40-1102. Kinds of insurance and reinsurance authorized; limitations; paid-up capital and surplus requirements.

40-1102

Chapter 40.--INSURANCE
Article 11.--GENERAL PROVISIONS RELATIVE TO CASUALTY, SURETY AND FIDELITY COMPANIES

      40-1102.   Kinds of insurance and reinsurance authorized;limitations; paid-up capital and surplus requirements.Any insurance company, other than a life insurance company, organizedunder the laws of this state or authorized to transact business in thisstate may make all orany one or more of the kinds of insurance and reinsurance comprised inany one of the following numbered classes, subject to and in accordancewith its articles of incorporation and the provisions of this code:

      (1) (a)   To insure against bodily injury or death by accident andagainst disablement resulting from sickness and every insuranceappertaining thereto;

      (b)   to insure against the liability of the insured for the death ordisability of or damages suffered by an employee or other person, and toinsure the obligations accepted by or imposed upon employers under thelaws for workmen's compensation;

      (c)   to insure against loss of or damage to, or destruction ofproperty of the insured, or to the property interests of the insured,and to insure against such loss or damage to the property of others orto the property interests of others, for which loss or damage theinsured may be liable;

      (d)   to become surety or guarantor for any person, copartnership orcorporation in any position or place of trust or as custodian of moneyor property, public or private; to become a surety or guarantor for theperformance by any person, copartnership or corporation of any lawfulobligation, undertaking, agreement or contract of any kind, exceptcontracts or policies of insurance;

      (e)   to insure titles to property and against loss by reason ofdefective titles or encumbrances;

      (f)   to insure the correctness of searches for all instruments,liens, and charges affecting property;

      (g)   to insure against loss by reason of the insufficiency of thesecurity conveyed or pledged under mortgage or deed of trust;

      (h)   to insure the payment of bonds and notes secured by mortgages ordeeds of trust, and to buy and sell mortgages or deeds of trust uponreal property and interest therein;

      (i)   to insure against loss or damage which may result from thefailure of debtors to pay their obligations to the insured, andincluding the incidental power to acquire and dispose of debts soinsured, and to collect any debts owed to such insurer or to any personso insured by the insurer;

      (j)   to insure the payment of money for personal services undercontracts of hiring;

      (k)   to make inspections of and issue certificates of inspectionsupon elevators, boilers, machinery and all mechanical apparatus andappliances appertaining thereto;

      (l)   to insure against loss of use or occupancy caused by orresulting from any of the risks comprised within this class; and

      (m)   to insure against liability, loss or damage from any other risk,hazard, or contingency which may lawfully be the subject of insurance,and specific authority for the transaction of which has not beenexclusively delegated to any other class or kind of company. Any companywriting insurance against the loss or damage caused byfire, lightning, or by the perils of either marine or inland navigationor transportation, to buildings or other structures erected upon land,to piers, wharves, bulkheads, warehouses, marine vessels, railroadengines, rolling stock or equipment of railroads, or carrying chargesfor shipments of freight shall have a paid-up capital stock of at least$900,000, a surplus of at least $600,000, and shall have deposited, pursuantto K.S.A. 40-229a, for the protection of its policyholders orcreditors, or bothwith the commissioner of insurance securitiesauthorized by K.S.A. 40-227, and amendments thereto, in an amount equal to notless than the minimum capital stock required by such a company, and shallmaintain all reserves required by law for the kinds and classes ofbusiness transacted. The deposit required by this section for insurancecompanies not organized under the laws of this state may be deposited asprovided herein or with the insurance department of any other state inthe United States.

      History:   L. 1927, ch. 231, 40-1102; L. 1937, ch. 254, § 1; L. 1951,ch. 295, §1; L. 1965, ch. 300, § 8; L. 1969, ch. 237, § 6; L. 1971, ch. 167,§ 2; L. 1972, ch. 184, § 2; L. 1984, ch. 169, § 5;L. 1996, ch. 25, § 12; July 1.