(1) Any domestic stock and mutual insurance company licensed in this state, or any nonprofit hospital, medical-surgical, dental, and health service corporation authorized to do business in this state, may either directly or indirectly through a subsidiary, organize and operate a health maintenance organization under the provisions of this subtitle.
(2) Notwithstanding any provision of KRS Chapter 304, Subtitles 24 and 32 to the contrary, any domestic or stock insurance company licensed in this state or any nonprofit hospital, medical-surgical, dental, and health service corporation authorized to do business in this state, may contract with a health maintenance organization organized under this subtitle to provide protection against the cost of care provided through health maintenance organizations and to provide coverage in the event of the failure of the health maintenance organization to meet its obligations.

Terms Used In Kentucky Statutes 304.38-190

  • Company: may extend and be applied to any corporation, company, person, partnership, joint stock company, or association. See Kentucky Statutes 446.010
  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Corporation: may extend and be applied to any corporation, company, partnership, joint stock company, or association. See Kentucky Statutes 446.010
  • Domestic: when applied to a corporation, partnership, business trust, or limited liability company, means all those incorporated or formed by authority of this state. See Kentucky Statutes 446.010
  • Health maintenance organization: means any person who undertakes to provide, directly or through arrangements with others, health care services to individuals enrolled with such an organization on a per capita or a predetermined, fixed prepayment basis. See Kentucky Statutes 304.38-030
  • State: when applied to a part of the United States, includes territories, outlying possessions, and the District of Columbia. See Kentucky Statutes 446.010

Effective: June 21, 1974
History: Created 1974 Ky. Acts ch. 357, subtit. 38, sec. 19, effective June 21, 1974.