815 KAR 30:010. LP gas license; financial responsibility required

Link to law: http://www.lrc.ky.gov/kar/815/030/010.htm
Published: 2015

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      815 KAR 30:010. LP

gas license; financial responsibility required.

 

      RELATES TO: KRS

234.120

      STATUTORY AUTHORITY:

KRS 234.120(3)

      NECESSITY, FUNCTION,

AND CONFORMITY: KRS 234.120 requires the Executive Director to promulgate

reasonable administrative regulations requiring proof of financial

responsibility. This administrative regulation is made to assure persons

injured by LP Gas dealers have some assets against which to recoup some of

their loss. This amendment is necessary to incorporate the 1994 legislative

changes set forth in KRS 234.120.

 

      Section 1. Proof of

Financial Responsibility, Amount. (1) Prior to the issuance or renewal of a

license to engage in the LP gas business as required by KRS 234.120, the

applicant shall submit a certificate of insurance certifying that the applicant

has a valid commercial general liability insurance policy which includes

coverage for completed operations and for damages because of injuries to

persons, damage to their property and any other damage or loss resulting from

or arising out of the LP gas dealer's business, trade, products, services,

premises or operations in the minimum amount of $100,000 for licenses set forth

in KRS 234.120(1)(d), and $500,000 for licenses set forth in KRS 234.120(1)(b),

(c) and (e) and for the business license set forth in KRS 234.120(1)(a) in the

minimum amount of $1,000,000.

      (2) The insurer

shall be an authorized insurer as defined by the Kentucky Department of

Insurance.

      (3) The certificate

of insurance shall be executed by a Kentucky licensed agent as follows:

      (a) Form LPG-1,

Certificate information.

 

LPG-1CERTIFICATE

OF INSURANCE

LP

GAS DEALERS

 

Policy Period:

Name of Insured:

Address:

Name of Insurer:

Address:

Name of Agent/Broker:

Address:

Policy Coverage:

Commercial General Liability, including products and completed operations for

LP Gas Dealer Business, in the following amounts: (Check one)

      Aggregate minimum

limits per incident or occurrence:

      __ $1,000,000__

$500,000__ $100,000

Type of Company: (Check

one)

      Authorized/Admitted

Carrier__

The undersigned hereby

certifies that the above mentioned insurance protection has been issued in the

amounts indicated.

Signature: (KY Licensed

Agent)

 

      (b) Alternate

certificate. In lieu of Form LPG-1, a standard company certificate of insurance

may be used; but, only if all the information listed on the State Fire

Marshal's Form LPG-1 is included.

      (4) Failure to

maintain the required insurance shall void the license. (Recodified from 806

KAR 50:060, 7-5-78; Am. 15 Ky.R. 2300; eff. 7-7-89; 19 Ky.R. 825; eff. 11-9-92;

20 Ky.R. 1700; 2354; eff. 3-14-94; 21 Ky.R. 1792; eff. 3-6-95; TAm eff.

8-9-2007.)