KansasTable of Contents
1. Unfair Claims Practices Act 3. 3rd Parties -- We have not found any law yet. 4. Anti-Steering Regulations -- We have not found any law yet. 5. Caps 6. Consumer Auto Repair Practices Acts -- We have not found any law yet. 7. Consumer Sales Practices Acts 8. Diminished Value -- We have not found any law yet. 9. False and Misleading Advertising 10. False Use of Insurer’s Name 11. Home Sales Act 12. Imitation Crash Parts Regulations 13. Licensing of Adjusters -- No requirements; insurers and agents only. 16. Timely Payment 17. Total Losses -- We have not found any law yet.
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Definitions:
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We put Unfair Claims Practices, Unfair Trade Practices and the regulation for
3rd Parties at the front of Kansas' laws, and organized all other laws
alphabetically to make it easier for you to find a particular law or
regulation. To reach a particular topic on this page, either click on it in
the table of contents or scroll down. To get back to the table of contents,
simply click on the link that says " back to top" beneath each section.
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Unfair Claims Practices Act
(9) Unfair claim settlement practices.
It is an unfair claim settlement practice if any of the following or any rules
and regulations pertaining thereto are: (A) Committed flagrantly and in
conscious disregard of such provisions, or (B) committed with such frequency
as to indicate a general business practice.
(a) Misrepresenting pertinent facts or insurance policy provisions
relating to coverages at issue;
(b) Failing to acknowledge and act reasonably promptly upon
communications with respect to claims arising under insurance policies;
(c) Failing to adopt and implement reasonable standards for the
prompt investigation of claims arising under insurance policies;
(d) Refusing to pay claims without conducting a reasonable
investigation based upon all available information;
More>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/40-2404.html
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Unfair Trade Practices Act
The following are hereby defined as unfair methods of
competition and unfair or deceptive acts or practices in the business of
insurance:
(1) Misrepresentations and false advertising of insurance
policies. Making, issuing, circulating or causing to be made, issued or
circulated, any estimate, illustration, circular, statement, sales
presentation, omission or comparison which:
(a) Misrepresents the benefits, advantages, conditions or terms of
any insurance policy;
(b) Misrepresents the dividends or share of the surplus to be
received on any insurance policy;
(c) Makes any false or misleading statements as to the dividends
or share of surplus previously paid on any insurance policy;
More>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/40-2404.html
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3rd Parties
We haven't found any law yet.
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Anti-Steering Regulations
We haven't found any law yet.
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Caps
According to a data the Society for Collision Repair Specialists collected between 1995 and 1999 Caps in Kansas are illegal. In other words, insurers can't arbitrarily limit what they'll pay for a product, procedure or repair. "Beyond Parts & Equipment" published a story on caps, including a table with data collected by SCRS, in our February 2000 issue.
Generic Caps Letter
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______________ Insurance Insured: ______________________ Claim #: ______________________ Vehicle ID: Attn: Customer Service In your repair appraisal of my vehicle, you limited paint/paint materials payment and/or related costs, such as refinish labor, to $___, while my cost is $___, or $___ more than you allow. Your policy with me promises to restore my car to preloss condition at no cost other than the deductible my policy specifies. If I have to pay more than you allow for paint/materials and other costs, I will have to pay my deductible plus $___ before my car will be returned to me. Please tell me exactly where my policy says you may limit payments for paint/materials and other costs. If you can't, please authorize the full cost, $___, for all expenses. If you don't authorize full pay and you can't show me where my policy says you may restrict payment, I shall report this incident to [State] Department of Insurance, stating that ____________ Insurance isn't honoring its promise to restore my vehicle to preloss condition at no cost other than the deductible as called for in the policy. I look forward to your prompt response; I'd like my vehicle repaired as quickly as possible. Sincerely, cc: Insurance Commissioner |
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Consumer Auto Repair Practices Acts
We haven't found any law yet.
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Consumer Sales Practices Acts
84-2-201. Formal
requirements; statute of frauds.
