Kansas Administrative Regulations
Agency 40. Insurance Department
Article 5. Credit Insurance
40-5-102 Consumer credit insurance; definitions.
(a) ``Credit life
insurance'' means insurance on the life of a consumer pursuant to or in
connection with a consumer credit transaction.
(b) ``Credit accident and health insurance'' means insurance, written in connection with a consumer credit transaction, to provide benefits in the event of disability of a consumer.
(c) ``Claims incurred'' means claims actually paid during the year, appropriately adjusted for the yearly change in claim reserves, including reserves for reported claims in process of settlement and claims incurred but not reported.
(d) ``Claims'' means benefits payable on death or disability excluding loss adjustment expense, claims settlement costs, or other additions of any kind.
(e) ``Premiums earned'' means the total gross premiums which become due to the insurance company, without reduction of any kind, except the premiums refunded or adjusted on account of termination of coverage, and appropriately adjusted for changes in gross unearned premiums in force upon a pro rata basis or a ``sum of the digits'' basis consistent with K.A.R. 40-5-108(a).
(f) ``Commissioner'' means the commissioner of insurance of the state of Kansas.
(Authorized by K.S.A. 40-103, 16a-4-112; implementing K.S.A. 16a-4-101 through 16a-4-203; effective Jan. 1, 1974; amended May 1, 1979; amended May 1, 1983; amended May 1, 1986.)