FROM THE COMMISH
COMMISSIONER ' S LETTER
NEW LAWS IN EFFECT FOR JULY 1 written by Commissioner Vicki Schmidt, Kansas Department of Insurance
As we head into summer, we are rapidly approaching the implementation of several new laws that go into effect starting July 1. The Kansas Department of Insurance has been hard at work setting up frameworks to implement these new laws. I want to thank the KAIA for your valuable feedback and support throughout the past legislative session.
While we did not get everything across the line this year, the KDOI had some major successes that I am pleased to bring to Kansas. Here are some of the biggest highlights:
“ I want to thank the KAIA for your valuable
feedback and support throughout the past legislative session.”
The Kansas Consumer Prescription Protection and Accountability Act( SB 20) Requires drug rebates to be passed through to health plans and bans a practice called“ spread pricing” where a PBM charges a health plan more than it reimbursed a pharmacy. The bill also aims to protect patient choices and local pharmacies by requiring all pharmacies to be reimbursed the same. Finally, it gives the Department tools to ensure transparency and accountability.
The Kansas Real Time Motor Vehicle Insurance Verification Act( SB 42) Authorizes the Kansas Department of Insurance to implement the Kansas Insurance Verification System( KSIVS) to verify auto insurance coverage in real time and identify uninsured vehicles. The system is currently being implemented in coordination with state agencies and insurers ahead of its launch.
HB 2323 Strengthens Kansas’ ability to combat insurance fraud by authorizing the Kansas Department of Insurance to impose civil penalties, clarifying that fraud involving the Kansas Automobile Assigned
32 KANSAS INSURANCE AGENT & BROKER