Several bills affecting the collision repair industry recently took effect in Kansas.
The various pieces of legislation that took effect July 1 require automotive insurance companies to fund the establishment of an online portal verifying consumers’ liability insurance; raise the annual license fees of electric and hybrid passenger vehicles; and authorize the Kansas commissioner on insurance to set fees and fines for applications, licenses, license renewals, certificates of authority, and other required filings by certain insurance entities.
The abovementioned portal will be the sole electronic system for verifying motor vehicle liability insurance as required by Kansas law, and must be fully operational by July 1, 2026, following nine months of testing. The Kansas Department of Revenue (KDOR) may conduct a competitive bid and transact with a private-sector company that has implemented similar systems in other states to help establish and maintain the system, according to the law.
Each vehicle liability insurance provider must furnish proof of liability insurance for every vehicle insured in the state. The portal will not be public-facing, and will be available to KDOR personnel, Kansas courts, law enforcement agencies and other entities authorized by state or federal privacy laws.
Another law that took effect July 1 will raise annual license fees for hybrid vehicles to $70, plug-in hybrids to $100 and all-electric vehicles to $165. Hybrids and plug-in hybrids in Kansas are currently subject to $50 yearly license fees, and all-electric vehicles currently incur $100 annual license fees. The Kansas law follows the trends of other states, including Rhode Island and New Jersey, which have raised their EV registration fees in recent years.
Yet another new law gives the Kansas insurance commissioner the latitude to reduce insurance license fees below the previous set rate of $100, and requires him/her to publish the fee amount in the Kansas register no later than Dec. 1, preceding the year it takes effect.
This one-time fee applies to all newly certified agents in a company.
Several repair-relevant bills failed during the last session of the Kansas Legislature.
Among them was a bill that would have provided for disclosure of any expunged criminal records in any application for licensure as an insurance provider or public adjuster if any law enforcement actions stemmed from a fraudulent insurance act on the part of the applicant and included automobile-assigned claims plans in provisions related to fraudulent insurance acts.
Another failed bill would have required insurance companies to respond to inquiries from the insurance commissioner within two weeks, rather than the current 15 business days.
Kansas’ state legislative session concluded April 11.
Brian Bradley