KRS 304.27-100: Bond of attorney.

(1) Concurrently with the filing of the declaration provided for in KRS 304.27 -060, the

attorney of a domestic reciprocal insurer shall file with the commissioner a bond in

favor of this state for the benefit of all persons damaged as a result of breach by the

attorney of the conditions of his or her bond as set forth in subsection (2) of this

section. The bond shall be executed by the attorney and by an authorized corporate

surety, and shall be subject to the commissioner's approval.

(2) The bond shall be in t he penal sum of one hundred thousand dollars ($100,000),

aggregate in form, conditioned that the attorney will faithfully account for all

moneys and other property of the insurer coming into his or her hands, and that he

or she will not withdraw or appropr iate to his or her own use from the funds of the

insurer, any moneys or property to which he or she is not entitled under the power

of attorney.

(3) The bond shall provide that it is not subject to cancellation unless thirty (30) days'

advance notice in wr iting of cancellation is given both the attorney and the

commissioner.