Enacting the Kansas municipal self-funded medical and prescription drug insurance pool act and establishing certain reserve, maximum exposure funding and reporting requirements for municipal self-funded medical and prescription drug insurance pools.

This bill establishes the Kansas Municipal Self-Funded Health and Prescription Drug Insurance Pool Act to regulate how local governments and other groups can create self-funded insurance pools for medical and prescription drug coverage. It requires these pools to meet specific financial standards, including maintaining reserves equal to their maximum potential claim exposure and submitting annual certifications to the Kansas Department of Insurance confirming they are adequately funded. The legislation also mandates regular reporting of financial data, claims information, and requires pools to have excess insurance or sufficient surplus funds to protect against large losses. Municipal groups seeking to operate these pools must apply for a certificate of authority at least 60 days before starting, providing detailed bylaws, governance structures, and evidence of financial stability to the state insurance commissioner.