(1) No person shall make any deceptive statement or omit material facts in connection with solicitation for membership in a liability self-insurance group.
(2) Liability self-insurance groups shall not engage in unfair claims settlement practices and shall:

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Terms Used In Kentucky Statutes 304.48-240

  • Attorney: means attorney-at-law. See Kentucky Statutes 446.010
  • Contract: A legal written agreement that becomes binding when signed.
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
  • Statute of limitations: A law that sets the time within which parties must take action to enforce their rights.

(a) Respond to claimant inquiries within fifteen (15) working days.
(b) Respond to Department of Insurance inquiries concerning claims within fifteen (15) working days.
(c) Complete the investigation of losses within thirty (30) days from the date the group has notice of a loss. An additional thirty (30) day period may be taken if reasonably necessary and upon written notice to the claimant.
(d) Not continue negotiations for settlement of a claim directly with a claimant who is neither an attorney nor represented by an attorney until the claimant’s rights may be affected by a statute of limitations, a policy, or contract time limit without giving the claimant written notice at least sixty (60) days before the date on which the time limit shall expire and affect the claimant’s rights.
(e) Not commit any other unfair or deceptive act or practice, as described in
Subtitle 12 of this chapter, relating to claim settlement.
(3) Liability self-insurance groups shall not commit unfair or deceptive acts or practices, as described in Subtitle 12 of this chapter, under its certificate of filing from the commissioner.
Effective: July 15, 2010
History: Amended 2010 Ky. Acts ch. 24, sec. 1603, effective July 15, 2010; and ch. 48, sec. 6, effective July 15, 2010. — Created 1994 Ky. Acts ch. 358, sec. 24, effective July 15, 1994.
Legislative Research Commission Note (7/15/2010). This section was amended by
2010 Ky. Acts chs. 24 and 48, which do not appear to be in conflict and have been codified together.