Kansas: premium trust account rules
What Kansas requires of insurance producers holding premium funds, and what happens when those funds are diverted.
Citation
§ 40-247
Source chart last reviewed this jurisdiction: 2/25
What the jurisdiction requires
Agent who receives money shall hold premium in trust for the company.
Penalties for diversion
Agent who fails to pay premium over to company shall be charged with a non- person felony or misdemeanor depending on amount of money at issue.
This reference is not legal advice. Citations and summaries are transcribed from the NAIC's Fiduciary Responsibilities—Premiums chart (Spring 2025) and reflect that chart's own review dates, which vary by jurisdiction. Statutes change, and the chart may lag the current code. Confirm the current text of any provision with the jurisdiction's insurance department or your own counsel before relying on it.
Tie out a Kansas trust account
Tie your premium trust account out three ways — bank, ledger and what you owe — with Kansas's cited rule beside the worksheet. Runs in your browser; nothing is uploaded.
Trust account reconciliation worksheetKeep your trust account provably in balance
Policy Balance Hub tracks premium held in trust against what you owe each carrier, so the reconciliation an examiner asks for already exists.