According to the bombshell report, the final straw was an ugly fight that erupted after Kanye's recent off-the-wall tweets, including support of Donald Trump and referring to slavery as a 'choice'.
'She called him out on his selfishness and how he doesn't ever think of the repercussions it could have for her brands,' an insider explosively tells. 'All he cares about is his music and clothing line.'
'It was one of their worst fights ever.'
The source outrageously adds that Kim is petrified to divorce a third time and potentially fight with Kanye over their shared $300 million fortune, but her desire to get out 'is greater than' her fear.
'Kim wants her old life back,' a source said.
In Touch further claims that Kim has had enough of Kanye's erratic behaviour.
'Kim is a nervous wreck because she never knows what's around the corner when it comes to his actions,' a Kardashian insider said.
'She just can't take it anymore and stays at Kris' house with the kids.'
The couple share three children - North, 5, Saint, 2, and Chicago, 8-months.
Kim knows the pain and humiliation of a public divorce all to well, still haunted by her 2011 divorce to NBA player Kris Humphries, which dragged on for nearly eight times the length of their 72-day marriage.
'The last thing Kim wants is a lengthy divorce,' a friend said.
The Kardashian family is yet to respond to In Touch's report.