Bulletin 2012-4

Bulletin 2012-4 TO: All Insurance Companies writing Medicare Supplement in Kansas FROM: Sandy Praeger Commissioner of Insurance DATE: December 13, 2012 RE: Medicare Supplement Modernization and Closed Block of Business The Medicare Modernization Act took effect in June 2010 and replaced existing Medicare Supplement Plans with new Medicare Supplement Plans. It has come to the attention of the Commissioner of Insurance that some insurers did not comply with the provisions of K.S.A. 40-2255 which require an insurer to provide written notice to existing policyholders informing them that the block of business has been closed and the policyholder has an opportunity to purchase a similar policy during a 30 day period beginning the day after the notice was mailed. In an effort to correct this problem, please acknowledge in writing either affirming or denying that the insurer has complied with K.S.A 40-2255. If the insurer provided notice to its policyholders, please provide a copy of such notice. Please direct your response to LeAnn Crow, Market Conduct Division, via email at lcrow@ksinsurance.org or 420 SW 9th Street, Topeka, Kansas, 66612 within 60 days from the date of this bulletin. For questions regarding this bulletin, please contact Jennifer Sourk, Legal Division, via phone at (785) 296-2188 or via email at jsourk@ksinsurance.org.