40-4301.Definitions.As used in this act, unless the context requires otherwise:
(a) "Affiliated company" means any company in the same corporate systemas a parent, an industrial insured, or a member organization by virtue ofcommon ownership, control, operation or management.
(b) "Aircraft captive insurance company" means any pure captiveinsurance company which is formed under the provisions of this act by acorporation or an affiliated company of a corporation engaged in themanufacture of aircraft and having its principal place of business withinthe state of Kansas and which insures only risks in the same corporate system.
(c) "Captive insurance company" means any pure captive insurancecompany or industrial insured captive insurance company formed under theprovisions of this act.
(d) "Commissioner" means the commissioner of insurance.
(e) "Industrial insured" means an insured:
(1) Who procures the insurance of any risk or risks by use of theservices of a full-time employee acting as an insurance manager or buyer;
(2) whose aggregate annual premiums for the kinds of insurance total atleast $50,000;
(3) who has at least 25 full-time employees;
(4) whose principal activity consists of the manufacture of a product orproducts; and
(5) who contributes not less than $10,000 to the capital or surplus ofthe industrial insured captive insurance company that insures its risks.Such contribution shall be in the form of cash which may be returned atsuch time as the risks of the industrial insured cease to be insured by thecaptive insurance company.
(f) "Industrial insured captive insurance company" means any companythat insures risks of the industrial insureds that comprise the industrialinsured group, and their affiliated companies.
(g) "Industrial insured group" means any group of not more than 10industrial insureds in the same or similar line of business that:
(1) Collectively owns, controls or holds with power to vote all of theoutstanding voting securities of an industrial insured captive insurancecompany incorporated as a stock insurer; or
(2) collectively has complete voting control over an industrial insuredcaptive insurance company incorporated as a mutual insurer; or
(3) is created under the product liability risk retention act of 1981 (U.S.Public Law 97-45), as amended by the risk retention act of 1986, as acorporation or other limited liability association taxable as a stock insurancecompany or a mutual insurer under the laws of the state of Kansas:
(A) Whose primary activity consists of assuming and spreading all, orany portion, of the product liability or completed operations liabilityrisk exposure of its group members;
(B) which is organized for the primary purpose of conducting theactivity described in subdivision (g)(3)(A) of this section;
(C) which does not exclude any person from membership in the groupsolely to provide for members of such group a competitive advantage oversuch a person; and
(D) which is composed of members each of whose principal activityconsists of the manufacture, design, importation, distribution, packaging,labeling, lease or sale of a product or products.
(h) "Parent" means a corporation, partnership or individual thatdirectly or indirectly owns, controls or holds with power to vote more than50% of the outstanding voting securities of a pure captive insurance company.
(i) "Pure captive insurance company" means any company that insuresrisks of its parent and affiliated companies.
History: L. 1988, ch. 156, § 1; L. 1990, ch. 177, § 1; April 5.
40-4301.Definitions.As used in this act, unless the context requires otherwise:
(a) "Affiliated company" means any company in the same corporate systemas a parent, an industrial insured, or a member organization by virtue ofcommon ownership, control, operation or management.
(b) "Aircraft captive insurance company" means any pure captiveinsurance company which is formed under the provisions of this act by acorporation or an affiliated company of a corporation engaged in themanufacture of aircraft and having its principal place of business withinthe state of Kansas and which insures only risks in the same corporate system.
(c) "Captive insurance company" means any pure captive insurancecompany or industrial insured captive insurance company formed under theprovisions of this act.
(d) "Commissioner" means the commissioner of insurance.
(e) "Industrial insured" means an insured:
(1) Who procures the insurance of any risk or risks by use of theservices of a full-time employee acting as an insurance manager or buyer;
(2) whose aggregate annual premiums for the kinds of insurance total atleast $50,000;
(3) who has at least 25 full-time employees;
(4) whose principal activity consists of the manufacture of a product orproducts; and
(5) who contributes not less than $10,000 to the capital or surplus ofthe industrial insured captive insurance company that insures its risks.Such contribution shall be in the form of cash which may be returned atsuch time as the risks of the industrial insured cease to be insured by thecaptive insurance company.
(f) "Industrial insured captive insurance company" means any companythat insures risks of the industrial insureds that comprise the industrialinsured group, and their affiliated companies.
