{"data":{"id":"us-ky/krs-304.30-110","jurisdiction":"us-ky","citation":"KRS 304.30-110","heading":"Cancellation of insurance contract upon default.","body":"(1) When a premium finance agreement contains a power of attorney enabling the\npremium finance company to cancel any insurance contract or contracts listed in the\nagreement, the insurance contract or contracts shall not be canceled by the premium\nfinance compa ny unless such cancellation is effectuated in accordance with this\nsection.\n(2) Not less than ten (10) days' written notice shall be mailed to the insured of the intent\nof the premium finance company to cancel the insurance contract unless the default\nis cured within such ten (10) day period.\n(3) After expiration of such ten (10) day period, the premium finance company may\nthereafter request in the name of the insured, cancellation of such insurance contract\nor contracts by mailing to the insurer a notice o f cancellation, and the insurance\ncontract shall be canceled as if such notice of cancellation had been submitted by\nthe insured himself, but without requiring the return of the insurance contract or\ncontracts. The premium finance company shall also mail a  notice of cancellation to\nthe insured at his last known address.\n(4) All statutory, regulatory, and contractual restrictions providing that the insurance\ncontract may not be canceled unless notice is given to a governmental agency,\nmortgagee, or other thi rd party shall apply where cancellation is effected under the\nprovisions of this section. The insurer shall give the prescribed notice in behalf of\nitself or the insured to any governmental agency, mortgagee, or other third party on\nor before the second bu siness day after the day it receives the notice of cancellation\nfrom the premium finance company and shall determine the effective date of\ncancellation taking into consideration the number of days' notice required to\ncomplete the cancellation.\n(5) Whenever an insurance contract is canceled in accordance with this section, the\ninsurer shall return whatever gross unearned premiums are due under the insurance\ncontract to the premium finance company effecting the cancellation for the account\nof the insured or insureds.\n(6) In the event that the crediting of return premiums to the account of the insured\nresults in a surplus over the amount due from the insured, the premium finance\ncompany shall refund such excess to the insured provided that no such refund shall\nbe required if it amounts to less than one dollar ($1).","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29755","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:53Z","sha256":"372703f4a2af1755babe0f1016675226d35b3028781d70f18cff59ffec0f874c","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.30-100","next":"us-ky/krs-304.30-120"},"notice":"GroundRules: Original legal text. Not legal advice."}