Andersen has 2,259 career points since entering the NFL in 1982 and trails only fellow kicker Gary Anderson for the most points scored in NFL history.
The Chiefs decided that their opening day kicker will be 26-year-old Lawrence Tynes, who had spent the last two years playing in the Canadian Football League.
Tynes was apparently given the nod over Andersen because his range was greater.
Andersen, 44, has said he wants to kick in the NFL until he is 50.
After spending 13 years in New Orleans, Andersen joined the Atlanta Falcons for six years. He then spent the 2001 campaign with the New York Giants before going to Kansas City for two years.
Kansas City head coach Dick Vermeil said the Chiefs would help contact other clubs so Andersen can get a job.