Kansas Administrative Regulations

Agency 40. Insurance Department

Article 3. Fire and Casualty Insurance


40-3-45 Fire and casualty insurance; rate filings; investment income; requirements.


(a) Every rate filing required by K.S.A. 40-955 and amendments thereto shall include specific consideration of earnings or losses resulting from the investment of assets equal to the unearned premiums and loss reserves of the company or companies making the filing.

(b)  These earnings or losses shall consist of the historical after-tax rate of return on net worth derived from investments and shall be calculated by developing an average rate of return as a percent of earned premiums. Any explanatory memorandum submitted with a rate filing shall include an explanation of how the investment earnings or losses are considered in the rate indications. The actual methodology used to derive the investment earnings or losses shall not be required to be included in the filing, but the methodology shall be made available upon the request of the commissioner.


Investment Earnings/Losses Form


(Authorized by K.S.A. 40-103, K.S.A. 1998 Supp. 40-955, as amended by L. 1999, Ch. 63, 2; implementing K.S.A. 1998 Supp. 40-955, as amended by L. 1999, Ch. 63, 2; effective Aug. 14, 1989; amended March 24, 2000.)