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Debate heats up over bill curbing enforceability of insurance appraisal clauses
Summary
HB2351 would treat post-enactment insurance appraisal/arbitration clauses as offers to arbitrate rather than mandatory, enforceable clauses; consumer advocates said the change corrects a drafting omission and protects policyholders, while insurers and arbitration proponents warned it could increase costs and reduce efficient dispute resolution.
The committee heard HB2351, a bill amending the Uniform Arbitration Act to treat arbitration or appraisal clauses in insurance contracts entered or renewed after July 1, 2025 as an offer—rather than an irrevocable, enforceable obligation. Adviser Jason Thompson framed the change as an exception to the general rule that arbitration agreements in records are enforceable.
Proponents included Joe Molina of the Kansas Bar Association, who said the bill restores language recommended by the…
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