304.2 2-040 Prohibition against guaranteeing obligations executed by others -- Exceptions. An insurer shall not in any manner guarantee the payment of the principal or the interest of bonds or other obligations executed by others, other than (a) in connection with the handling of litigation relating to losses or claims involving the insurer, its insureds, its agents or its attorneys, or (b) in connection with the settlement of such losses or claims, or (c) in the event such guarantee is specifically approved by the commissioner. Effective: July 15, 2010 History: Amended 2010 Ky. Acts ch. 24, sec. 1321, effective July 15, 2010. -- Amended 1972 Ky. Acts ch. 318, sec. 1, effective June 16, 1972. -- Created 1970 Ky. Acts ch. 301, subtit. 22, sec. 4, effective June 1 8, 1970.
Kentucky Legal Code