KRS 304.7-461: Equity interests in business entities.

(1) Subject to the limitations of KRS 304.7 -455, an insurer may acquire equity interests

in business entities organized under the laws of any domestic jurisdiction.

(2) An insurer shall not acquire an investment under this section if, as a result of and

after giving effect to the investment, the aggregate amount of investments then held

by the insurer under this section would exceed the greater of twenty -five percent

(25%) of its admitted assets or one hundred percent (100%) of its surplus as regards

policyholders.

(3) An insurer shall not acquire under this section any investments that the insurer may

acquire under KRS 304.7-465.

(4) An insurer shall not short sell equity investments unless the insurer covers the short

sale by owning the equity investment or an unrestricted right to the equity

instrument exercisable within six (6) months of the short sale.