40-2202. Same; form of policy; policies issued to nonresidents.
40-2202
40-2202. Same; form of policy; policies issued tononresidents.(a) No policy of accident and sickness insurance shall be deliveredor issued for delivery to any person in this state unless:
(1) The entire money and other considerations therefor are expressedtherein;
(2) the time at which the insurance takes effect and terminates isexpressed therein;
(3) it purports to insure only one person, except that a policy mayinsure, originally or by subsequent amendment, upon the application ofan adult member of a family who shall be deemed the policyholder, anytwo or more eligible members of such family, including husband,wife, dependent children or any children under a specified age which shall notexceed nineteen years and any other person dependent upon thepolicyholder;
(4) the style, arrangement and over-all appearance of the policygive no undue prominence to any portion of the text, and unless everyprinted portion of the text of the policy and of any endorsements orattached papers is plainly printed in lightfaced type of a style ingeneral use, the size of which shall be uniform and not less than 10-point witha lower-case unspaced alphabet length not lessthan 120-point (the "text" shall includeall printed matter except the name and address of the insurer, name or title ofthe policy, the brief description if any, and captions and subcaptions);
(5) the exceptions and reductions of indemnity are set forth in thepolicy and, except those which are set forth in K.S.A. 40-2203 and amendmentsthereto, are printed, at the insurer's option, either included with thebenefit provision to which they apply, or under an appropriate captionsuch as "Exceptions," or "Exceptions and reductions," provided,that if an exception or reduction specifically applies only to aparticular benefit of the policy, a statement of such exception orreduction shall be included with the benefit provision to which itapplies;
(6) each such form, including riders and endorsements, shall beidentified by a form number in the lower left-hand corner of the firstpage thereof;
(7) it contains no provision purporting to make any portion of thecharter, rules, constitution, or bylaws of the insurer a part of thepolicy unless such portion is set forth in full in the policy, except inthe case of the incorporation of, or reference to, a statement of ratesor classification of risks, or short-rate table filed with thecommissioner of insurance; and
(8) any provision purporting to base the payment of benefits on "usual,customary and reasonable charges" or a standard of similar import isspecifically defined and the determination of payablebenefits is developedfrom a statistically valid sample which: (A) Equitably recognizes geographicvariations; (B) is produced at least every six months; and (C) iscollected on the basis of the most current codes and nomenclature developed andmaintained by recognized authorities.
(b) If any policy is issued by an insurer domiciled in thisstate for delivery to a person residing in another state, and if the officialhaving responsibility for the administration of the insurance laws ofsuch other state shall have advised the commissioner of insurance thatany such policy is not subject to approval or disapproval by suchofficial, the commissioner of insurance may by ruling require that suchpolicy meet the standards set forth in subsection (a) of thissection and in K.S.A. 40-2203 and amendments thereto.
History: L. 1951, ch. 296, § 2;L. 1994, ch. 16, § 1;L. 2004, ch. 128, § 5; July 1.