40-2139. Commissions not administrative expenses for purposes of medical loss ratio. (a) Any portion of the health insurance premiums paid by consumers that are in fact passed through as commissions shall not be considered a part of administrative expenses and shall be excluded from all determinations of the medical loss ratio calculations when totaling the ratio of premiums paid by a consumer used for claims versus administrative expenses for a policy. Any portion of premiums identified as commissions must be paid to a nonemployee in order to be excluded. Any portion of the premiums retained by the insurance company or its employees must be considered as a part of the calculation of the medical loss ratio as administrative related income.
(b) For the purposes of this section, "commission" means commissions to agents, consultation fees, counseling fees, consultant fees, and similar advising or sales compensation to a nonemployee licensed agent.
History: L. 2013, ch. 97, ยง 13; July 1.
Structure Kansas Statutes
Article 21 - Miscellaneous Provisions
40-2101 Apportionment agreements among insurers as to persons unable to procure certain insurance.
40-2103 Same; payment of commissions.
40-2104 Same; invalidity of part.
40-2110 Same; payment of commissions.
40-2114 Participating insurer may pay commission to other participating insurer or agent.
40-2115 Hearings; compliance with 40-281 and the Kansas administrative procedure act.
40-2116 Rules and regulations.
40-2117 Uninsurable health insurance plan; citation of act.
40-2118 Uninsurable health insurance plan; definitions.
40-2120 Same; plan administering carrier, selection, functions.
40-2125 Same; loans to finance plan commencement, repayment.
40-2127 Same; annual financial report to commissioner; financial examination by commissioner.
40-2129 Same; commissioner's recommendations for plan improvements to joint committee, when.
40-2131 Same; health service provider agreements; charge to insured not permitted, when.
40-2132 Long-term care partnership act; citation of act.
40-2135 Same; duties of commissioner.
40-2137 Same; rules and regulations.
40-2138 Payment of claims by property insurer; requirements; dual endorsement not required.
40-2139 Commissions not administrative expenses for purposes of medical loss ratio.
40-2140 Law enforcement officer health insurance; continuation.
40-2141 Emergency personnel health insurance; continuation.
40-2142 Fair plan act; requirements.
40-2143 Predetermination of health care benefits act; predetermination request procedures.