KRS 304.33-260: Duties of agents.

(1) Written notice. Every person who receives notice in the form prescribed in KRS

304.33-250 that an insurer for which he or she has acted as agent is the subject of a

liquidation order shall as soon as practicable give notice of the liquidation order.

The no tice shall be sent by first -class mail to the last address contained in the

agent's records to each policyholder or other person named in any policy issued

through the agent by the company, if he or she has a record of the address of the

policyholder or ot her person. A policy shall be deemed issued through an agent if

the agent has a property interest in the expiration of the policy; or if the agent has

had in his or her possession a copy of the declarations of the policy at any time

during the life of the policy, except where the ownership of the expiration of the

policy has been transferred to another. The written notice shall include the name

and address of the insurer, the name and address of the agent, identification of the

policy impaired, and the natu re of the impairment under KRS 304.33 -210. Notice

by a general agent shall satisfy the notice requirement for any agents under contract

to him or her.

(2) Oral notice. So far as practicable, every insurance agent subject to subsection (1) of

this section s hall give immediate oral notice, by telephone or otherwise, of the

liquidation order to the same persons to whom he or she is obligated to give written

notice. The oral notice shall include substantially the same information as the

written notice.

(3) The liquidator may waive the duties imposed by this section if he or she determines

that other notice to the policyholders of the insurer under liquidation is adequate.

(4) Transfer of assets. Every agent subject to subsection (1) of this section shall,

immediately upon receiving notice pursuant to KRS 304.33 -250, and not later than

thirty (30) days thereafter, except as otherwise provided under or KRS 304.33 -055

or 304.33-240(6), transfer all assets of the insurer in possession of the agent as of

the date of liquidation or any time thereafter to the liquidator. If there is any dispute

as to whether assets which an agent is holding are assets of the insurer, the agent

shall petition the court for an order determining the ownership thereof.