(1) Except as otherwise provided in this section a contract for the sale of
goods for the price of $500 or more is not enforceable by way of action or
defense unless there is some writing sufficient to indicate that a contract
for sale has been made between the parties and signed by the party against
whom enforcement is sought or by his authorized agent or broker. A writing is
not insufficient because it omits or incorrectly states a term agreed upon,
but the contract is not enforceable under this paragraph beyond the quantity
of goods shown in such writing...
More>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi
84-2-204. Formation
in general.
(1) A contract for sale of goods may be made in any manner sufficient to show
agreement, including conduct by both parties which recognizes the existence of
such a contract.
(2) An agreement sufficient to constitute a contract for sale may
be found even though the moment of its making is undetermined.
(3) Even though one or more terms are left open, a contract for
sale does not fail for indefiniteness if the parties have intended to make a
contract and there is a reasonably certain basis for giving an appropriate
remedy.
Update>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi
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Diminished Value
We haven't found any law yet.
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False and Misleading Advertising
(2) False information and advertising generally. Making, publishing, disseminating, circulating or placing before the public, or causing, directly or indirectly, to be made, published, disseminated, circulated or placed before the public, in a newspaper, magazine or other publication, or in the form of a notice, circular, pamphlet, letter or poster, or over any radio or television station, or in any other way, an advertisement, announcement or statement containing any assertion, misrepresentation or statement with respect to the business of insurance or with respect to any person in the conduct of such person's insurance business, which is untrue, deceptive or misleading.
More>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/40-2404.html
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False Use of Insurer’s Name
(9) Unfair claim settlement practices.
It is an unfair claim settlement practice if any of the following or any rules
and regulations pertaining thereto are: (A) Committed flagrantly and in
conscious disregard of such provisions, or (B) committed with such frequency
as to indicate a general business practice.
(e) Uses any name or title of any insurance policy or class of
insurance policies misrepresenting the true nature thereof;
Updates>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/40-2404.html
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Home Sales Act
50-640.
Door-to-door sales; cancellation; required disclosures; notice of
cancellation; definition.
(a) Except as provided in subsection (c)(1)(C), in addition to any right
otherwise to revoke, a consumer has the right to cancel a door-to-door sale
made within this state until midnight of the third business day after the day
on which the consumer signs an agreement or offer to purchase which includes
the disclosures required by this section.
(b) In connection with any door-to-door sale made within this
state, it constitutes an unfair and deceptive act or practice within the
meaning of K.S.A. 50-626, and amendments thereto, for any supplier to:
(1) Fail to furnish the consumer with a fully completed receipt or
copy of any contract pertaining to such sale at the time of its execution,
which is in the same language, Spanish for example, as that principally used
in the oral sales presentation and which shows the date of the transaction and
contains the name and address of the supplier, and in immediate proximity to
the space reserved in the contract for the signature of the consumer or on the
front page of the receipt if a contract is not used and in boldface type of a
minimum size of 10 points, a statement in substantially the following form:
"YOU THE BUYER, MAY CANCEL THIS TRANSACTION AT ANY TIME PRIOR TO MIDNIGHT OF
THE THIRD BUSINESS DAY AFTER THE DATE OF THIS TRANSACTION. SEE THE ATTACHED
NOTICE OF CANCELLATION FORM FOR AN EXPLANATION OF THIS RIGHT." For purposes of
the required notices under this section, the term "buyer" shall have the same
meaning as the term "consumer."
[cancellation terms and notification form]
(9) Fail, within 10 business days of receipt of the consumer's
notice of cancellation, to notify the consumer whether the supplier intends to
repossess or to abandon any shipped or delivered property.
More>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/50-640.html
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Imitation Crash Parts Regulations
50-660. After
market parts; definitions. As used in this act:
(a) "After market part" means replacement sheet metal or plastic parts which
are not made by or for the original equipment manufacturer and which generally
constitute the exterior or provide support for the exterior of a motor
vehicle, including inner and outer panels;
(b) "Insurer" includes any person authorized to represent the
insurer with respect to a claim who is acting within the scope of the person's
authority.
