40-3502.Definitions.As used in this act the following terms shall have the meaningsrespectively ascribed to them herein:
(a) "Mortgage guaranty insurance company" means anycorporation, company, association, reciprocal exchange, persons orpartnerships writing contracts of mortgage guaranty insurance and shallbe governed by the provisions of this act and the other provisions ofchapter 40 of the Kansas Statutes Annotated applicable to companiesorganized or operating under the provisions of K.S.A. 40-1101 etseq., and amendments thereto, to the extent such other provisions are notinconsistent with the requirements of this act.
(b) "Mortgage guaranty insurance" means and includes: (1)Insurance against financial loss by reason of nonpayment of principal,interest or other sums agreed to be paid under the terms of any note orbond or other evidence of indebtedness secured by a mortgage, deed oftrust, or other instrument constituting a lien or charge on real estate,when the improvement on such real estate is a residential building or acondominium or townhouse unit or buildings designed for occupancy by notmore than four families;
(2) insurance against financial loss by reason of nonpayment ofprincipal, interest or other sums agreed to be paid under the terms ofany note or bond or other evidence of indebtedness secured by amortgage, deed of trust or other instrument constituting a lien orcharge on real estate, when the improvement on such real estate is abuilding or buildings designed for occupancy by five or morefamilies or designed to be occupied for industrial or commercialpurposes; or
(3) insurance against financial loss by reason of nonpayment of rentor other sums agreed to be paid under the terms of a written lease forthe possession, use or occupancy of real estate, when the improvement onsuch real estate is a building or buildings designed to be occupied forindustrial or commercial purposes.
(c) "Authorized real estate security" means an amortized note, bond or otherevidence of indebtedness, not exceeding 105% of the fairmarket value ofthe real estate, secured by a mortgage, deed of trust, or other instrumentwhich constitutes, or is equivalent to, a first lien or charge on real estate,when: (1) The real estate loan secured in such manner is one of a type which abank, savings and loan association, or an insurance company, which issupervised and regulated by a department of this state or an agency of thefederal government, is authorized to make, or would be authorized to make,disregarding any requirement applicable to such an institution that the amountof the loan not exceed a certain percentage of the value of the real estate;
(2) the improvement on such real estate is a building or buildings designedfor occupancy as specified by paragraphs (1) or (2) of subsection (b); and
(3) the lien on such real estate may be subject to and subordinateto the following:
(i) The lien of any public bond, assessment or tax, when noinstallment, call or payment of or under such bond, assessment or tax isdelinquent; and
(ii) outstanding mineral, oil, water or timber rights,rights-of-way, easements or rights-of-way of support, sewer rights,building restrictions or other restrictions or covenants, conditions orregulations of use, or outstanding leases upon such real property underwhich rents or profits are reserved to the owner thereof.
(d) "Contingency reserve" means an additional premium reserve established toprotect policyholders against the effect of adverse economic cycles.
(e) "Single risk" means the insurance provided with respect toeach separate loan or lease covered by an individual policy of mortgageguaranty insurance or an individual certificate issued pursuant toK.S.A. 40-3511, and amendments thereto.
40-3502.Definitions.As used in this act the following terms shall have the meaningsrespectively ascribed to them herein:
(a) "Mortgage guaranty insurance company" means anycorporation, company, association, reciprocal exchange, persons orpartnerships writing contracts of mortgage guaranty insurance and shallbe governed by the provisions of this act and the other provisions ofchapter 40 of the Kansas Statutes Annotated applicable to companiesorganized or operating under the provisions of K.S.A. 40-1101 etseq., and amendments thereto, to the extent such other provisions are notinconsistent with the requirements of this act.
(b) "Mortgage guaranty insurance" means and includes: (1)Insurance against financial loss by reason of nonpayment of principal,interest or other sums agreed to be paid under the terms of any note orbond or other evidence of indebtedness secured by a mortgage, deed oftrust, or other instrument constituting a lien or charge on real estate,when the improvement on such real estate is a residential building or acondominium or townhouse unit or buildings designed for occupancy by notmore than four families;
(2) insurance against financial loss by reason of nonpayment ofprincipal, interest or other sums agreed to be paid under the terms ofany note or bond or other evidence of indebtedness secured by amortgage, deed of trust or other instrument constituting a lien orcharge on real estate, when the improvement on such real estate is abuilding or buildings designed for occupancy by five or morefamilies or designed to be occupied for industrial or commercialpurposes; or
(3) insurance against financial loss by reason of nonpayment of rentor other sums agreed to be paid under the terms of a written lease forthe possession, use or occupancy of real estate, when the improvement onsuch real estate is a building or buildings designed to be occupied forindustrial or commercial purposes.
