{"data":{"id":"us-ky/krs-304.24-615","jurisdiction":"us-ky","citation":"KRS 304.24-615","heading":"Consideration distributed to eligible members.","body":"(1) The total aggregate consideration to be distributed to the eligible members shall be\ndetermined under a fair formula. The total aggregate consideration shall not be less\nthan the converting mutual's total surplus or surplus as regards policyholders; plus\nthe value of all nonadmitted assets; plus a reasonable present equity in reserves, if\nany; minus any adjustments for contributed or borrowed surplus.\n(2) The consideration to be distributed to the eligible members shall be cash, stock, or\nother securities of the former mutual or of an affiliate, additional paid up insurance\nor annuity benefits, or any combination of these forms of consideration or other\nforms of consideration described in the plan of conversion and approved by the\ncommissioner.\n(3) The form of consideration to be distributed to a class, category, or group of eligible\nmembers may differ from the form of consideration to be distributed to another\nclass, category, or group of eligible members. The choice of the form of\nconsideration may take into account such factors as the type of policies with respect\nto which the consideration is being distributed, the country or state of residence or\ntax status of the eligible members, the length of time that eligible members have\nbeen members of the converti ng mutual, or other appropriate factors or\ncircumstances described in the plan of conversion.\n(4) Distribution of all or part of the consideration to some or all of the eligible members\nmay be delayed, or restrictions on sale or transfer of any stock or ot her securities to\nbe distributed to eligible members may be required, for a reasonable period of time\nfollowing the effective date of the conversion. That period of time shall not exceed\nsix (6) months, unless approved by the commissioner.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29587","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:51Z","sha256":"1cd2325f756376cd4b9fee20e74d72530d29834993bec495d8d3804348730493","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.24-613","next":"us-ky/krs-304.24-617"},"notice":"GroundRules: Original legal text. Not legal advice."}