{"data":{"id":"us-ky/krs-304.9-020","jurisdiction":"us-ky","citation":"KRS 304.9-020","heading":"Definitions for subtitle.","body":"As used in this subtitle:\n(1) \"Agent\" means a person who sells, solicits, or negotiates insurance or annuity\ncontracts;\n(2) \"Appointment\" means a notification filed with the insurance department that an\ninsurer has established an agency relationship with a producer;\n(3) \"Appointment re newal\" means continuation of an insurer's existing appointment\nbased on payment of the required fee without submission of an appointment form;\n(4) \"Apprentice adjuster\" means an individual who meets the qualification\nrequirements to hold a license as an independent, staff, or public adjuster, except for\nthe experience, education, and training requirements;\n(5) \"Business entity\" means a corporation, association, partnership, limited liability\ncompany, limited liability partnership, employer group, profession al employer\norganization, or other legal entity;\n(6) \"Catastrophe\" means an event that results in a declaration of emergency by the\nGovernor pursuant to KRS 39A.100 and:\n(a) A large number of deaths or injuries;\n(b) Extensive damage or destruction of facil ities that provide and sustain human\nneeds;\n(c) An overwhelming demand on state and local response resources and\nmechanisms;\n(d) A severe long-term effect on general economic activity; or\n(e) A severe effect on state, local, and private sector capabilities to begin and\nsustain response activities;\n(7) \"Crop insurance\" means insurance providing protection against damage to crops\nfrom unfavorable weather conditions, fire or lightning, flood, hail , insect\ninfestation, disease, or other yield -reducing conditions or perils provided by the\nprivate insurance market or that is subsidized by the Federal Crop Insurance\nCorporation, including multi-peril crop insurance;\n(8) \"Home state\" means the District of Columbia and any state or territory of the\nUnited States in which a licensee maintains his or her principal place of residence\nor principal place of business and is licensed by that state;\n(9) \"Independent adjuster\" means a person who:\n(a) Is an independent contractor, an employee of an independent contractor, or for\ntax purposes is treated as an independent contractor under Subtitle C of the\nInternal Revenue Code, 26 U.S.C. sec. 3101 et seq.;\n(b) Is compensated by an insurer or self-insurer; and\n(c) Investigates, negotiates, or settles property, casualty, or workers'\ncompensation claims for insurers or self-insurers;\n(10) \"Insurance producer\":\n(a) Means an individual or business entity required to be licensed under the laws\nof Kentucky to sell, solicit, or negotiate insurance or annuity contracts; and\n(b) Includes an agent, managing general agent, surplus lines broker, reinsurance\nintermediary broker and manager, rental vehicle agent and rental vehicle\nagent managing employee, and consultant;\n(11) \"Limited line credit insurance\" includes credit life, credit disability, credit property,\ncredit unemployment, involuntary unemployment, mortgage life, mortgage\nguaranty, mortgage disability, guaranteed automobile protection insurance, and any\nother form of insur ance offered in connection with an extension of credit that is\nlimited to partially or wholly extinguishing that credit obligation that the\ncommissioner determines should be designated a form of limited line credit\ninsurance;\n(12) \"Limited line credit insu rance agent\" means an individual or business entity who\nsells, solicits, or negotiates one (1) or more forms of limited line credit insurance\ncoverage to individuals through a master, corporate, group, or individual policy;\n(13) \"Limited lines insurance\" means:\n(a) The lines of insurance defined in subsections (7), (11), (23), (27), and (29) of\nthis section; and\n(b) Any other line of insurance that the commissioner identifies in accordance\nwith KRS 304.9 -230(1)(g) or recognizes for the purpose of complying with\nKRS 304.9-140(5);\n(14) \"Negotiate\":\n(a) Means the act of conferring directly with, or offering advice directly to, a\npurchaser or prospective purchaser of a particular contract of insurance\nconcerning any of the substantive benefits, terms, or conditi ons of the\ncontract, provided that the person engaged in that act either sells insurance or\nobtains insurance from insurers for purchasers; and\n(b) Unless the context requires otherwise, does not include negotiating a claims\nsettlement;\n(15) \"Pharmacy bene fit manager\" means an entity that, on behalf of a health benefit\nplan, state agency, insurer, managed care organization providing services under\nKRS Chapter 205, or other third-party payor:\n(a) Contracts directly or indirectly with pharmacies to provide pr escription drugs\nto individuals;\n(b) Administers a prescription drug benefit;\n(c) Processes or pays pharmacy claims;\n(d) Creates or updates prescription drug formularies;\n(e) Makes or assists in making prior authorization determinations on prescription\ndrugs;\n(f) Administers rebates on prescription drugs; or\n(g) Establishes a pharmacy network;\n(16) \"Portable electronics\" means electronic devices that are portable and the accessories\nand services related to the use of the device;\n(17) \"Portable electronics insurance\":\n(a) Means insurance providing