The purpose of this subtitle is to protect the persons specified in KRS § 304.42-030(1), subject to certain limitations, against failure in the performance of contractual obligations under life, health, and annuity policies, plans, or contracts specified in KRS § 304.42-
030(2) because of the impairment or insolvency of the member insurer that issued the policies, plans, or contracts. To provide this protection:

Terms Used In Kentucky Statutes 304.42-020

  • Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
  • Association: means the Kentucky Life and Health Insurance Guaranty Association created under KRS §. See Kentucky Statutes 304.42-050
  • Member insurer: means any insurer or health maintenance organization licensed or authorized to transact in this state any kind of insurance or health maintenance organization business for which coverage is provided under KRS §. See Kentucky Statutes 304.42-050

(1) An association of member insurers is created to pay benefits and to continue coverages as limited by this subtitle; and
(2) Member insurers of the association are subject to assessment to provide funds to carry out the purpose of this subtitle.
Effective: June 27, 2019
History: Amended 2019 Ky. Acts ch. 70, sec. 1, effective June 27, 2019. — Amended
1998 Ky. Acts ch. 537, sec. 1, effective July 15, 1998. — Created 1978 Ky. Acts ch.
282, sec. 2, effective June 17, 1978.