(c) "Authorized real estate security" means an amortized note, bond or otherevidence of indebtedness, not exceeding 105% of the fairmarket value ofthe real estate, secured by a mortgage, deed of trust, or other instrumentwhich constitutes, or is equivalent to, a first lien or charge on real estate,when: (1) The real estate loan secured in such manner is one of a type which abank, savings and loan association, or an insurance company, which issupervised and regulated by a department of this state or an agency of thefederal government, is authorized to make, or would be authorized to make,disregarding any requirement applicable to such an institution that the amountof the loan not exceed a certain percentage of the value of the real estate;
(2) the improvement on such real estate is a building or buildings designedfor occupancy as specified by paragraphs (1) or (2) of subsection (b); and
(3) the lien on such real estate may be subject to and subordinateto the following:
(i) The lien of any public bond, assessment or tax, when noinstallment, call or payment of or under such bond, assessment or tax isdelinquent; and
(ii) outstanding mineral, oil, water or timber rights,rights-of-way, easements or rights-of-way of support, sewer rights,building restrictions or other restrictions or covenants, conditions orregulations of use, or outstanding leases upon such real property underwhich rents or profits are reserved to the owner thereof.
(d) "Contingency reserve" means an additional premium reserve established toprotect policyholders against the effect of adverse economic cycles.
(e) "Single risk" means the insurance provided with respect toeach separate loan or lease covered by an individual policy of mortgageguaranty insurance or an individual certificate issued pursuant toK.S.A. 40-3511, and amendments thereto.
40-3502.Definitions.As used in this act the following terms shall have the meaningsrespectively ascribed to them herein:
(a) "Mortgage guaranty insurance company" means anycorporation, company, association, reciprocal exchange, persons orpartnerships writing contracts of mortgage guaranty insurance and shallbe governed by the provisions of this act and the other provisions ofchapter 40 of the Kansas Statutes Annotated applicable to companiesorganized or operating under the provisions of K.S.A. 40-1101 etseq., and amendments thereto, to the extent such other provisions are notinconsistent with the requirements of this act.
(b) "Mortgage guaranty insurance" means and includes: (1)Insurance against financial loss by reason of nonpayment of principal,interest or other sums agreed to be paid under the terms of any note orbond or other evidence of indebtedness secured by a mortgage, deed oftrust, or other instrument constituting a lien or charge on real estate,when the improvement on such real estate is a residential building or acondominium or townhouse unit or buildings designed for occupancy by notmore than four families;
(2) insurance against financial loss by reason of nonpayment ofprincipal, interest or other sums agreed to be paid under the terms ofany note or bond or other evidence of indebtedness secured by amortgage, deed of trust or other instrument constituting a lien orcharge on real estate, when the improvement on such real estate is abuilding or buildings designed for occupancy by five or morefamilies or designed to be occupied for industrial or commercialpurposes; or
(3) insurance against financial loss by reason of nonpayment of rentor other sums agreed to be paid under the terms of a written lease forthe possession, use or occupancy of real estate, when the improvement onsuch real estate is a building or buildings designed to be occupied forindustrial or commercial purposes.
(c) "Authorized real estate security" means an amortized note, bond or otherevidence of indebtedness, not exceeding 105% of the fairmarket value ofthe real estate, secured by a mortgage, deed of trust, or other instrumentwhich constitutes, or is equivalent to, a first lien or charge on real estate,when: (1) The real estate loan secured in such manner is one of a type which abank, savings and loan association, or an insurance company, which issupervised and regulated by a department of this state or an agency of thefederal government, is authorized to make, or would be authorized to make,disregarding any requirement applicable to such an institution that the amountof the loan not exceed a certain percentage of the value of the real estate;
(2) the improvement on such real estate is a building or buildings designedfor occupancy as specified by paragraphs (1) or (2) of subsection (b); and
(3) the lien on such real estate may be subject to and subordinateto the following:
(i) The lien of any public bond, assessment or tax, when noinstallment, call or payment of or under such bond, assessment or tax isdelinquent; and
(ii) outstanding mineral, oil, water or timber rights,rights-of-way, easements or rights-of-way of support, sewer rights,building restrictions or other restrictions or covenants, conditions orregulations of use, or outstanding leases upon such real property underwhich rents or profits are reserved to the owner thereof.
(d) "Contingency reserve" means an additional premium reserve established toprotect policyholders against the effect of adverse economic cycles.
(e) "Single risk" means the insurance provided with respect toeach separate loan or lease covered by an individual policy of mortgageguaranty insurance or an individual certificate issued pursuant toK.S.A. 40-3511, and amendments thereto.