Update>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi
50-661. Disclosure
by insurer to use after market parts; violations. (a) No insurer shall
require the use of after market parts in the repair of a motor vehicle without
disclosing to the owner the intent to use such parts;
(b) Violations of subsection (a) and K.S.A. 50-662 by insurers
shall be enforced under the provisions of K.S.A. 40-2401 et seq., and
amendments thereto.
Updates>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi
50-662. Disclosure requirements; installer of parts responsible for negligent installation. No person who prepares an estimate of repair shall specify the use of after market parts in the repair of a motor vehicle without disclosing the intended use of such parts to the owner. In all instances where after market parts are intended for use, the written estimate shall clearly identify each such part as being an after market part, and a disclosure document containing the following information in 10-point or larger type shall appear on or be attached to the owner's copy of the estimate:
| "THIS ESTIMATE HAS BEEN PREPARED BASED ON THE USE OF ONE OR MORE AFTER MARKET PARTS SUPPLIED BY A SOURCE OTHER THAN THE MANUFACTURER OF YOUR MOTOR VEHICLE. WARRANTIES APPLICABLE TO THESE PARTS ARE PROVIDED BY THE PARTS MANUFACTURER OR DISTRIBUTOR RATHER THAN BY THE MANUFACTURER OF YOUR VEHICLE." |
All after market parts installed on the motor vehicle shall be clearly identified on the estimate of such repair and are subject to the provisions provided by the disclosure. The installer of the after market parts shall be responsible for the negligent installation of such after market parts.
Update>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi
50-664. Vehicles not covered by act. The requirements of this act shall not apply to vehicles more than 10 model years of age or older.
Update>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi
| ______________ Insured:
Kansas
Customer Letter
______________ Claim: ______________ Vehicle ID: Attn: Customer Service
In your repair appraisal of my vehicle (listed above), you designated used salvage or new imitation replacement crash parts not manufactured by or for the company that made my vehicle. These parts, particularly imitation parts, are being represented to me as "quality replacement parts" when dozens of court cases (see below) and copious tests of these parts show that they aren’t equal. This representation is in direct violation of Kansas Unfair Trade and Consumer Protection law50.626, Deceptive acts and practices, Section (D). It is illegal to represent knowingly or with reason to know that "property or services are of particular standard, quality, grade, style or model, if they are of another which difers materially from the representation." I therefore request written verification that the parts you designated match my original vehicle manufacturer’s replacement parts in fit, quality, and performance. Regarding performance, to protect my safety and my family’s, I request data verifying that these parts have been proxy crash tested and perform identically to my vehicle’s original parts. For used salvage parts, I shall require like kind and quality to parts on my vehicle as determined by a written description of the trade name, the manufacturer’s name, type, engine serial number and vehicle identification number, year, color, number of miles the donor vehicle had traveled at the time it was declared salvage, and the type of accident or other event that caused the vehicle to be declared salvage. In either case, I also request a written guarantee that my vehicle’s resale/trade-in value will remain consistent with that of other vehicles of similar condition (before the accident) and mileage, and that all my existing vehicle warranties will remain intact. In this guarantee, please specify that if I suffer any economic loss due to the parts you require, your company will reimburse me for the loss. If I’m unhappy with your reply, I’ll ask that you designate only new original equipment parts to repair my vehicle. If you aren’t willing to do so, I will report to the Kansas Department of Insurance that you are violating policy requirements to restore my vehicle to preloss condition and value; the parts on my vehicle before the accident had been proxy tested following NHTSA requirements. Independent research on GM cars and Volvos has proven that imitation parts lower resale value and don’t perform properly in crash tests. Many imitation hoods have flown open while the vehicle was being driven, smashing windshields and roofs (documented in State Farm case and elsewhere). Used salvage parts aren’t sufficient to maintain my vehicle’s manufacturer warranties, and they aren’t crash tested. Finally, court cases involving imitation parts have consistently been decided against imitation parts. In October 1999, State Farm was penalized $1.2 billion by an Illinois court for defrauding consumers in its use of imitation parts, and Country Companies settled a similar class action lawsuit out of court in February 2001 for $6.3 million. I look forward to your prompt response. Sincerely,
cc: Insurance Commissioner |
You can find out the name of Kansas' Insurance Commissioner by clicking on the link for State Departments of Insurance and then select your state from the list.
