40-3512. Limitation on outstanding liability. - Kansas Statutes

40-3512

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

      40-3512.   Limitation on outstanding liability.A mortgage guaranty insurance company shall not at any time haveoutstanding a total liability, net of reinsurance, under its aggregatemortgage guaranty insurance policies exceeding twenty-five (25) timesits capital, surplus and contingency reserve. In the event that anymortgage guaranty insurance company has outstanding total liabilityexceeding twenty-five (25) times its capital, surplus and contingencyreserve, it shall cease transacting new mortgage guaranty business untilsuch time as its total liability no longer exceeds twenty-five (25)times its capital, surplus and contingency reserve. Total outstandingliability shall also be calculated on a consolidated basis for allmortgage guaranty insurance companies which are part of a holdingcompany system as defined in K.S.A. 40-3302.

      History:   L. 1977, ch. 154, § 12; Jan. 1, 1978.