Liability insurance coverage for punitive damages assessed against certain persons

40-2,115. Liability insurance coverage for punitive damages assessed against certain persons. (a) It is not against the public policy of this state for a person or entity to obtain insurance covering liability for punitive or exemplary damages assessed against such insured as the result of acts or omissions, intentional or otherwise, of such insured's employees, agents or servants, or of any other person or entity for whose acts such insured shall be vicariously liable, without the actual prior knowledge of such insured. (b) The type of coverage specified in subsection (a) may be provided by insurance companies doing business in this state. History: L. 1984, ch. 160, § 1; April 26. Law Review and Bar Journal References: "Survey of Kansas Tort Law: Part I," William E. Westerbeke and Stephen R. McAllister, 49 K.L.R. 1037 (2001). CASE ANNOTATIONS 1. Scope of excess liability coverage measured by Kansas public policy existing when policy issued rather than statute's effective date. Southern American Ins. v. Gabbert-Jones Inc., 13 Kan. App. 2d 324, 329, 769 P.2d 1194 (1989). 2. Public policy prohibits corporation from obtaining insurance coverage for punitive damages for direct (not vicarious) liability. Flint Hills Rural Elec. Co-op Ass'n v. Federated Rural Elec. Ins. Corp., 262 Kan. 512, 941 P.2d 374 (1997). 3. Statute conflicts with K.S.A. 60-3701(d); public policy prohibits insurance coverage based on vicarious liability rule. Hartford Accident & Indem. Co. v. American Red Ball Transit Co., 262 Kan. 570, 582, 938 P.2d 1281 (1997). Previous | Next LEGISLATIVE COORDINATING COUNCIL General Policies 2026 Archived LCC Documents Archived LCC Meetings REVISOR OF STATUTES Archived Session Documents Archived School Finance Documents USEFUL LINKS Session Laws Kansas Administrative Regulations OTHER LEGISLATIVE SITES Kansas Legislature Administrative Services Division of Post Audit Research Department Contact Us PDF Help www.ksrevisor.gov 2026