2006 Kentucky Revised Statutes - .090   Premiums and refunds.

304.19-090 Premiums and refunds. (1) Any insurer may revise its schedules of premium rates from time to time, and shall file such revised schedules with the executive director. No insurer shall issue any credit life insurance or credit health insurance policy for which the premium rate exceeds that determined by the schedules of such insurer as then on file with the executive director. (2) Each individual policy or group certificate shall provide that in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of an amount paid by the debtor for insurance shall be paid or credited promptly to the person entitled thereto. The executive director shall prescribe a minimum refund and no refund which would be less than such minimum need be made. The formula to be used in computing such refund shall be filed with and approved by the executive director. Nothing contained in this section shall require the debtor to surrender any policy or group certificate for cancellation or termination solely because the indebtedness has been paid in full prior to the scheduled maturity date nor require the insurer to return any premiums. (3) When a debtor purchases credit life insurance or credit health insurance and an individual policy or group certificate of insurance is not issued, the creditor shall immediately give written notice to such debtor and shall promptly make an appropriate credit to the account. (4) The amount charged to a debtor for any credit life insurance or credit health insurance shall not exceed the premiums charged by the insurer, as computed at the time the charge to the debtor is determined. (5) Nothing in this subtitle shall be construed to authorize any payments for insurance now prohibited under any statute, or rule thereunder, governing credit transactions. Effective: June 18, 1970 History:Created 1970 Ky. Acts ch. 301, subtit. 19, sec. 9, effective June 18, 1970. Legislative Research Commission Note (6/20/2005). 2005 Ky. Acts chs. 11, 85, 95, 97, 98, 99, 123, and 181 instruct the Reviser of Statutes to correct statutory references to agencies and officers whose names have been changed in 2005 legislation confirming the reorganization of the executive branch. Such a correction has been made in this section.