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Licensing of Adjusters
Kansas has no licensing requirements for adjusters; only agents and insurance companies must be licensed.
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Telemarketing Laws
50-674. Where law enforced. For the purposes of enforcement under K.S.A. 50-671 through 50-674, any telemarketing sale shall be considered to have taken place in the state where the consumer is located, regardless of the location of the telemarketer.
Update>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/50-674.html
50-670. Unsolicited
consumer telephone calls; requirements and prohibitions; carriers not
responsible for enforcement; unconscionable act or practice. (a) As used in this section:
(1) "Consumer telephone call" means a call made by a telephone
solicitor to the residence of a consumer for the purpose of soliciting a sale
of any property or services to the person called, or for the purpose of
soliciting an extension of credit for property or services to the person
called, or for the purpose of obtaining information that will or may be used
for the direct solicitation of a sale of property or services to the person
called or an extension of credit for such purposes;
(2) "Unsolicited consumer telephone call" means a consumer
telephone call other than a call made:
(A) In response to an express request of the person called;
(B) Primarily in connection with an existing debt or contract,
payment or performance of which has not been completed at the time of such
call; or
(C) To any person with whom the telephone solicitor or the
telephone solicitor's predecessor in interest had an existing business
relationship if the solicitor is not an employee, a contract employee or an
independent contractor of a provider of telecommunications services; or
(3) "Telephone solicitor" means any natural person, firm,
organization, partnership, association or corporation who makes or causes to
be made a consumer telephone call, including, but not limited to, calls made
by use of automatic dialing-announcing device;
(4) "Automatic dialing-announcing device" means any user terminal
equipment which:
(A) When connected to a telephone line can dial, with or without
manual assistance, telephone numbers which have been stored or programmed in
the device or are produced or selected by a random or sequential number
generator; or
(B) When connected to a telephone line can disseminate a recorded
message to the telephone number called, either with or without manual
assistance;
(5) "Negative response" means a statement from a consumer
indicating the consumer does not wish to listen to the sales presentation or
participate in the solicitation presented in the consumer telephone call.
(b) Any telephone solicitor who makes an unsolicited consumer
telephone call to a residential telephone number shall:
(1) Identify themselves;
(2) Identify the business on whose behalf such person is
soliciting;
(3) Identify the purpose of the call immediately upon making
contact by telephone with the person who is the object of the telephone
solicitation;
(4) Promptly discontinue the solicitation if the person being
solicited gives a negative response at any time during the consumer telephone
call;
(5) Hang up the phone, or in the case of an automatic
dialing-announcing device operator, disconnect the automatic
dialing-announcing device from the telephone line within 25 seconds of the
termination of the call by the person being called; and
(6) A live operator or an automated dialing-announcing device
shall answer the line within five seconds of the beginning of the call. If
answered by automated dialing-announcing device, the message provided shall
include only the information required in subsection (b)(1) and (2), but shall
not contain any unsolicited advertisement.
(c) A telephone solicitor shall not withhold the display of the
telephone solicitor's telephone number from a caller identification service
when that number is being used for telemarketing purposes and when the
telephone solicitor's service or equipment is capable of allowing the display
of such number.
(d) A telephone solicitor shall not transmit any written
information by facsimile machine or computer to a consumer after the consumer
requests orally or in writing that such transmissions cease.
(e) A telephone solicitor shall not obtain by use of any
professional delivery, courier or other pickup service receipt or possession
of a consumer's payment unless the goods are delivered with the opportunity to
inspect before any payment is collected.
(f) Local exchange carriers and telecommunications carriers shall
not be responsible for the enforcement of the provisions of this section.
(g) Any violation of this section is an unconscionable act or
practice under the Kansas consumer protection act.
(h) This section shall be part of and supplemental to the Kansas
Consumer Protection Act.
