KRS 299.300: Ascertainment and payment of interest of policyholders dissenting to

change -- Additional reserve fund.

(1) The commissioner, upon request and the payment to him of the usual fees, shall

ascertain and certify the proportionate interest, in the assets of the cooperative or

assessment company before its reorganization, of each of the policyholders of the

cooperative or assessment company who refuse, within six (6) months after notice,

to assent to the change into a stock or mutual company. The interest of a member so

dissenting shall not be valued at more than his proportionate part of the

accumulated emergency fund, to be determined by the commissioner as of the date

of the reorganization.

(2) The amount of the interest of each such dissenting policyholder shall be paid over to

the commissioner on demand within thirty (30) days after ascertainment, and upon

the payment or tender of the amount of interest so ascertained and certified the

membership of the dissenting policyholder shall cease.

(3) Out of the remainder of the assets in excess of the sum required for the

compensation of dissenting policyholders, there shall be deposited with the

custodian of insurance securities, under the laws providing for the deposit of legal

reserve, a sum equal to such res erve, as computed by the commissioner, in addition

to the deposit of $100,000 provided for by KRS 299.250.