40-3642. Same; report and recommendations of liquidator for allowance of claims; contents of report; action by court; claims under insurance policy. - Kansas Statutes

40-3642

Chapter 40.--INSURANCE Article 36.--IMPAIRED OR INSOLVENT INSURERS

      40-3642.   Same; report and recommendations of liquidator for allowance ofclaims; contents of report; action by court; claims under insurance policy.(a) The liquidator shall review all claims duly filed in theliquidation and shall make such further investigation as necessary. Theliquidator may compound, compromise or in any other manner negotiate the amountfor which claims will be recommended to the court except where the liquidatoris required by law to accept claims as settled by any person or organization,including any guaranty association or foreign guaranty association. Unresolveddisputes shall be determined under K.S.A. 40-3639. As soon aspracticable, theliquidator shall present to the court a report of the claims against theinsurer with recommendations thereon. The report shall include the name andaddressof each claimant and the amount of the claim finally recommended, if any. Ifthe insurer has issued annuities or life insurance policies, the liquidatorshall report the persons to whom, according to the records of the insurer,amounts are owed as cash surrender values or other investment value and theamounts owed.

      (b)   The court may approve, disapprove or modify the report on claims by theliquidator. Such reports as are not modified by the court within a period of 60days following submission by the liquidator shall be treated by the liquidatoras allowed claims, subject thereafter to later modification or to rulings madeby the court pursuant to K.S.A. 40-3639. No claim under a policy ofinsurance shallbe allowed for an amount in excess of the applicable policy limits.

      History:   L. 1991, ch. 125, § 38; July 1.