Rule detail : 247321

KNY LEG Property, Casualty Contracts

Published on: Mar 20, 2025

KNY LEG passed HB 233 on contracts for goods or services relating to real estate.
Amended KNY LEG 367.620 (definitions), KNY LEG 367.622 (cancellation), KNY LEG 367.624 (contract disclosures), KNY LEG 367.626 (certain contract payments).
Also, KNY LEG 367.627 (noncompliance penalties), KNY LEG 371.160 (conflict of law).
Aim is to expand, clarify insureds' rights under property, casualty insurance contracts.
Bill Provisions
Amends Chapter 367, Consumer Protection, of the Kentucky Revised Statutes.
Property, casualty insurance contracts deemed real estate goods or services contract.
Insureds can cancel property, casualty contracts if insurer denies coverage of a loss.
Mandates certain disclosures, including right to cancel, prior to insurance contracting.
Prohibits mechanic's lien filing against insured re amounts in excess of claim, payment.
Gives individuals, attorney general, right of action against insurers for noncompliance.
Legislative History
On Feb. 4, 2025, bill introduced in House; on Feb. 18, 2025, bill passed in House.
On Mar. 4, 2025, bill introduced in Senate; on Mar. 11, 2025, bill passed in Senate.
On Mar. 15, 2025, HB 233 was signed by the governor, assigned Acts Ch. 15.
Effectiveness
Effective 90 days after official end of session, expected end Mar. 28; so Jun. 26, 2025.

Regulators

KNY LEG

Entity Types

CNSM; Ins

Reference

Ch. 15, Bill, HB233, 3/15/2025; Bill HB 233, 3/11/2025; Citation: *KNY LEG* 367.622, 367.624, 367.626, 367.627, 371.160;

Functions

Claims/Accelerated Benefits; Compliance; Legal; Operations; Sales Practices

Countries

United States of America