Kentucky Statutes 304.39-140 – Optional additional benefits
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(1) On and after July 1, 1975, each reparation obligor of the owner of a vehicle required to be registered in this Commonwealth shall, upon the request of a reparation insured, be required to provide added reparation benefits for economic loss in units of ten thousand dollars ($10,000) per person subject to the lesser of:
(a) Forty thousand dollars ($40,000) in added reparation benefits; or
(b) The limit of security provided for liability to any one (1) person in excess of the requirements of KRS § 304.39-110(1)(a).
(2) Each basic reparation obligor shall be permitted to incorporate in added reparation benefits coverage such terms, conditions and exclusions as may be consistent with premiums charged. The amounts payable under added reparation benefits may be duplicative of benefits received from collateral source benefits, or may provide for reasonable waiting periods, deductibles or coinsurance provision. The added reparation obligor shall be subrogated, subject to KRS § 304.39-070 and KRS § 304.39-300, to the injured person’s right of recovery against any responsible third party.
(3) If the injured person, or injured persons, is entitled to damages under KRS § 304.39-
060 from the liability insurer of a second person, a self-insurer or an obligated government, collection of such damages shall have priority over the rights of the subrogee for its reimbursement of basic or added reparation benefits paid to or in behalf of such injured person or persons.
(4) Basic reparation insurers shall make available upon request deductibles in the amounts of two hundred fifty dollars ($250), five hundred dollars ($500) and one thousand dollars ($1,000) from all basic reparation benefits otherwise payable, except that if two (2) or more basic reparation insureds to whom the deductible is applicable under the contract of insurance are injured in the same accident, the aggregate amount of the deductible applicable to all of them shall not exceed the specified deductible, which amount where necessary shall be allocated equally among them. Any person who is a basic reparation insured under an insurance policy issued with no deductible or with a deductible of a lesser amount than that under which he receives basic reparation benefits payments, shall be entitled to be paid under such policy the difference between the benefits he is actually paid and the benefits which would have been paid had his benefits been payable under such policy.
(5) Reparation obligors shall make available upon request to those persons who have rejected their tort limitations, in accordance with KRS § 304.39-060(4), basic reparation benefits coverage and added reparation benefits.
Effective: June 17, 1978
History: Amended 1978 Ky. Acts ch. 215, sec. 3, effective June 17, 1978. — Created
1974 Ky. Acts ch. 385, sec. 14, effective July 1, 1975.
(a) Forty thousand dollars ($40,000) in added reparation benefits; or
Terms Used In Kentucky Statutes 304.39-140
- Basic reparation insured: means :
(a) A person identified by name as an insured in a contract of basic reparation insurance complying with this subtitle. See Kentucky Statutes 304.39-020 - Contract: A legal written agreement that becomes binding when signed.
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Loss: means accrued economic loss consisting only of medical expense, work loss, replacement services loss, and, if injury causes death, survivor's economic loss and survivor's replacement services loss. See Kentucky Statutes 304.39-020
- Owner: means a person, other than a lienholder or secured party, who owns or has title to a motor vehicle or is entitled to the use and possession of a motor vehicle subject to a security interest held by another person. See Kentucky Statutes 304.39-020
- Reparation obligor: means an insurer, self-insurer, or obligated government providing basic or added reparation benefits under this subtitle. See Kentucky Statutes 304.39-020
- Security: means any continuing undertaking complying with this subtitle, for payment of tort liabilities, basic reparation benefits, and all other obligations imposed by this subtitle. See Kentucky Statutes 304.39-020
- Tort: A civil wrong or breach of a duty to another person, as outlined by law. A very common tort is negligent operation of a motor vehicle that results in property damage and personal injury in an automobile accident.
(b) The limit of security provided for liability to any one (1) person in excess of the requirements of KRS § 304.39-110(1)(a).
(2) Each basic reparation obligor shall be permitted to incorporate in added reparation benefits coverage such terms, conditions and exclusions as may be consistent with premiums charged. The amounts payable under added reparation benefits may be duplicative of benefits received from collateral source benefits, or may provide for reasonable waiting periods, deductibles or coinsurance provision. The added reparation obligor shall be subrogated, subject to KRS § 304.39-070 and KRS § 304.39-300, to the injured person’s right of recovery against any responsible third party.
(3) If the injured person, or injured persons, is entitled to damages under KRS § 304.39-
060 from the liability insurer of a second person, a self-insurer or an obligated government, collection of such damages shall have priority over the rights of the subrogee for its reimbursement of basic or added reparation benefits paid to or in behalf of such injured person or persons.
(4) Basic reparation insurers shall make available upon request deductibles in the amounts of two hundred fifty dollars ($250), five hundred dollars ($500) and one thousand dollars ($1,000) from all basic reparation benefits otherwise payable, except that if two (2) or more basic reparation insureds to whom the deductible is applicable under the contract of insurance are injured in the same accident, the aggregate amount of the deductible applicable to all of them shall not exceed the specified deductible, which amount where necessary shall be allocated equally among them. Any person who is a basic reparation insured under an insurance policy issued with no deductible or with a deductible of a lesser amount than that under which he receives basic reparation benefits payments, shall be entitled to be paid under such policy the difference between the benefits he is actually paid and the benefits which would have been paid had his benefits been payable under such policy.
(5) Reparation obligors shall make available upon request to those persons who have rejected their tort limitations, in accordance with KRS § 304.39-060(4), basic reparation benefits coverage and added reparation benefits.
Effective: June 17, 1978
History: Amended 1978 Ky. Acts ch. 215, sec. 3, effective June 17, 1978. — Created
1974 Ky. Acts ch. 385, sec. 14, effective July 1, 1975.