(g) "Industrial insured group" means any group of not more than 10industrial insureds in the same or similar line of business that:
(1) Collectively owns, controls or holds with power to vote all of theoutstanding voting securities of an industrial insured captive insurancecompany incorporated as a stock insurer; or
(2) collectively has complete voting control over an industrial insuredcaptive insurance company incorporated as a mutual insurer; or
(3) is created under the product liability risk retention act of 1981 (U.S.Public Law 97-45), as amended by the risk retention act of 1986, as acorporation or other limited liability association taxable as a stock insurancecompany or a mutual insurer under the laws of the state of Kansas:
(A) Whose primary activity consists of assuming and spreading all, orany portion, of the product liability or completed operations liabilityrisk exposure of its group members;
(B) which is organized for the primary purpose of conducting theactivity described in subdivision (g)(3)(A) of this section;
(C) which does not exclude any person from membership in the groupsolely to provide for members of such group a competitive advantage oversuch a person; and
(D) which is composed of members each of whose principal activityconsists of the manufacture, design, importation, distribution, packaging,labeling, lease or sale of a product or products.
(h) "Parent" means a corporation, partnership or individual thatdirectly or indirectly owns, controls or holds with power to vote more than50% of the outstanding voting securities of a pure captive insurance company.
(i) "Pure captive insurance company" means any company that insuresrisks of its parent and affiliated companies.
History: L. 1988, ch. 156, § 1; L. 1990, ch. 177, § 1; April 5.
40-4301.Definitions.As used in this act, unless the context requires otherwise:
(a) "Affiliated company" means any company in the same corporate systemas a parent, an industrial insured, or a member organization by virtue ofcommon ownership, control, operation or management.
(b) "Aircraft captive insurance company" means any pure captiveinsurance company which is formed under the provisions of this act by acorporation or an affiliated company of a corporation engaged in themanufacture of aircraft and having its principal place of business withinthe state of Kansas and which insures only risks in the same corporate system.
(c) "Captive insurance company" means any pure captive insurancecompany or industrial insured captive insurance company formed under theprovisions of this act.
(d) "Commissioner" means the commissioner of insurance.
(e) "Industrial insured" means an insured:
(1) Who procures the insurance of any risk or risks by use of theservices of a full-time employee acting as an insurance manager or buyer;
(2) whose aggregate annual premiums for the kinds of insurance total atleast $50,000;
(3) who has at least 25 full-time employees;
(4) whose principal activity consists of the manufacture of a product orproducts; and
(5) who contributes not less than $10,000 to the capital or surplus ofthe industrial insured captive insurance company that insures its risks.Such contribution shall be in the form of cash which may be returned atsuch time as the risks of the industrial insured cease to be insured by thecaptive insurance company.
(f) "Industrial insured captive insurance company" means any companythat insures risks of the industrial insureds that comprise the industrialinsured group, and their affiliated companies.
(g) "Industrial insured group" means any group of not more than 10industrial insureds in the same or similar line of business that:
(1) Collectively owns, controls or holds with power to vote all of theoutstanding voting securities of an industrial insured captive insurancecompany incorporated as a stock insurer; or
(2) collectively has complete voting control over an industrial insuredcaptive insurance company incorporated as a mutual insurer; or
(3) is created under the product liability risk retention act of 1981 (U.S.Public Law 97-45), as amended by the risk retention act of 1986, as acorporation or other limited liability association taxable as a stock insurancecompany or a mutual insurer under the laws of the state of Kansas:
(A) Whose primary activity consists of assuming and spreading all, orany portion, of the product liability or completed operations liabilityrisk exposure of its group members;
(B) which is organized for the primary purpose of conducting theactivity described in subdivision (g)(3)(A) of this section;
(C) which does not exclude any person from membership in the groupsolely to provide for members of such group a competitive advantage oversuch a person; and
(D) which is composed of members each of whose principal activityconsists of the manufacture, design, importation, distribution, packaging,labeling, lease or sale of a product or products.
(h) "Parent" means a corporation, partnership or individual thatdirectly or indirectly owns, controls or holds with power to vote more than50% of the outstanding voting securities of a pure captive insurance company.
(i) "Pure captive insurance company" means any company that insuresrisks of its parent and affiliated companies.
History: L. 1988, ch. 156, § 1; L. 1990, ch. 177, § 1; April 5.
