{"data":{"id":"us-ky/krs-304.17a-240","jurisdiction":"us-ky","citation":"KRS 304.17A-240","heading":"Renewal or continuation -- Ground for nonrenewal, cancellation, or","body":"discontinuance.\n(1) Except as provided in this section, an insurer shall renew or continue in force a\nhealth benefit plan at the option of the insured.\n(2) An insurer may nonrenew,  cancel, or discontinue a health benefit plan based only\non one (1) or more of the following:\n(a) The insured has failed to pay premiums or contributions in accordance with\nthe terms of the plan or the insurer has not received timely premium\npayments;\n(b) The insured has performed an act or practice that constitutes fraud or made an\nintentional misrepresentation of material fact under the terms of the coverage;\n(c) The insured has engaged in intentional and abusive noncompliance with\nmaterial provisions of the health benefit plan;\n(d) The insurer is ceasing to offer coverage in the individual or group market in\naccordance with subsection (3) of this section;\n(e) In the case of an insurer that offers health benefit plans through a network\nplan, the individual no longer resides, lives, or works in the service area or in\nan area for which the insurer is authorized to do business, but only if the\ncoverage is terminated under this paragraph uniformly without regard to any\nhealth status -related factor of covered in dividuals, or there is no longer any\nenrollee in connection with the group plan who resides, lives, or works in the\nservice area of the insurer;\n(f) In the case of a health benefit plan that is made available only through one (1)\nor more bona fide associat ions, the membership of the individual or employer\nin the association on the basis of which the coverage is provided ceases, but\nonly if the coverage is terminated under this paragraph uniformly without\nregard to any health status-related factor of covered individuals; or\n(g) In the case of a health benefit plan issued to a group, the group no longer\nmeets participation requirements or contribution requirements as established\nby the insurer.\n(3) (a) In any case in which an insurer decides to discontinue off ering a particular\ntype of health benefit plan, coverage of the type may be discontinued by the\ninsurer upon approval by the commissioner only if:\n1. The insurer provides notice to each insured provided coverage of this\ntype in the market of the discontinuation at least ninety (90) days prior to\nthe date of the discontinuation of the coverage;\n2. The insurer offers, to each insur ed provided coverage of this type, the\noption to purchase any other health benefit plan currently of that type\nbeing offered by the insurer in that market; and\n3. In exercising the option to discontinue coverage of this type and in\noffering the option of c overage under subparagraph 2. of this paragraph,\nthe insurer acts uniformly without regard to any health status -related\nfactor of enrolled insureds or insureds who may become eligible for\ncoverage.\n(b) 1. Subject to paragraph (a)3. of this subsection, in a ny case in which an\ninsurer elects to discontinue offering all health benefit plans in\nKentucky, health benefit plans may be discontinued by the insurer only\nif:\na. The insurer provides notice to the commissioner and to each\ninsured of the discontinuation at least one hundred eighty (180)\ndays prior to the date of the expiration of the coverage; and\nb. All health benefit plans issued or delivered for issuance in\nKentucky are discontinued and coverage under the health benefit\nplans is not renewed.\n2. In the case of a discontinuation under subparagraph 1. of this paragraph,\nthe insurer may not provide for the issuance of any health benefit plans\nin Kentucky during the five (5) year period beginning on the date of the\ndiscontinuation of the last health benefit plan not so renewed.\n(4) At the time of coverage renewal, an insurer may modify, with approval of the\ncommissioner, the health benefit plan for a policy form so long as the modification\nis consistent with this chapter and effective on a uniform basis among  all\nindividuals with that policy form.\n(5) In applying this section in the case of a health benefit plan that is made available by\nan insurer only through one (1) or more associations, a reference to an individual is\ndeemed to include a reference to an as sociation of which the individual is a\nmember, and a reference to an employer member is deemed to include a reference to\nthe employer.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=17397","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:46Z","sha256":"8ea7e8cce99c1ff57d76d80706d037b9bc89467933e25f82036328825b3f39e5","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.17a-235","next":"us-ky/krs-304.17a-243"},"notice":"GroundRules: Original legal text. Not legal advice."}