HB 627 — AN ACT relating to insurance.

UNOFFICIALCHAPTER COPY149 261 RSCHAPTER 149 ( HB 627/EN627 ) AN ACT relating to insurance.

A minor in the custody of a named insured or of a relative residing in the same household with the named insured if he usually makes his home in the same family unit, even though he temporarily lives elsewhere;[.] (4) "Injury" and "injury to person" mean bodily harm, sickness, disease, or death;[.] Page 1 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN (5) "Loss" means accrued economic loss consisting only of medical expense, work loss, replacement services loss, and, if injury causes death, survivor's economic loss and survivor's replacement services loss.

It does not include that portion of a charge for a room in a hospital, clinic, convalescent or nursing home, or any other institution engaged in providing nursing care and related services, in excess of a reasonable and customary charge for semi-privatesemi- private accommodations, unless intensive care is medically required.

or Page 2 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN ii.

Be less than the maximum fee allowed or listed for that expense on the relevant schedule of fees established pursuant to KRS 342.035 that is in effect on the Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY effective date of this Act.

Page 3 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN (e) "Survivor's replacement services loss" means expenses reasonably incurred by survivors after decedent's death in obtaining ordinary and necessary services in lieu of those the decedent would have performed for their benefit if he had not suffered the fatal injury, less expenses of the survivors avoided by reason of the decedent's death and not subtracted in calculating survivor's economic loss;[.] (6) "Use of a motor vehicle" means any utilization of the motor vehicle as a vehicle including occupying, entering into, and alighting from it.

"Motor vehicle" shall not mean moped as defined in this section or an electric low-speed scooter as defined in KRS 189.010;[.] (8) "Moped" means either a motorized bicycle whose frame design may include one (1) or more horizontal crossbars supporting a fuel tank so long as it also has pedals, or a motorized bicycle with a step-through type frame which may or may not have Page 4 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN pedals rated no more than two (2) brake horsepower, a cylinder capacity not exceeding fifty (50) cubic centimeters, an automatic transmission not requiring clutching or shifting by the operator after the drive system is engaged, and capable of a maximum speed of not more than thirty (30) miles per hour;[.] (9) "Public roadway" means a way open to the use of the public for purposes of motor vehicle travel;[.] (10) "Net loss" means loss less benefits or advantages, from sources other than basic and added reparation insurance, required to be subtracted from loss in calculating net loss;[.] (11) "Noneconomic detriment" means pain, suffering, inconvenience, physical impairment, and other nonpecuniary damages recoverable under the tort law of this Commonwealth.

The term does not include a lessee under a lease not intended as security;[.] CHAPTER 149 3 (13) "Reparation obligor" means an insurer, self-insurer, or obligated government providing basic or added reparation benefits under this subtitle;[.] (14) "Survivor" means a person identified in KRS 411.130 as one entitled to receive benefits by reason of the death of another person;[.] (15) A "user" means a person who resides in a household in which any person owns or maintains a motor vehicle;[.] (16) "Maintaining a motor vehicle" means having legal custody, possession or responsibility for a motor vehicle by one other than an owner or operator;

Page 5 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN Section 2.

(f) Medical expense benefits may be paid by the reparation obligor directly to persons supplying products, services, or accommodations to the claimant, if Page 6 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN the claimant so designates.

Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY (2) Overdue payments bear interest at the rate of twelve percent (12%) per annum, except that if delay was without reasonable foundation, the rate of interest shall be eighteen percent (18%) per annum.

(3) (a) A claim for basic or added reparation benefits shall be paid without deduction for the benefits which are to be subtracted pursuant to the provisions on calculation of net loss if these benefits have not been paid to the claimant Page 7 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN before the reparation benefits are overdue or the claim is paid.

(1) For the purposes of this subtitle, a person or entity commits a "fraudulent insurance Page 8 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN act" if he or she engages in any of the following, including but not limited to matters relating to workers' compensation:

Any written or oral statement as part of, or in support of, a claim for payment or other benefit pursuant to an insurance policy or from a "self-"self-insurer" insurer" as defined by KRS Chapter 342, knowing that the statement contains any false, incomplete, or misleading information concerning any fact or thing material to a claim;

Page 9 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN 1.

CHAPTER 149 5 3.

(e) Makes any false or fraudulent representation as to the death or disability of a policy or certificate holder in any written statement or certificate for the Page 10 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN purpose of fraudulently obtaining money or benefit from an insurer;

For a felony, not more than ten thousand dollars ($10,000) per Page 11 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN individual nor one hundred thousand dollars ($100,000) per corporation, or twice the amount of gain received as a result of the violation;

Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY (5) (a) In addition to imprisonment, the assessment of a fine, or both, a person convicted of a crime established in this section may be ordered to make restitution to any victim who suffered a monetary loss due to any actions by that person which resulted in the adjudication of guilt, and to the division for the cost of any investigation.

Page 12 of 13 HB062720.100 - 2005 - XXXX 3/31/2026 7:58 PM Engrossed UNOFFICIAL COPY 26 RS HB 627/EN (b) The claimant shall have the right to recover the damages provided in subsection (6) of this section.

PageBecame 13law ofwithout 13Governor's HB062720.100signature -April 200514, -2026. XXXX 3/31/2026 7:58 PM Engrossed