coverage for the repair or replacement of portable\nelectronics for any one (1) or more of the following:\n1. Loss;\n2. Theft;\n3. Inoperability due to mechanical failure;\n4. Malfunction;\n5. Damage; or\n6. Other similar causes of loss; and\n(b) Does not include:\n1. A service contract governed by KRS 304.5-070;\n2. A policy of insurance covering a seller's or manufacturer's obligations\nunder a warranty; or\n3. A homeowner's, renter's, private passenger automobile, commercial\nmulti-peril, or similar policy;\n(18) \"Portable electronics insurance supervising entity\" means a business entity that is a\nlicensed insurer or insurance agent that is appointed by an insurer to supervise the\nadministration of a portable electronics insurance program;\n(19) \"Portable electronics retailer\" means a licensed business entity that offers a nd sells\nportable electronic devices and offers and disseminates portable electronics\ninsurance on behalf and under the direction of a portable electronics insurance\nsupervising entity;\n(20) \"Public adjuster\":\n(a) Means any person who:\n1. For compensation or reward paid by or on behalf of an insured, renders\nadvice or assistance to the insured in a first -party claim for loss or\ndamages under any policy, certificate, or contract of insurance covering\nreal or personal property; or\n2. Advertises, solicits busi ness, or holds itself out to the public as an\nadjuster described in subparagraph 1. of this paragraph; and\n(b) Does not include:\n1. An attorney licensed to practice law in Kentucky, when acting in his or\nher professional capacity as an attorney; or\n2. A person employed only for the purpose of obtaining facts surrounding\na loss or furnishing technical assistance to a licensed public adjuster,\nincluding photographers, estimators, private investigators, engineers,\nand handwriting experts;\n(21) \"Rental vehicle agent\" means a business entity with a rental vehicle agent managing\nemployee that is licensed to sell, solicit, or negotiate insurance offered, sold, or\nsolicited in connection with, and incidental to, the rental of rental vehicles, whether\nat the rental o ffice or by preselection of coverage in master, corporate, or group\nagreements that:\n(a) Are nontransferable;\n(b) Apply only to the rental vehicle that is the subject of the rental agreement; and\n(c) Are limited to the following kinds of insurance:\n1. Personal accident insurance for renters and other rental vehicle\noccupants for accidental death or dismemberment and for medical\nexpenses resulting from an accident that occurs with the rental vehicle\nduring the rental period;\n2. Liability insurance that provides protection to the renters and other\nauthorized drivers of a rental vehicle for liability arising from the\noperation or use of the rental vehicle during the rental period;\n3. Personal effects insurance that provides coverag e to renters and other\nvehicle occupants for loss of or damage to personal effects in the rental\nvehicle during the rental period;\n4. Roadside assistance insurance;\n5. Emergency sickness protection insurance; or\n6. Any other coverage designated by the commissioner;\n(22) \"Rental vehicle agent managing employee\" means an individual who:\n(a) Is a salaried full -time employee of a licensed rental vehicle agent business\nentity that holds a license under KRS 304.9-505; and\n(b) Is responsible for the supervision of  the other employees engaged in the\nplacement of insurance;\n(23) \"Rental vehicle insurance\" means insurance underwritten by an insurer authorized\nto transact business in Kentucky that is sold in connection with, and incidental to, a\nrental vehicle agreement;\n(24) \"Sell\" means to exchange a contract of insurance by any means, for money or other\nvaluable consideration, on behalf of an insurer;\n(25) \"Solicit\" means attempting to sell insurance or asking or urging a person to apply\nfor a particular kind of insurance from a particular insurer;\n(26) \"Staff adjuster\" means an individual who is an employee of an insurer who\ninvestigates, negotiates, or settles property, casualty, or workers' compensation\nclaims on behalf of his or her employer;\n(27) \"Surety\" means i nsurance or bond that covers obligation to pay the debts of, or\nanswer for the default of another, including faithlessness in a position of public or\nprivate trust. Surety also includes surety insurance as defined in KRS 304.5-060;\n(28) \"Terminate\" means t he cancellation of the relationship between an insurance\nproducer and the insurer or the termination of an insurance producer's authority to\ntransact insurance;\n(29) \"Travel insurance\" has the same meaning as in KRS 304.52-010;\n(30) \"Uniform business entit y application\" means the current version of the uniform\nbusiness entity application for resident and nonresident business entities; and\n(31) \"Uniform individual application\" means the current version of the uniform\nindividual application for resident and nonresident individuals.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=56892","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:40Z","sha256":"cf4198f7c5325b21be6a0e2364bfef7edef8bb0c68b52347dbdf56dd04b788d8","source_id":"us-ky","stale":false,"prev":"us-ky/krs-304.9-010","next":"us-ky/krs-304.9-030"},"notice":"GroundRules: Original legal text. Not legal advice."}