{"data":{"id":"us-ky/krs-342.350","jurisdiction":"us-ky","citation":"KRS 342.350","heading":"Mutual insurance associations and reciprocal or interinsurance exchanges","body":"for compensation claims -- Reinsurance -- Self-insured groups -- Power to\ncontract, sue, and be sued.    (Effective until July 15, 2027)\n(1) In order to comply with KRS 342. 340, groups of employers may form, either\namong themselves or with employers in other states, mutual insurance associations,\nor reciprocal or interinsurance exchanges subject to the insurance laws of this state\nand any reasonable conditions and restriction s not inconsistent therewith fixed by\nthe commissioner. Membership in these mutual insurance associations or reciprocal\nor interinsurance exchanges so approved, together with evidence of the payment of\npremiums due, shall be evidence of compliance with KRS 342.340.\n(2) The commissioner may, except as provided in subsection (3), require any mutual\ninsurance association or reciprocal or interinsurance exchange to purchase an\nannuity or to effect reinsurance with a company authorized to transact insurance in\nthis state or to make a deposit with a bank or trust company of this state that shall in\neither case be approved by the commissioner for the purpose of fully securing the\npayment of all deferred installments upon any claim for compensation.\n(3) Any mutual i nsurance association or reciprocal or interinsurance exchange\npossessing a surplus of at least one hundred thousand dollars ($100,000) and not\nless in amount than the capital required of a domestic stock insurance company\ntransacting the same kind of insur ance shall not be required to purchase an annuity\nor effect reinsurance with a company authorized to transact insurance in this state or\nto make a deposit with a bank or trust company of this state for the purpose of fully\nsecuring the payment of all deferred installments upon any claim for compensation.\n(4) In addition, under the provisions of KRS 304.50 -010 and administrative regulations\npromulgated by the commissioner of the Department of Insurance, twenty (20) or\nmore employers with common interests or membership in a bona fide trade\nassociation or two (2) or more city, county, charter county, urban -county, or\nconsolidated local government employers or their agencies may enter into\nagreements to pool their liabilities under this chapter for the purpose o f qualifying\nas self -insured groups. Any heterogeneous self -insured group so authorized may\ncontract and may sue and be sued in the name adopted by the group.\nEffective: June 25, 2013","path":["KRS Chapter 342"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=42295","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:58:31Z","sha256":"cce56277cce972bde03392d7af24104bdcc76d19a12225cc3027ea9546d5c0da","source_id":"us-ky","stale":false,"prev":"us-ky/krs-342.347","next":"us-ky/krs-342.352"},"notice":"GroundRules: Original legal text. Not legal advice."}