40-3505. Insuring of certain risks prohibited. - Kansas Statutes

40-3505

Chapter 40.--INSURANCE Article 35.--MORTGAGE GUARANTY INSURANCE COMPANIES

      40-3505.   Insuring of certain risks prohibited.(a) A mortgage guaranty insurance company shall not insure loans securedby a single risk in excess of ten percent (10%) of its aggregate capital,surplus and contingency reserve.

      (b)   No mortgage guaranty insurance company shall have more than twentypercent (20%) of its total insurance in force in any one standard metropolitanstatistical area ("SMSA"), as defined by the United States department ofcommerce. The provisions of this subsection shall not apply to a mortgageguaranty insurance company until it has possessed a certificate of authorityin this state for three (3) years.

      History:   L. 1977, ch. 154, § 5; Jan. 1, 1978.