{"data":{"id":"us-ky/krs-304.30-050","jurisdiction":"us-ky","citation":"KRS 304.30-050","heading":"Revocation and suspension of licenses -- Hearings and appeals.","body":"(1) The commissioner may revoke or suspend the license of any premium finance\ncompany  when and if, after investigation, it appears to the commissioner that:\n(a) Any license issued to the company was obtained by fraud;\n(b) There was any misrepresentation in the application for the license;\n(c) The  holder of the license has otherwise shown  himself or herself\nuntrustworthy or incompetent to act as a premium finance company;\n(d) The company has violated any of the provisions of this chapter; or\n(e) The  company  has been rebating part of the service charge as allowed\nand  permitted by KRS  304.30-090 to any insurance agent or any\nemployee of an insurance agent or to any other person as an inducement\nto the financing of any insurance policy with the premium  finance\ncompany, except as provided in subsection (2) of this section.\n(2) Transactions related to the financing of insurance premiums for personal and\ncommercial lines of insurance shall not be deemed  a rebate of the service\ncharge in violation of subsection (1)(e) of this section if:\n(a) The  transaction is arranged by an insurance agent who  discloses in\nwriting to the insured:\n1. The  source of any compensation to be received by the agent as a\nresult of the insured entering into a premium finance agreement; and\n2. The  amount of compensation, as a percentage of the premiums\nfinanced, if the amount  of compensation received by the agent\nexceeds two percent (2%) of the premium amount financed; and\n(b) The amount of compensation is based only on actual premiums financed\nand is not paid as:\n1. An advance on future premium finance agreements; or\n2. A form of bonus for the agent agreeing to place finance agreements\nwith the premium finance company.\n(3) Before the commissioner shall revoke, suspend, or refuse to renew the license\nof any premium  finance company, he or she shall give to the person an\nopportunity for a hearing to be conducted in accordance with KRS  Chapter\n13B. In lieu of or in addition to revoking or suspending the license for any of the\ncauses enumerated in the section, after hearing as provided in this subsection,\nthe commissioner may subject the company  to a penalty specified in Subtitle\n99 of this chapter when the commissioner determines that the public interest\nwould not be harmed by the continued operation of the company. The amount\nof any penalty shall be paid by the company  through the department of the\ncommissioner to the State Treasurer.\n(4) If any applicant or licensee is aggrieved by any final order of the commissioner,\nthe applicant or licensee shall have the right to appeal to the Franklin Circuit\nCourt in accordance with KRS Chapter 13B.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=46496","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:53Z","sha256":"7371b6b6e019ade03f29e01c330408038084e101c870bd113a6beef075b73763","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.30-040","next":"us-ky/krs-304.30-060"},"notice":"GroundRules: Original legal text. Not legal advice."}