Brief (1)
SB 193 concerns certain persons licensed as insurance agents. The bill exempts any licensed insurance agent, who holds a license solely for the purpose of selling life insurance or annuity products used to fund a prearranged funeral program, from the statutory requirement that insurance agents be covered by an errors and omissions policy.
Background
SB 193 was requested by the Kansas Funeral Directors and Embalmers Association whose representative explained that funeral directors sell the insurance as an ancillary part of their business and are not full-time insurance agents.
The bill is opposed by the Kansas Association of Insurance Agents and Kansas Association of Insurance and Financial Advisers who expressed concern about the precedent created by passage of the bill and the pressure on future legislatures to exempt other limited lines agents.
1. *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.ink.org/public/legislative/fulltext.cgi