Kansas: Senate Committee Approves Rate Modernization Bill

The Senate Insurance Committee on Tuesday overwhelmingly approved SB 560, a proposal to adopt the National Conference of Insurance Legislators’ Flex-Rating Model Act. The bill will be debated by the full Senate on Thursday or Friday.

Joe Thesing, NAMIC director-state affairs, led off industry testimony before the committee last week.

The committee vote came at the end of a long hearing on other topics. The committee briefly discussed amendments offered last week by the Kansas Department of Insurance, namely proposals to lower the flex band from 12 percent to 7 percent and a cap on increases on individual risks of 25 percent. Democratic Sen. Jim Barone also offered an amendment to eliminate the floor on rate decreases but maintain the flex-band on increases at 12 percent.

Chairwoman Ruth Teichman urged the committee to adopt a “clean” bill, stating that SB 560 was unanimously recommended by the Kansas Insurance Department Fee Modernization and Rating Laws Task Force and had been fully debated at NCOIL. Despite one technical amendment, the bill was approved by the committee without the amendments listed above. It is likely Barone will offer his amendment on the Senate floor.

Voting against the bill were Democratic Sens. Jim Barone and Chris Steineger and Republican Sen. Karin Brownlee.

Assuming Senate approval, the House will take up the bill in mid-March. NAMIC will continue working with local advocates to pass this proposal.

Questions may be directed to NAMIC State Affairs Director Joe Thesing.

Posted: Wednesday, February 27, 2008 12:00:00 AM. Modified: Wednesday, February 01, 2012 1:12:29 PM.