40-742. Operation for benefit of members; authorized insurance business and purposes; specification of persons who may be covered; adoption of laws and rules governing society's operation. (a) A society shall operate for the benefit of members and their beneficiaries by:
(1) Providing the following benefits:
(A) Death benefits;
(B) endowment benefits;
(C) annuity benefits;
(D) temporary or permanent disability benefits;
(E) hospital, medical or nursing benefits; and
(F) such other benefits as authorized for life insurers and which are not inconsistent with this article;
(2) operating for one or more social, intellectual, educational, charitable, benevolent, moral, fraternal, patriotic or religious purposes for the benefit of its members, which may also be extended to others.
Such purposes may be carried out directly by the society, or indirectly through subsidiary corporations or affiliated organizations.
(b) A society shall specify in its rules those persons who may be issued, or covered by, the contractual benefits in subsection (a), consistent with providing benefits to members and their dependents. A society may provide benefits on the lives of children under the minimum age for adult membership upon application of an adult person.
(c) Every society shall have the power to adopt laws and rules for the government of the society, the admission of its members, and the management of its affairs. It shall have the power to change, alter, add to or amend such laws and rules and shall have such other powers as are necessary and incidental to carrying into effect the objects and purposes of the society.
History: L. 1988, ch. 154, ยง 5; Jan. 1, 1989.
Structure Kansas Statutes
Article 7 - Fraternal Benefit Societies
40-740 Representative form of government; election and voting criteria.
40-743 Laws and rules; provisions relating to membership to be specified.
40-746 Society's laws nonwaivable by subordinate bodies, officers or members.
40-748 Benefits not subject to attachment, garnishment or process.
40-750 Valuation of paid-up nonforfeiture benefits, cash surrender values and loan or other options.
40-753 Insurance laws application to societies.
40-757 Examinations; notice and opportunity to respond; payment of expenses.
40-767 Reinsurance; limitations; credit for reserves on ceded risks.
40-769 Conversion of society into mutual or stock life insurance company.
40-772 Same; report of meeting to be filed with commissioner.
40-778 Review of commissioner's decisions.