{"data":{"id":"us-ky/krs-304.5-070","jurisdiction":"us-ky","citation":"KRS 304.5-070","heading":"Casualty insurance defined.","body":"(1) \"Casualty insurance\" includes:\n(a) Vehicle insurance. Insurance against loss of or damage to any land vehicles or\naircraft or any draft or riding animal or to property while contained therein or\nthereon or being loaded or unloaded therein or therefrom, from any hazard or\ncause, and against any loss, liability, or expense resulting from or incidental to\nownership, maintenance, or use of any such vehicle, aircraft, or animal;\ntogether with insurance against accidental injury to individuals, irrespective of\nlegal liability of the insured, inclu ding the named insured, while in, entering,\nalighting from, adjusting, repairing, cranking, or caused by being struck by a\nvehicle, aircraft, or draft or riding animal, if the insurance is issued as an\nincidental part of insurance on the vehicle, aircraft, or draft or riding animal;\n(b) Liability insurance. Insurance against legal liability for the death, injury, or\ndisability of any human being, or for damage to property; and provision of\nmedical, hospital, surgical, disability benefits to injured persons and funeral\nand death benefits to dependents, beneficiaries, or personal representatives of\npersons killed, irrespective of legal liability of the insured, when issued as an\nincidental coverage with or supplemental to liability insurance;\n(c) Workers' compensation and employer's liability. Insurance of the obligations\naccepted by, imposed upon, or assumed by employers under law for death,\ndisablement, or injury of employees;\n(d) Burglary and theft. Insurance against loss or damage by burglary, theft,\nlarceny, robbery, forgery, fraud, vandalism, malicious mischief, confiscation,\nor wrongful conversion, disposal or concealment, or from any attempt at any\nof the foregoing; including supplemental coverage for medical, hospital,\nsurgical, and funeral expense incu rred by the named insured or any other\nperson as a result of bodily injury during the commission of a burglary,\nrobbery, or theft by another; also insurance against loss of or damage to\nmoneys, coins, bullion, securities, notes, drafts, acceptances, or any  other\nvaluable papers and documents, resulting from any cause;\n(e) Personal property floater. Insurance upon personal effects against loss or\ndamage from any cause;\n(f) Glass. Insurance against loss or damage to glass, including its lettering,\nornamentation, and fittings;\n(g) Boiler and machinery. Insurance against any liability and loss or damage to\nproperty or interest resulting from accidents to or explosions of boilers, pipes,\npressure containers, machinery, or apparatus, and the inspection of and\nissuance of certificates of inspection upon boilers, machinery, and apparatus\nof any kind, whether or not insured;\n(h) Leakage and fire extinguishing equipment. Insurance against loss or damage\nto any property or interest caused by the breakage or leakage of s prinklers,\nhoses, pumps and other fire extinguishing equipment or apparatus, water pipes\nor containers, or by water entering through leaks or openings in buildings, and\ninsurance against loss or damage to sprinklers, hoses, pumps, and other fire\nextinguishing equipment or apparatus;\n(i) Credit. Insurance, other than mortgage guaranty insurance, against loss or\ndamage resulting from failure of debtors to pay their obligations to the\ninsured;\n(j) Malpractice. Insurance against legal liability of the insured, and against loss,\ndamage, or expense incidental to a claim of such liability, and including\nmedical, hospital, surgical, and funeral benefits to injured persons,\nirrespective of legal liability of the insured, arising out of the death, injury, or\ndisablement of any person, or arising out of damage to the economic interest\nof any person, as the result of negligence in rendering expert, fiduciary, or\nprofessional service;\n(k) Elevator. Insurance against loss of or damage to any property of the insured,\nresulting from the ownership, maintenance, or use of elevators, except loss or\ndamage by fire, and the inspection of and issuance of certificates of inspection\nupon, elevators;\n(l) Congenital defects. Insurance against congenital defects in human beings;\n(m) Livestock. Insurance against loss of or damage to livestock from any cause;\n(n) Entertainments. Insurance indemnifying the producer of any motion picture,\ntelevision, radio, theatrical, sport, spectacle, entertainment, or similar\nproduction, event, or exhibition against loss from interruption, postponement,\nor cancellation thereof due  to death, accidental injury, or sickness of\nperformers, participants, directors, or other principals;\n(o) Failure of certain institutions to record documents. Insurance indemnifying\nagainst loss from failure or omission to record as public records, liens of any\nkind upon personal property, given, held, delivered, or possessed as security\nor collateral for loans, advances, debts, or obligations of all kinds;\n(p) Automobile guaranty. Insurance of the mechanical condition or freedom from\ndefective or worn par ts of motor vehicles, other than as provided by\nmanufacturer's warranty or as provided by KRS 190.090 to 190.140. Provided,\nhowever, the making of a service contract by a service contract provider that\nhas obtained a reimbursement insurance policy shall no t be considered a\ncontract of or for insurance. As used in this paragraph:\n1. \"Reimbursement insurance policy\" means a policy of insurance which:\na. Provides reimbursement to the service contract provider under the\nterms of the service contracts issued or sold by