business is referred unless the producer has disclosed in
writing to the person so referred the fact that such producer or associate
has a financial interest in the title insurer or title agent, the nature of the
financial interest and a written estimate of the charge or range of
charges generally made by the title insurer or agent for the title
services. Such disclosure shall include language stating that the
consumer is not obligated to use the title insurer or agent in which the
referring producer or associate has a financial interest and shall include
the names and telephone numbers of not less than three other title
insurers or agents that operate in the county in which the property is
located. If fewer than three insurers or agents operate in that county, the
disclosure shall include all title insurers or agents operating in that
county. Such written disclosure shall be signed by the person so
referred and must have occurred prior to any commitment having been
made to such title insurer or agent.
(2) No producer of title business or associate of such producer
shall require, directly or indirectly, as a condition to selling or
furnishing any other person any loan or extension thereof, credit, sale,
property, contract, lease or service, that such other person shall
purchase title insurance of any kind through any title agent or title
insurer if such producer has a financial interest in such title agent or
title insurer.
(3) No title insurer or title agent may accept any title insurance
order or issue a title insurance policy to any person it knows or has
reason to believe that the name of the title company was pre-printed in
the sales contract, prior to the buyer or seller selecting that title
company.
(4) Nothing in this paragraph shall prohibit any producer of title
business or associate of such producer from referring title business to
any title insurer or title agent of such producer's or associate's choice,
and, if such producer or associate of such producer has any financial
interest in the title insurer, from receiving income, profits or dividends
produced or realized from such financial interest, if:
(a) Such financial interest is disclosed to the purchaser of the title
insurance in accordance with paragraphs (i)(1) through (i)(4);
(b) the payment of income, profits or dividends is not in exchange
for the referral of business; and
(c) the receipt of income, profits or dividends constitutes only a
return on the investment of the producer or associate.
(5) Any producer of title business or associate of such producer
who violates the provisions of paragraphs (i)(2) through (i)(4), or any
title insurer or title agent who accepts an order for title insurance
knowing that it is in violation of paragraphs (i)(2) through (i)(4), in
addition to any other action that may be taken by the commissioner of
insurance, shall be subject to a fine by the commissioner in an amount
equal to five times the premium for the title insurance and, if licensed
pursuant to K.S.A. 58-3034 et seq., and amendments thereto, shall be
deemed to have committed a prohibited act pursuant to K.S.A. 58-
3602, and amendments thereto, and shall be liable to the purchaser of
SENATE BILL No. 55—page 10
such title insurance in an amount equal to the premium for the title
insurance.
(6) Any title insurer or title agent that is a competitor of any title
insurer or title agent that, subsequent to the effective date of this act,
has violated or is violating the provisions of this paragraph, shall have a
cause of action against such title insurer or title agent and, upon
establishing the existence of a violation of any such provision, shall be
entitled, in addition to any other damages or remedies provided by law,
to such equitable or injunctive relief as the court deems proper. In any
such action under this subsection, the court may award to the successful
party the court costs of the action together with reasonable attorney
fees.
(7) The commissioner shall also require each title agent to provide
core title services as required by the real estate settlement procedures
act.
(j) The commissioner shall adopt any rules and regulations
necessary to carry out the provisions of this act.
(16) Disclosure of nonpublic personal information. (a) No person
shall disclose any nonpublic personal information contrary to the
provisions of title V of the Gramm-Leach-Bliley act of 1999, public
law 106-102. The commissioner may adopt rules and regulations
necessary to carry out this subsection. Such rules and regulations shall
be consistent with and not more restrictive than the model regulation
adopted on September 26, 2000, by the national association of
insurance commissioners entitled "Privacy of consumer financial and
health information regulation."
(b) Nothing in this subsection shall be deemed or construed to
authorize the promulgation or adoption of any regulation that preempts,
supersedes or is inconsistent with any provision of Kansas law
concerning requirements for notification of, or obtaining consent from,
a parent, guardian or other legal custodian of a minor relating to any
matter pertaining to the health and medical treatment for such minor.
SENATE BILL No. 55—page 11
Sec. 3. K.S.A. 2025 Supp. 40-2404 is hereby repealed.
Sec. 4. This act shall take effect and be in force from and after its
publication in the statute book.
I hereby certify that the above BILL originated in the
SENATE, and passed that body
_________________________
_________________________
President of the Senate.
_________________________
Secretary of the Senate.
Passed the HOUSE ________________________
_________________________
Speaker of the House.
_________________________
Chief Clerk of the House.
APPROVED ____________________________
_________________________
Governor.