{"data":{"id":"us-ky/krs-304.33-340","jurisdiction":"us-ky","citation":"KRS 304.33-340","heading":"Assessments.","body":"(1) Report to court. As soon as practicable but not more than two (2) years from the\ndate of an order of liquidation under KRS 304.33 -200 of an insurer issuing\nassessable policies, the liquidator shall make a report to the court setting forth:\n(a) The reasonable value of the assets of the insurer;\n(b) The insurer's probable total liabilities; and\n(c) The probable aggregate amount of the assessment necessary to pay all claims\nof creditors and expenses in full, including expenses of administration and\ncosts of collecting the assessment.\n(2) Levy of assessment.\n(a) Upon the basis of the report provided in subsection (1) of this section,\nincluding any supplements and amendments thereto, the court may levy ex\nparte one (1) or more assessments against all members of t he insurer who are\nsubject to assessment.\n(b) Subject to any applicable legal limits on assessability, the aggregate\nassessment shall be for the amount that the sum of the probable liabilities, the\nexpenses of administration and the estimated cost of colle ction of the\nassessment exceeds the value of existing assets, with due regard being given\nto assessments that cannot be collected economically.\n(3) Order to show cause. After levy of assessment under subsection (2) of this section,\nthe court shall issue an  order directing each member who has not paid the\nassessment pursuant to the order to show cause why the liquidator shall not have a\njudgment therefor. If a member of the insurer also appears to be indebted to the\ninsurer apart from the assessment, the court, upon application of the liquidator, may\nalso direct the member to show cause why he should not pay the other indebtedness.\nLiability for such indebtedness shall be determined in the same manner and at the\nsame time as the liability to pay the assessment.\n(4) Notice. The liquidator shall give notice of the order to show cause, by publication if\nso directed by the court and by first -class mail to each member liable thereunder,\nmailed at least twenty (20) days before the return day of the order to show cau se, to\nhis last known address as it appears on the records of the insurer.\n(5) Orders and hearings.\n(a) If a member does not appear and serve objections upon the liquidator upon the\nreturn day of the order to show cause under subsection (3) of this section , the\ncourt shall make an order adjudging the member liable for the amount of the\nassessment against him and other indebtedness, pursuant to subsection (3) of\nthis section, together with costs, and the liquidator shall have a judgment\nagainst the member therefor.\n(b) If on such return day, the member appears and serves objections upon the\nliquidator, the court may hear and determine the matter or may appoint a\nreferee to hear it and make such order as the facts warrant. Any order made by\na referee under this paragraph shall have the same force and effect as if it were\na judgment of the court, subject to review by the court upon application within\nthirty (30) days.\n(6) Collection. The liquidator may enforce any order or collect any judgment under\nsubsection (5) of this section by any lawful means.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29853","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:55Z","sha256":"b4b4303c3cf4aaeb22203af14374d1d35ab0d5e45a6f795e794015233629e074","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.33-330","next":"us-ky/krs-304.33-350"},"notice":"GroundRules: Original legal text. Not legal advice."}