the service contract\nprovider or, in the event of the service contract provider's\nnonperformance, pays on behalf of the service contract provider all\ncovered contractual obligations incurred by the service contract\nprovider under the terms of the s ervice contracts issued or sold by\nthe service contract provider; and\nb. Is issued by an admitted or authorized registered insurer, or\nproperly exported to a nonadmitted insurer by a licensed surplus\nlines broker, to a service contract provider;\n2. \"Service contract\" means a contract or agreement given for a separately\nstated consideration for a specific duration to perform or to provide\nreimbursement for:\na. The repair, replacement, or maintenance of a motor vehicle for the\noperational or structural failure of the motor vehicle due to a defect\nin materials, workmanship, or normal wear and tear, with or\nwithout additional provisions for incidental payment of indemnity\nunder limited circumstances, including but not limited to towing,\nrental, and emergency road service;\nb. The repair or replacement of tires or wheels on a motor vehicle\ndamaged as a result of coming into contact with road hazards,\nincluding but not limited to potholes, rocks, wood debris, metal\nparts, glass, plastic, curbs, or composite scraps;\nc. The removal of dents, dings, or creases on a motor vehicle that can\nbe repaired using the process of paintless dent removal without\naffecting the existing paint finish and without replacing vehicle\nbody panels, sanding, bonding, or painting;\nd. The repa ir of chips or cracks in or the replacement of motor\nvehicle windshields as a result of damage caused by road hazards,\nincluding but not limited to potholes, rocks, wood debris, metal\nparts, glass, plastic, curbs, or composite scraps; or\ne. The replacement of a motor vehicle key or key fob if the key or\nkey fob becomes inoperable or is lost or stolen.\nThe term \"service contract\" does not include a contract for regular\nmaintenance only or a product warranty provided under the Magnuson -\nMoss Warranty Act, 15 U.S.C. secs. 2301 et seq.; and\n3. \"Service contract provider\" means the person who is contractually\nobligated to the purchaser of a service contract under the terms of the\nservice contract.\nThe requirement that the service contract provider have an insura nce policy\nshall not apply where the service contract provider is a manufacturer or\ndistributor of motor vehicles or a wholly owned subsidiary of a manufacturer\nor distributor; and\n(q) Miscellaneous. Insurance against any other kind of loss, damage, or lia bility\nproperly a subject of insurance and not within any other kind of insurance as\ndefined in this subtitle, if the insurance is not disapproved by the\ncommissioner as being contrary to law or public policy. A service contract to\nrepair, replace, or main tain consumer products shall not be insurance, if the\nmaker of the service contract registers with the commissioner and provides:\n1. Evidence of a sufficient net worth, as determined by the commissioner,\nto assure the performance of the duties of the maker  created by all of the\ncontracts made by the maker; or\n2. Evidence of an insurance policy or performance bond with an authorized\ninsurer as defined in KRS 304.1 -100, to assure the performance of the\nduties of the maker created by all of the service contrac ts made by the\nmaker.\nAs set forth in subparagraph 2. of this paragraph, if the maker of the service\ncontract is unable to perform the duties imposed thereby, the purchaser of the\nservice contract shall then be considered a policyholder of the insurer. Th e\nservice contract shall conspicuously state the name and address of the licensed\nunderwriting insurer and contain a statement that the holder shall be entitled\nto make a direct claim against the insurer upon the failure of the maker to pay\nany claim within sixty (60) days after the claim has been filed with the maker.\nThe requirements of this paragraph shall not apply where the maker is a\nmanufacturer of consumer products. If the maker of the service contract\nregisters with the commissioner and subsequentl y determines that the\ninformation submitted pursuant to subparagraph 1. of this paragraph no longer\nreflects a sufficient net worth as determined by the commissioner, to assure\nthe performance of the duties of the maker created by all of the contracts made\nby the maker, the maker shall notify the commissioner of the change in\ncircumstances. Each registration filing with the commissioner shall be filed\nwithin thirty (30) calendar days in advance of the selling of service contracts\nto repair, replace, or main tain consumer goods. The commissioner is\nauthorized to promulgate administrative regulations pursuant to KRS Chapter\n13A to effectuate this paragraph.\n(2) Provision of medical, hospital, surgical, and funeral benefits and of coverage\nagainst accidental dea th or injury, as incidental to and part of other insurance as\nstated under paragraphs (a) (vehicle), (b) (liability), (d) (burglary), (g) (boiler\nmachinery), (j) (malpractice), and (k) (elevator) of subsection (1) of this section\nshall for all purposes be deemed to be the same kind of insurance to which it is so\nincidental, and shall not be subject to provisions of this code applicable to life and\nhealth insurances.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=45039","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:38Z","sha256":"51afc7682cee6f7b63a74c4bef2de1a458ef9194e26be4ba6661d2114d5a7e84","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.5-060","next":"us-ky/krs-304.5-080"},"notice":"GroundRules: Original legal text. Not legal advice."}