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454.430 Definitions for KRS 454.430 to 454.435.
As used in KRS 454.430 to 454.435:
(1) "Annuity issuer" means an insurer that has issued an annuity contract to be
used to fund periodic payments under a structured settlement;
(2) "Payee" means an individual who is receiving tax-free damage payments
under a structured settlement and who wants to make a transfer of payment
rights under the structured settlement agreement;
(3) "Protected parties" means, with respect to any structured settlement, the
payee, any named beneficiary designated in the annuity contract or structured
settlement to receive payments following the payee's death, or, if the named
beneficiary is a minor, the named beneficiary's parent or guardian, the annuity
issuer, and the structured settlement obligor;
(4) "Qualified assignment agreement" means an agreement providing for a
qualified assignment that meets the requirements of Section 130 of the Internal
Revenue Code, 26 U.S.C. sec. 130, as amended from time to time;
(5) "Settled claim" means the original tort claim resolved by a structured
settlement;
(6) "Structured settlement" means an arrangement for periodic payment of
damages for personal injuries established by settlement or judgment in
resolution of a tort claim;
(7) "Structured settlement obligor" means, with respect to any structured
settlement, the party that has the continuing periodic payment obligation to the
payee under a structured settlement agreement or a qualified assignment
agreement;
(8) "Structured settlement payment rights" means rights to receive periodic
payments, including lump sum payments under a structured settlement,
whether from the settlement obligor or the annuity issuer, where:
(a) The payee or any other protected party is domiciled in this state; or
(b) The settled claim was pending before the courts of this state when the
structured settlement was reached;
(9) "Transfer" means any sale, assignment, pledge, hypothecation, or other form
of alienation or encumbrance made for consideration; and
(10) "Transfer agreement" means the agreement providing for transfer of structured
settlement payment rights from a payee to a transferee.
Effective:July 15, 1998
History: Created 1998 Ky. Acts ch. 409, sec. 1, effective July 15, 1998.
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