9-1301a.   Application for approval of private insurer; approval, when.Any bank electing to insure its deposits with aninsurer other than the federal deposit insurance corporation shall makeapplication for the approval of such insurer with the state commissioner ofinsurance. Upon receipt of such application and after reasonable noticeand a public hearing conducted in accordance with the provisions of theKansas administrative procedure act, the commissioner shall approve suchinsurer for such purpose if such commissioner determines that:

      (a)   The contract of insurance contemplated is in such form and providesfor such coverage, maturity, voluntary and involuntary termination andcomplies with such further requirements for protection as the commissionerin the exercise of discretion may deem reasonably necessary, and

      (b)   the contract is underwritten by an insurer having a net worthreasonably commensurate with the risks underwritten, who is authorized todo business in this state, and who is admitted and authorized by law towrite such insurance in an area sufficient to provide an adequate riskspread.

      History:   L. 1975, ch. 45, § 3; L. 1988, ch. 356, § 39; L.1989, ch. 48, § 38; July 1.