Unfair methods of competition and deceptive acts defined

What this document is

Kan. Stat. Ann. s. 40-2404: Unfair methods of competition and deceptive acts defined is a state statute published by Kansas Office of Revisor of Statutes. It is one of the Kansas documents that insurance license exam questions are written from, including kansas life & health, kansas property & casualty practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• Kan. Stat. Ann. § 40-2404(1)(f) (Misrepresentations and False Advertising)

  “is a misrepresentation for the purpose of inducing or tending to induce the lapse, forfeiture, exchange, conversion or surrender of any insurance policy;”

• Kan. Stat. Ann. § 40-2404(8)(a) (Rebates)

  “paying, allowing, giving or offering to pay, allow or give, directly or indirectly, as inducement to such insurance, or annuity, any rebate of premiums payable on the contract, any special favor or advantage in the dividends or other benefits thereon, or any valuable consideration or inducement...”

• Kan. Stat. Ann. § 40-2404(7)(a) (Unfair Discrimination)

  “Making or permitting any unfair discrimination between individuals of the same class and equal expectation of life in the rates charged for any contract of life insurance or life annuity or in the dividends or other benefits payable thereon, or in any other of the terms and conditions of such contract.”

• Kan. Stat. Ann. § 40-2404(4) (Boycott, Coercion and Intimidation)

  “Boycott, coercion and intimidation. Entering into any agreement to commit, or by any concerted action committing, any act of boycott, coercion or intimidation resulting in or tending to result in unreasonable restraint of the business of insurance, or by any act of boycott, coercion or intimidation...”

• Kan. Stat. Ann. § 40-2404(3) (Defamation)

  “Defamation. Making, publishing, disseminating or circulating, directly or indirectly, or aiding, abetting or encouraging the making, publishing, disseminating or circulating of any oral or written statement or any pamphlet, circular, article or literature that is false, or maliciously critical of...”

• Kan. Stat. Ann. § 40-2404(7)(e) (Unfair discrimination against living organ donors)

  “Refusing to insure, or refusing to continue to insure, or limiting the amount, extent or kind of coverage available for life insurance to an individual, or charging an individual a different rate for the same coverage, solely because of such individual's status as a living organ donor. With respect...”

• Kan. Stat. Ann. § 40-2404(8)(b)(vi) (Rebates: permitted non-cash gifts and raffles)

  “An insurer or a producer may: (A) Offer or give non-cash gifts, items or services, including meals to or charitable donations on behalf of a customer, in connection with the marketing, sale, purchase or retention of contracts of insurance, as long as the cost does not exceed an amount determined to...”

• Kan. Stat. Ann. § 40-2404(9) (Unfair Claim Settlement Practices)

  “Unfair claim settlement practices. It is an unfair claim settlement practice if any of the following or any rules and regulations pertaining thereto are either committed flagrantly and in conscious disregard of such provisions, or committed with such frequency as to indicate a general business practice:”

• Kan. Stat. Ann. § 40-2404(7)(b) (Unfair discrimination in accident and health insurance)

  “Making or permitting any unfair discrimination between individuals of the same class and of essentially the same hazard in the amount of premium, policy fees or rates charged for any policy or contract of accident or health insurance or in the benefits payable thereunder, in any of the terms or...”

• K.S.A. 40-2404(8)(c) (Insurance as an inducement)

  “(c) An insurer, producer or representative of an insurer or producer shall not offer or provide insurance as an inducement to the purchase of another policy.”

• K.S.A. 40-2404(1)(f) (Misrepresentation to induce surrender)

  “(f) is a misrepresentation for the purpose of inducing or tending to induce the lapse, forfeiture, exchange, conversion or surrender of any insurance policy;”

• K.S.A. 40-2404(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...”

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