Download as PDF
304.48-150 Membership -- Liability on termination of membership, insolvency,
or bankruptcy.
(1)
(2)
(3)
(4)
An employer joining a liability self-insurance group after the group has been
issued a certificate of filing shall submit an application for membership to the
board of trustees or its administrator and enter into the indemnity agreement.
Membership shall take effect no earlier than each member's date of
application. The application for membership and its approval shall be
maintained as permanent records of the board of trustees.
Individual members of a liability self-insurance group shall be subject to
cancellation by the group pursuant to the bylaws of the group. In addition,
individual group members may elect to terminate their participation in the
group.
A liability self-insurance group shall pay all professional and public liabilities
which are covered under the terms, conditions, and exclusions of the group's
evidence of coverage for which each member incurs liability during its period of
membership. A member who elects to terminate its membership or is canceled
by a group remains liable for professional or public liability obligations which
were incurred during the canceled or terminated group members' period of
membership. A group member is not relieved of its professional or public
liabilities incurred during its period of membership except through payment by
the group or the member of liabilities.
The insolvency or bankruptcy of a group member does not relieve the liability
self-insurance group or any group member of liability for the payment of
professional or public liabilities which are covered under the terms, conditions,
and exclusions of the group's evidence of coverage and incurred during the
insolvent or bankrupt group member's period of membership.
Effective:July 15, 1994
History: Created 1994 Ky. Acts ch. 358, sec. 15, effective July 15, 1994.
Disclaimer: These codes may not be the most recent version. Kentucky may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.