KRS 304.16-230: Application of dividends, rate reductions.

If a policy dividend is hereafter declared or a reduction in rate is hereafter made or

continued for the first or any subsequent year of insurance under any policy of group life

insurance heretofore or hereafter issued to any policyholder, the excess, if a ny, of the

aggregate dividends or rate reductions under such policy and all other group insurance

policies of the policyholder over the aggregate expenditure for insurance under such

policies made from funds contributed by the policyholder, or by an employ er of insured

persons, or by a union or association to which the insured persons belong, including

expenditures made in connection with administration of such policies, shall be applied by

the policyholder for the sole benefit of insured employees or members.