# K.S.A. § 40-3010: 40-3010 - Plan of operation; powers of commissioner; rules and regulations; mandatory and permissive provisions of plan; reimbursement for certain payments > Kansas · Statutes · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3010 ## Section - **Citation:** K.S.A. § 40-3010 - **Heading:** 40-3010 - Plan of operation; powers of commissioner; rules and regulations; mandatory and permissive provisions of plan; reimbursement for certain payments - **Jurisdiction:** Kansas - **Kind:** Statutes - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** KS Code / Chapter 40 / Article 30 / Section 40-3010 ## Text 40-3010. Plan of operation; powers of commissioner; rules and regulations; mandatory and permissive provisions of plan; reimbursement for certain payments. (a) (1) The association shall submit to the commissioner a plan of operation and any amendments thereto necessary or suitable to assure the fair, reasonable and equitable administration of the association. The plan of operation and any amendments thereto shall become effective upon the commissioner's written approval or unless the commissioner has not disapproved it within 30 days. (2) If the association fails to submit a suitable plan of operation within 120 days following the effective date of this act, or, if at any time thereafter the association fails to submit suitable amendments to the plan, the commissioner, after notice and hearing, shall adopt and promulgate such reasonable rules and regulations as are necessary or advisable to effectuate the provisions of this act. Such rules and regulations shall continue in force until modified by the commissioner or superseded by a plan submitted by the association and approved by the commissioner. (b) All member insurers shall comply with the plan of operation. (c) The plan of operation shall, in addition to requirements enumerated elsewhere in this act: (1) Establish procedures for handling the assets of the association; (2) establish the amount and method of reimbursing members of the board of directors under K.S.A. 40-3007, and amendments thereto; (3) establish regular places and times for meetings, including telephone conference calls, of the board of directors; (4) establish procedures for records to be kept of all financial transactions of the association, its agents and the board of directors; (5) establish the procedures whereby selections for the board of directors will be made and submitted to the commissioner; (6) establish any additional procedures for assessments under K.S.A. 40-3009, and amendments thereto; (7) contain additional provisions necessary or proper for the execution of the powers and duties of the association; (8) establish procedures whereby a director may be removed for cause, including in the case where a member insurer director becomes an impaired or insolvent insurer; and (9) require the board of directors to establish a policy and procedures for addressing conflicts of interests. (d) The plan of operation may provide that any or all powers and duties of the association, except those under K.S.A. 40-3008 and 40-3009, and amendments thereto, are delegated to a corporation, association or other organization that performs or will perform functions similar to those of this association, or its equivalent, in two or more states. Such a corporation, association or organization shall be reimbursed for any payments made on behalf of the association and shall be paid for its performance of any function of the association. A delegation under this subsection shall take effect only with the approval of both the board of directors and the commissioner, and may be made only to a corporation, association or organization that extends protection not substantially less favorable and effective than that provided by this act. ## Nearby sections - [K.S.A. § 40-3001 40-3001 - Name and citation of act.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3001.md) - [K.S.A. § 40-3002 40-3002 - Purpose of act.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3002.md) - [K.S.A. § 40-3003 40-3003 - Persons provided coverage; policies and contracts specified.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3003.md) - [K.S.A. § 40-3005 40-3005 - Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3005.md) - [K.S.A. § 40-3006 40-3006 - Creation of Kansas life and health insurance guaranty association; members; functions and powers; accounts; association under supervision of commissioner and insurance laws of state; meetings or records.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3006.md) - [K.S.A. § 40-3007 40-3007 - Board of directors of association; membership; selection; approval; vacancies; compensation; removal.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3007.md) - [K.S.A. § 40-3008 40-3008 - Powers and duties of association; limitations of liability of association; mandatory payment of certain claims.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3008.md) - [K.S.A. § 40-3009 40-3009 - Assessment of member insurers to provide funds for administration of association; classes of assessment; limitations; refunds to insurers; certificates of contribution.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3009.md) - [K.S.A. § 40-3010 40-3010 - Plan of operation; powers of commissioner; rules and regulations; mandatory and permissive provisions of plan; reimbursement for certain payments.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3010.md) - [K.S.A. § 40-3011 40-3011 - Additional powers of commissioner; revocation of authority; appeals; judicial review; notice of effect of act.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3011.md) - [K.S.A. § 40-3012 40-3012 - Duties of commissioner and board for the detection and prevention of insurer impairments; reports and recommendations of board to commissioner.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3012.md) - [K.S.A. § 40-3013 40-3013 - Liability for unpaid assessments of insureds of impaired or insolvent insurers under plan; records of negotiations made public, when; association deemed creditor, when; use of assets of impaired or insolvent insurer; equitable distribution of rights; recovery of distributions.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3013.md) - [K.S.A. § 40-3014 40-3014 - Examination and regulation by commissioner; financial report.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3014.md) - [K.S.A. § 40-3015 40-3015 - Association exempt from certain fees and taxes.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3015.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_KS_C40_A30_S40-3010. 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