Updates>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/50-670.html
50-672. Verbal
agreement not valid unless signed confirmation; consumer not liable for
payment, when; right to cancel. (a) Any verbal agreement
made by a consumer to purchase any goods or services from a telemarketer shall
not be considered valid and legally binding unless the telemarketer receives
from the consumer a signed confirmation that discloses in full the terms of
the sale agreed upon.
(b) The confirmation shall include, but is not limited to, the
following information:
(1) The name of the telemarketer,...
[Payment requirements; refund requirements can be found at:]
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Timely Notification
(9) Unfair claim settlement practices.
It is an unfair claim settlement practice if any of the following or any rules
and regulations pertaining thereto are: (A) Committed flagrantly and in
conscious disregard of such provisions, or (B) committed with such frequency
as to indicate a general business practice.
(b) Failing to acknowledge and act reasonably promptly upon
communications with respect to claims arising under insurance policies;
(c) Failing to adopt and implement reasonable standards for the
prompt investigation of claims arising under insurance policies;
Update>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/40-2404.html
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Timely Payment
(9) Unfair claim settlement practices.
It is an unfair claim settlement practice if any of the following or any rules
and regulations pertaining thereto are: (A) Committed flagrantly and in
conscious disregard of such provisions, or (B) committed with such frequency
as to indicate a general business practice.
(f) Not attempting in good faith to effectuate prompt, fair and
equitable settlements of claims in which liability has become reasonably
clear;
(g) Compelling insureds to institute litigation to recover amounts
due under an insurance policy by offering substantially less than the amounts
ultimately recovered in actions brought by such insureds;
More>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/40-2404.html
40-2442. Same;
claims; procedures; rules and regulations.
(a) Within 30 days after receipt of any claim, and amendments thereto,
any insurer issuing a policy of accident and sickness insurance shall pay a
clean claim for reimbursement in accordance with this section or send a
written or electronic notice acknowledging receipt of and the status of the
claim. Such notice shall include the date such claim was received by the
insurer and state that:
(1) The insurer refuses to reimburse all or part of the claim and
specify each reason for denial; or
(2) Additional information is necessary to determine if all or any
part of the claim will be reimbursed and what specific additional information
is necessary.
More>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi/40-2442.html
40-3110. Same;
primary status of benefits, exception; when payable; time limitation on
claims; overdue payments.
(a) Except for benefits payable under any workmen's compensation law, which
shall be credited against the personal injury protection benefits provided by
subsection (f) of K.S.A. 40-3107, personal injury protection benefits due from
an insurer or self-insurer under this act shall be primary and shall be due
and payable as loss accrues, upon receipt of reasonable proof of such loss and
the amount of expenses and loss incurred which are covered by the policy
issued in compliance with this act. An insurer or self-insurer may require
written notice to be given as soon as practicable after an accident involving
a motor vehicle with respect to which the insurer's policy of motor vehicle
liability insurance affords the coverage required by this act. No claim for
personal injury protection benefits may be made after two (2) years from the
date of the injury.
(b) Personal injury protection benefits payable under this act
shall be overdue if not paid within thirty (30) days after the insurer or
self-insurer is furnished written notice of the fact of a covered loss and of
the amount of same, except that disability benefits payable under this act
shall be paid not less than every two (2) weeks after such notice. If such
written notice is not furnished as to the entire claim, any partial amounts
supported by written notice is overdue if not paid within thirty (30) days
after such written notice is furnished. Any part or all of the remainder of
the claim that is subsequently supported by written notice is overdue if not
paid within thirty (30) days after such written notice is so furnished:
Provided, That no such payment shall be deemed overdue where the insurer
or self-insurer has reasonable proof to establish that it is not responsible
for the payment, notwithstanding that written notice has been furnished. For
the purpose of calculating the extent to which any personal injury protection
benefits are overdue, payment shall be treated as being made on the date a
draft or other valid instrument which is equivalent to payment was placed in
the United States mail in a properly addressed, postpaid envelope, or, if not
so posted, on the date of delivery. All overdue payments shall bear simple
interest at the rate of eighteen percent (18%) per annum.
Updates>> http://www.kslegislature.org/cgi-bin/statutes/index.cgi
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Total Losses
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