KRS 304.32-170: Authorized contracts.

Any corporation subject to the provisions of this subtitle may contract with any agency,

instrumentality, or political subdivision of the United States, or of this state for making

available hospital, medical -surgical, dental and other health care services , and in aid or

furtherance of such contract may accept, receive, and administer in trust, funds directly or

indirectly made available by any agency, instrumentality, or political subdivision. Any

corporation may also subcontract with any organization whic h has contracted with any

agency, instrumentality, or political subdivision of the United States, or of this state, for

the furnishing of hospital, medical -surgical, dental, or other health services by which

subcontract the corporation undertakes to furnis h the services specified by the basic

contract. Any corporation subject to the provisions of this subtitle may also enter into

agreements or contracts with other similar organizations or corporations licensed to do

business in this state or any other state for the transfer of subscribers or members, for the

reciprocal or joint provision of benefits to the subscribers or members of the corporation

and organizations or such other joint undertakings as the corporation's governing board

may approve.