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KANSAS STATUTES AND CODES
40-957. Same; advisory organizations; required filings; insurers and rating organizations prohibited from relying on statistics, when.
40-957
40-957. Same; advisory organizations; required filings; insurers andrating organizations prohibited from relying on statistics, when.(a) Every group, association or other organizations of insurers,whether located within or outside this state, assisting insurers which maketheir own filings or rating organizations in rate making, by the collection andfurnishing of loss or expense statistics, or by the submission ofrecommendations, but which doesnot make filings under this act, shall be known as an advisory organization.
(b) Every advisory organization shall file with the commissioner: (1) a copyof its constitution, articles of agreement or association, its certificate ofincorporation and its bylaws, rules and regulations governing its activities;(2) a list of its members; (3) the name and address of a resident of this stateupon whom notices or orders of the commissioner or process issued at thecommissioner's direction may be served, with its written agreement to acceptsuch notices or service; and (4) an agreement the commissioner mayexamine such advisory organization in accordance with this act.
(c) If, after a hearing, the commissioner finds the furnishing of suchinformation or assistance involves an act or practice which is unfair orunreasonable or otherwise inconsistent with this act or the insurance laws ofthis state, the commissioner may issue a written order requiring thediscontinuance of the act or practice. No insurer or rating organization shallsupport its filings by statistics or adopt rate making recommendationsfurnished to it by an advisory organization which has not complied with thissection or with an order of the commissioner issued under this section. If thecommissioner finds such insurer or rating organization to be in violation ofthis subsection the commissioner may issue an order requiring thediscontinuance of such violation.
History: L. 1997, ch. 154, § 7; July 1.