plant or location may be authorized.
Every policy or contract of workers' compensation insurance under this chapter, issued or
delivered in this state, shall cover the entire liability of the employer for compensation to
each employee subject to this chapter, except as otherwise provided in KRS 342.020,
342.345, or 342.352. However, if specifically authorized by the commissioner, a separate
insurance policy may be issued for a specified plant or work location if the liability of the
employer under this chapter to each employee subject to this chapter is otherwise secured
and provided that no employee transferred from one plant or work location to another
within the employment of the same employer shall thereby lose any benefit rights
accumulated under the average weekly wage concept.
Effective: July 15, 2020
History: Amended 2020 Ky. Acts ch. 36, sec. 42, effective July 15, 2020. -- Amended
2010 Ky. Acts ch. 24, sec. 1826, effective July 15, 2010. -- Amended 1994 Ky. Acts
ch. 181, Part 6, sec. 24, effective April 4, 1994; and ch. 512, Part 6, sec. 21, effective
July 15, 1994. -- Amended 1987 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 44, effective
January 4, 1988. -- Amended 1968 Ky. Acts ch. 159, sec. 1. -- Recodified 1942 Ky.
Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4953.
Notes of Decisions
Blackstone Mining Co. v. Travelers Ins. Co., 351 S.W.3d 193 (Ky. 2011).
· cites it 8× “Thus, I fear the majority's decision will, in the future, severely reduce the premiums paid to support Kentucky's workers' compensation program, while, at the same time, Kentucky's compensation carriers are required by statute to assume the entire workers' compensation liability…”
Custard Ins. Adjusters, Inc. v. Aldridge, 57 S.W.3d 284 (Ky. 2001).
· cites it 3× “) KRS 342.375—makes every workers’ compensation insurance policy subject to the provisions of Chapter 342 and allows the Department of Workers’ Claims to authorize an employer to purchase a separate policy for a specified location.”
AIG/AIU Ins. Co. v. South Akers Mining Co., 192 S.W.3d 687 (Ky. 2006).
· cites it 2× “” KRS 342.375 provides that every policy or contract of insurance “shall cover the entire liability of the employer for compensation to each employee subject to this chapter.”
Old Repub. Ins. Co. v. Begley, 314 S.W.2d 552 (Ky. Ct. App. 1958).
· cites it 4× “KRS 342.375 requires that “Every policy or contract of workmen’s compensation insurance * * * shall cover the entire liability of the employer for compensation under this chapter to everyone of his employees covered by such policy, except as otherwise provided in KRS 342.”
City of Louisville v. Slack, 39 S.W.3d 809 (Ky. 2001).
· cites it 2× “It therefore violates the City of Louisville's right to procedural due process. ARBITRARY POWER By limiting discovery and attorney involvement, the statutory arbitration proceedings promote prompt workers' compensation determinations.”
Globe Indem. Co. v. Doyle, 426 S.W.2d 425 (Ky. Ct. App. 1968).
· cites it 2× “A line on this form for “If not full coverage, state extent of” was left blank. The opinion in Old Republic Insurance Company v.”
Aetna Cas. & Sur. Co. v. Freeman, 427 S.W.2d 220 (Ky. Ct. App. 1968).
· cites it 2× “Since the policy issued by Aetna to Berry described the classification of the operation for which Berry was insured as “Machine Shops” it obligated Aetna to pay the compensation liability of Berry to all of Berry’s employees engaged in that business without respect to the…”
Kentucky League of Cities, Inc. v. Gen. Reinsurance Corp., 174 F. Supp. 2d 532 (W.D. Ky. 2001).
· cites it 12× “First, KRS § 342.375 (1968) provides that “[e]very policy or contract of workers’ compensation under this chapter, issued or delivered in this state, shall cover the entire liability of the employer for compensation to every one of his employees subject to this chapter .”
Jse, Inc., D/B/A Perma Staff II v. Patricia Ahart (Ky. 2021).
· cites it 2× “Since under KRS 342.375, any policy of insurance covers all employees of the insured, the ALJ concluded that Ahart was covered under the KEMI policy as she was an employee of Whaler’s Catch at the time of her injury.”
Blackstone Mining Co. v. Travelers Ins. Co. (Ky. 2010).
· cites it 3× “365 requires that a carrier issuing a policy against liability under [the Act] must agree to pay promptly "all benefits conferred by this chapter and all installments of the compensation that may be awarded or agreed upon" and that the carrier's agreement "shall be construed to…”
Bituminous Cas. Corp. v. Robinson, 476 S.W.2d 839 (Ky. Ct. App. 1972).
“The accident to Robinson occurred in 1966 when KRS 342.375 read as follows: “Every policy or contract of workmen’s compensation insurance under this chapter, issued or delivered in this state, shall cover the entire liability of the employer for compensation under this chapter…”
— Ky. Rev. Stat. § 342.375(1) — 1 case
City of Louisville v. Slack, 39 S.W.3d 809 (Ky. 2001).
“It therefore violates the City of Louisville's right to procedural due process. ARBITRARY POWER By limiting discovery and attorney involvement, the statutory arbitration proceedings promote prompt workers' compensation determinations.”
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