KRS 304.12-092: Gifts, sweepstakes, and drawings -- When permitted.

Notwithstanding any other provision of this chapter:

(1) Except as provided in subsections (2) and (3) of this section, an insurer, by or

through its employees, affiliates, or third -party representatives, or an insurance

producer, as defined in KRS 304.9-020, may:

(a) In connection with the marketing, purchase, or renewal of insurance:

1. Offer or provide gifts to any person, including any named insured, if:

a. The gifts are not in the form of cash;

b. The cost does not exceed two hundred fifty dollars ($250) per year;

and

c. Receipt of the gifts is not contingent on the purchase or renewal of

an insurance policy; and

2. Conduct sweepstakes or drawings if:

a. There is no participation cost to entrants;

b. Either:

i. The prizes do not exceed five hundred doll ars ($500) in

value; or

ii. The combined value of all prizes divided by the number of

entrants is less than ten dollars ($10); and

c. The sweepstakes or drawings do not obligate entrants to purchase

or renew an insurance policy; and

(b) Offer or provide products or services that relate to, or in conjunction with, an

insurance policy for free, or at a discounted price, if the products or services:

1. Are primarily intended to educate about, assess, monitor, control,

mitigate, or prevent risk of loss to persons or their lives, health, property,

or other insurable interests; or

2. Have a connection to, or enhance the value of, the insurance benefits.

(2) The offer or provision of products or services under subsection (1)(b) of this section

shall be exempt from the prohibitions set forth in subsection (1)(a) of this section.

(3) This section shall not:

(a) Apply to charitable contributions by an insurer or insurance producer unless

the contributions are made in connection with the purchase or r enewal of

insurance; or

(b) Be construed to limit or prohibit any conduct permitted under KRS 304.12 -

100.