{"data":{"id":"us-ky/krs-304.32-045","jurisdiction":"us-ky","citation":"KRS 304.32-045","heading":"Entities subject to provisions of this subtitle permitted to convert to","body":"domestic mutual insurance companies subject to provisions of Subtitle 24.\n(1) Any nonprofit hospital, medical -surgical, dental, and health service corporation\nsubject to the pr ovisions of this subtitle, possessed of admitted assets in excess of\nall liabilities at least equal to the original surplus required of a domestic mutual\ninsurance company transacting the same kind or kinds of business may, at its option\nand without reincorporation, adopt and become subject to the provisions of Subtitle\n24 of this chapter governing domestic mutual insurers in lieu of this subtitle;\nprovided, however, that upon becoming subject to the provisions of Subtitle 24 of\nthis chapter, as hereinafter  provided, such companies may continue to provide\nservices to their present or like services to future members and subscribers and may\nmake provision for the payment for health care services directly to hospitals or other\nagencies or institutions or person s rendering such health care service or related\nservices or may make direct payment to the member or subscriber.\n(2) Any nonprofit hospital, medical -surgical, dental, and health service corporation\nsubject to the provisions of this subtitle may adopt and b ecome subject to the\nprovisions of Subtitle 24 of this chapter by the adoption of a resolution by its board\nof directors declaring the election of said nonprofit hospital, medical -surgical,\ndental, and health service corporation to become subject to the pr ovisions of\nSubtitle 24 of this chapter governing domestic mutual insurers, and after the\nadoption of such resolution the board of directors shall adopt such amendments to\nthe articles of incorporation and bylaws of the nonprofit hospital, medical -surgical,\ndental, and health service corporation as shall be necessary and file the same with\nthe commissioner of the Department of Insurance of the Commonwealth of\nKentucky. Upon such filing, said nonprofit hospital, medical -surgical, dental, and\nhealth service c orporation shall no longer be subject to the provisions of this\nsubtitle, but shall be subject to Subtitle 24 of this chapter governing domestic\nmutual insurers and shall honor all legitimate claims presented by its member\npolicyholders under the terms and conditions of its policy who have incurred claims\nin any private hospital with acute care in the State of Kentucky as long as the\nhospital is duly licensed and certified by the State of Kentucky; provided, however,\nthat group certificate holders may also be members of the insurer, if so specified in\nthe bylaws of the insurer; and further provided that the conversion of a nonprofit\nhospital, medical -surgical, dental, and health service corporation, subject to this\nsubtitle, into a domestic mutual insurance company shall not impair the rights or\nobligations of the nonprofit hospital, medical -surgical, dental, and health service\ncorporation or its members on any contract heretofore or hereafter made.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29762","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:53Z","sha256":"bbe3a05ca752b0af2d2dbff7575fb5766fcdac2fcfc79fb04c54afbcd51e06c8","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.32-040","next":"us-ky/krs-304.32-050"},"notice":"GroundRules: Original legal text. Not legal advice."}