KRS 304.35-040: Governing committee.

(1) The Reinsurance Association shall be governed by a committee of seven (7) persons

to be appointed by the commissioner of insurance, which shall consist of the

following:

(a) One (1) person representing an insurer chartered under the laws of the

Commonwealth of Kentucky;

(b) One (1) person representing an insurer that is neither chartered under the laws

of the Commonwealth of Kentucky nor affiliated with one (1) of the national

insurance trade associations;

(c) Three (3) persons from insurance trade organiza tions representing insurers of

various interests;

(d) One (1) licensed insurance agent; and

(e) One (1) person that meets the requirements of paragraph (a), (b), (c), or (d) of

this subsection.

(2) The "FAIR" plan shall maintain a formulated plan and artic les consistent with this

subtitle. The governing committee of the association may, on its own initiative or

shall at the request of the commissioner, amend the plan and articles, subject to

approval by the commissioner.

(3) The governing committee of the association shall, on or before April 1 of each year,

file with the commissioner, on such forms as the commissioner requires, an

accounting of the plan's operations during the preceding calendar year together with

its financial condition, and its underwriti ng experience as to each separate account

maintained therein, as of the end of such year. The commissioner may require

interim accountings on a quarterly basis or examine the affairs of the association

when, in his or her opinion, such action is necessary to determine the continued

solvency of the Reinsurance Association.

(4) If at any time the commissioner determines that the Reinsurance Association is or

may become unable to meet its financial obligations during the current year, the

commissioner shall or der the governing committee to levy appropriate assessments

within the limitations of KRS 304.35-030(1) against all members.