12-2620.Certificate of authority granted on perpetual basis;
examinations; submission of financial statement and reports; suspension of
certificate, grounds, hearing; revocation; dissolution or injunction of pool.
(a) All certificates granted hereunder shall be perpetual
unless sooner suspended or revoked by the commissioner or the attorney general.
(b) Whenever the commissioner shall deem it necessary the commissioner
may make, or direct to be made, an examination of the affairs and the financial
condition
of any pool, except that once every five years the commissioner shall
conduct an examination of the affairs and the
financial condition of each pool. Each pool shall submit a certified
independent audited financial statement no later than 90 days after the end
of the fiscal year. The financial statement shall include outstanding reserves
for
claims and for claims incurred but not reported. Each pool shall file
reports as to income, expenses and loss data at such times and in such
manner as the commissioner shall require. Any pool which does not use rates
developed by an approved rating organization shall file with the commissioner
an actuarial certification that such rates are actuarially sound. Whenever
it appears to the
commissioner from such examination or other satisfactory evidence that the
ability to pay current and future claims of any such pool is impaired, or
that it is doing business in violation of any of the laws of this state, or
that its affairs are in an unsound condition so as to endanger its ability
to pay or cause to be paid claims in the amount, manner and time due, the
commissioner shall, before filing such report or making the same public,
grant such pool upon reasonable notice a hearing, and, if on such hearing
the report be confirmed, the commissioner may require any of
the actions allowed under K.S.A. 40-222b and amendments thereto or suspend
the certificate of
authority for such pool until its ability to pay current and future claims
shall have been fully restored and the laws of the state fully complied
with. The commissioner may, if there is an unreasonable delay in restoring
the ability to pay claims of such pool and in complying with the law or if
rehabilitation or corrective action taken under K.S.A. 40-222b and amendments
thereto is unsuccessful, revoke the
certificate of authority of such pool to do business in this state. Upon
revoking any such certificate the commissioner shall communicate the fact
to the attorney general, whose duty it shall be to commence and prosecute
an action in the proper court to dissolve such pool or to enjoin the same
from doing or transacting business in this state. The commissioner of
insurance may call a hearing under K.S.A. 40-222b, and amendments thereto,
and the provisions thereof shall apply to group-funded pools.
(c) On an annual basis, or within 30 days of any change thereto, each pool
shall supply to the commissioner the name and qualifications of the designated
administrator of the pools and the terms of the specific and aggregate excess
insurance contracts of the pool.
History: L. 1987, ch. 74, § 5;
L. 1999, ch. 95, § 2; July 1.
12-2620.Certificate of authority granted on perpetual basis;
examinations; submission of financial statement and reports; suspension of
certificate, grounds, hearing; revocation; dissolution or injunction of pool.
(a) All certificates granted hereunder shall be perpetual
unless sooner suspended or revoked by the commissioner or the attorney general.
(b) Whenever the commissioner shall deem it necessary the commissioner
may make, or direct to be made, an examination of the affairs and the financial
condition
of any pool, except that once every five years the commissioner shall
conduct an examination of the affairs and the
financial condition of each pool. Each pool shall submit a certified
independent audited financial statement no later than 90 days after the end
of the fiscal year. The financial statement shall include outstanding reserves
for
claims and for claims incurred but not reported. Each pool shall file
reports as to income, expenses and loss data at such times and in such
manner as the commissioner shall require. Any pool which does not use rates
developed by an approved rating organization shall file with the commissioner
an actuarial certification that such rates are actuarially sound. Whenever
it appears to the
commissioner from such examination or other satisfactory evidence that the
ability to pay current and future claims of any such pool is impaired, or
that it is doing business in violation of any of the laws of this state, or
that its affairs are in an unsound condition so as to endanger its ability
to pay or cause to be paid claims in the amount, manner and time due, the
commissioner shall, before filing such report or making the same public,
grant such pool upon reasonable notice a hearing, and, if on such hearing
the report be confirmed, the commissioner may require any of
the actions allowed under K.S.A. 40-222b and amendments thereto or suspend
the certificate of
authority for such pool until its ability to pay current and future claims
shall have been fully restored and the laws of the state fully complied
with. The commissioner may, if there is an unreasonable delay in restoring
the ability to pay claims of such pool and in complying with the law or if
rehabilitation or corrective action taken under K.S.A. 40-222b and amendments
thereto is unsuccessful, revoke the
certificate of authority of such pool to do business in this state. Upon
revoking any such certificate the commissioner shall communicate the fact
to the attorney general, whose duty it shall be to commence and prosecute
an action in the proper court to dissolve such pool or to enjoin the same
from doing or transacting business in this state. The commissioner of
insurance may call a hearing under K.S.A. 40-222b, and amendments thereto,
and the provisions thereof shall apply to group-funded pools.
(c) On an annual basis, or within 30 days of any change thereto, each pool
shall supply to the commissioner the name and qualifications of the designated
administrator of the pools and the terms of the specific and aggregate excess
insurance contracts of the pool.
History: L. 1987, ch. 74, § 5;
L. 1999, ch. 95, § 2; July 1.
12-2620.Certificate of authority granted on perpetual basis;
examinations; submission of financial statement and reports; suspension of
certificate, grounds, hearing; revocation; dissolution or injunction of pool.
(a) All certificates granted hereunder shall be perpetual
unless sooner suspended or revoked by the commissioner or the attorney general.
(b) Whenever the commissioner shall deem it necessary the commissioner
may make, or direct to be made, an examination of the affairs and the financial
condition
of any pool, except that once every five years the commissioner shall
conduct an examination of the affairs and the
financial condition of each pool. Each pool shall submit a certified
independent audited financial statement no later than 90 days after the end
of the fiscal year. The financial statement shall include outstanding reserves
for
claims and for claims incurred but not reported. Each pool shall file
reports as to income, expenses and loss data at such times and in such
manner as the commissioner shall require. Any pool which does not use rates
developed by an approved rating organization shall file with the commissioner
an actuarial certification that such rates are actuarially sound. Whenever
it appears to the
commissioner from such examination or other satisfactory evidence that the
ability to pay current and future claims of any such pool is impaired, or
that it is doing business in violation of any of the laws of this state, or
that its affairs are in an unsound condition so as to endanger its ability
to pay or cause to be paid claims in the amount, manner and time due, the
commissioner shall, before filing such report or making the same public,
grant such pool upon reasonable notice a hearing, and, if on such hearing
the report be confirmed, the commissioner may require any of
the actions allowed under K.S.A. 40-222b and amendments thereto or suspend
the certificate of
authority for such pool until its ability to pay current and future claims
shall have been fully restored and the laws of the state fully complied
with. The commissioner may, if there is an unreasonable delay in restoring
the ability to pay claims of such pool and in complying with the law or if
rehabilitation or corrective action taken under K.S.A. 40-222b and amendments
thereto is unsuccessful, revoke the
certificate of authority of such pool to do business in this state. Upon
revoking any such certificate the commissioner shall communicate the fact
to the attorney general, whose duty it shall be to commence and prosecute
an action in the proper court to dissolve such pool or to enjoin the same
from doing or transacting business in this state. The commissioner of
insurance may call a hearing under K.S.A. 40-222b, and amendments thereto,
and the provisions thereof shall apply to group-funded pools.
(c) On an annual basis, or within 30 days of any change thereto, each pool
shall supply to the commissioner the name and qualifications of the designated
administrator of the pools and the terms of the specific and aggregate excess
insurance contracts of the pool.
History: L. 1987, ch. 74, § 5;
L. 1999, ch. 95, § 2; July 1.