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          Session of 1998
                    SENATE BILL No. 422           By Committee on Financial Institutions and Insurance           1-13             9             AN ACT concerning property insurance; cancellation or nonrenewal of
10             coverage.
11            
12       Be it enacted by the Legislature of the State of Kansas:
13           Section 1. After the effective date of this act, an insurance company
14       shall not cancel or nonrenew a policy of homeowners insurance because
15       the insured has file a single claim for loss due to windstorm, hailstorm or
16       any other act of nature within any three consecutive years such policy is
17       in force.
18           Sec. 2. After the effective date of this act, an insurance company shall
19       not refuse to issue or renew coverage or limit the amount of coverage or
20       charge higher rates on a policy of homeowners insurance based solely
21       upon the insurer's knowledge of the applicant's credit history.
22           Sec. 3. As used in this act:
23           (a) ``Homeowners insurance'' means an insurance policy insuring
24       against the physical loss of or damage to real or personal property used
25       for habitation and personal purposes in connection with insurance cov-
26       erage offered on a one to four family dwelling or its contents.
27           (b) ``Credit history'' means information concerning the applicant's or
28       insured's debt payment practices, delinquencies, payment history, insol-
29       vency, bankruptcy or any form of default.
30           Sec. 4. This act shall take effect and be in force from and after its
31       publication in the statute book.
32