KRS 304.44-020: Mine subsidence insurance fund established.

(1) There is hereby established a fund to be known as the "Mine Subsidence Insurance

fund." The fund shall be operated pursuant to this subtitle. The commissioner of the

department shall determine how the fund shall be administered. In the discretion of

the commissioner, the fund may be administered by the Reinsurance Association,

established by KRS 304.35-010, or by the department.

(2) The administrator shall make available through the fund insurance coverage against

losses arising out of or due to mine subsid ence within this state as to any structure

within this state.

(3) The moneys in the fund shall be derived from premiums for subsidence insurance

collected pursuant to this subtitle.

(4) Premiums for subsidence insurance shall be established by the administ rator which

shall periodically review the premium level and the experience data applicable to

operation of the fund and make changes as required.

(5) Premiums shall be established at a rate or within a schedule of rates sufficient to

satisfy all foreseeabl e claims upon the fund during the period of coverage, giving

due consideration to relevant loss or claim experience or trends, to cover normal

costs of operation of the fund by the administrator and provide a reasonable reserve

fund for unexpected continge ncies. Deviation from the premium set by the

administrator shall not be allowed.