Kentucky Revised Statutes

Ky. Rev. Stat. § 342.760 (2026)

Uninsured employers' fund

✓ current as of May 2026
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(1) There is hereby authorized in the Education and Labor Cabinet an uninsured employers' fund for the purpose of making payments in accordance with the provisions of subsection (4) of this section. The secretary of the Education and Labor Cabinet shall be the custodian of the fund, and all moneys and securities in the fund shall be held in trust by the secretary of the Education and Labor Cabinet and shall not be considered a part of the general funds of the state. (2) The secretary of the Education and Labor Cabinet is authorized to disburse moneys from the fund only upon written order of the administrative law judge or the board. (3) All amounts collected as fines and penalties under this chapter shall be paid into the uninsured employers' fund. (4) The uninsured employers' fund shall be responsible for the payment of compensation when there has been default in the payment of compensation due to the failure of an employer to secure payment of compensation as provided by this chapter. Such employer shall be liable for payment into the fund of all the amounts authorized to be paid therefrom under the authority of this subsection including reimbursement of the special fund of all liability apportioned to it and for the purposes of enforcing this liability the Education and Labor Cabinet, for the benefit of the fund, shall be subrogated to all the rights of the person receiving such compensation from the fund. This provision shall apply to all pending claims upon which a final order has not been entered. (5) In furtherance of this purpose, the Attorney General shall appoint a member or members of his or her staff or special counsel to represent the fund in all proceedings brought to enforce claims against or on behalf of the fund. Necessary expenses for this purpose including salaries of said staff or special counsel shall be borne by the fund. The Education and Labor Cabinet shall be responsible for the administration of the uninsured employers' fund and shall be charged with the conservation of the assets of the fund. (6) On December 29, 1987, the liabilities of the uninsured employers' fund and its assets remaining in the State Treasury shall be transferred to the uninsured employers' fund created within the Education and Labor Cabinet pursuant to this section. Effective:July 1, 2022 History: Amended 2022 Ky. Acts ch. 236, sec. 164, effective July 1, 2022. -- Amended 2010 Ky. Acts ch. 24, sec. 1847, effective July 15, 2010. -- Amended 2000 Ky. Acts ch. 514, sec. 33, effective July 14, 2000. -- Amended 1996 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 32, effective December 12, 1996. -- Amended 1987 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 73, effective October 26, 1987. -- Amended 1978 Ky. Acts ch. 256, sec. 5, effective June 17, 1978. -- Amended 1976 Ky. Acts ch. 160, sec. 10. -- Amended 1974 Ky. Acts ch. 74, Art. II, sec. 9(2). -- Created 1972 Ky. Acts ch. 78, sec. 19.

Notes of Decisions
Cited in 22 cases (1 in the last 5 years), 1974–2023 · leading case: Bradley v. Commonwealth, 301 S.W.3d 27 (Ky. 2009).
Bradley v. Commonwealth, 301 S.W.3d 27 (Ky. 2009). · cites it 6× “We view KRS 342.760 and KRS 342.790 as holding the UEF responsible for the uninsured employer’s entire liability for income benefits, including interest on past-due benefits, and as permitting the UEF to recover liquidated damages from the employer with interest.”
Brown v. Indiana Ins. Co., 184 S.W.3d 528 (Ky. 2005). · cites it 2× “KRS 342.760(4). In addition, KRS 342.690(2) authorizes the estates to sue for tort damages *533 in circuit court, subject to an offset for any workers' compensation benefits received.”
Davis v. Turner, 519 S.W.2d 820 (Ky. Ct. App. 1975). · cites it 3× “By section 19 of that Act, compiled as KRS 342.760, an Uninsured Employers’ Fund was created.”
Whitehead v. Davis, 692 S.W.2d 801 (Ky. 1985). · cites it 3× ““KRS 342.760 provides for the Uninsured Employers’ Fund.”
Uninsured Employers' Fund v. Bradley, 244 S.W.3d 741 (Ky. Ct. App. 2007). “KRS 342.760 provides that the UEF shall have liability “for the payment of compensation when there has been a default in the payment of compensation due to the failure of an employer to secure payment of compensation.”
Davis v. Goodin, 639 S.W.2d 381 (Ky. Ct. App. 1982). · cites it 2× “020(1), a default as mentioned in KRS 342.760(4) and 803 KAR 25:010(24) must be a default of all of the employers and not just one of them before statutory liability attaches to the uninsured employers’ fund.”
Davis v. Hensley, 256 S.W.3d 16 (Ky. 2008). “Moreover, KRS 342.760 protects the employees of an uninsured employer by placing secondary liability on the Uninsured Employers’ Fund.”
Tri-Gem Coal Co. v. Whitaker, 661 S.W.2d 785 (Ky. Ct. App. 1983). “If default in the payment of compensation to him should result due to the company’s failure to secure payment of such compensation, he is entitled to benefits payable from the Uninsured Employers’ Fund provided for in KRS 342.760. Whitaker testified that signing the rejection…”
Davis v. Baker, 530 S.W.2d 370 (Ky. Ct. App. 1975). · cites it 2× “The Uninsured Employers’ Fund (KRS 342.760) appeals from a judgment reversing an order of the Workmen’s Compensation Board which had denied a claim asserted by the appellee Thomas Baker against his last employer, the appellee Jerry Lynn Coal Corporation.”
Yocom v. Campbell, 536 S.W.2d 470 (Ky. 1976). “KRS 342.760(4). Davis v. Turner, Ky., 519 S.”
In Re Bersaglia, 254 B.R. 376 (Bankr. E.D. Ky. 2000). “The UEF, pursuant to KRS 342.760(4), shall be responsible for the payment of compensation when there has been default in the payment of compensation due to the failure of an employer to secure payment of compensation as provided by this chapter.”
Uninsured Employers' Fund v. City of Salyersville, 260 S.W.3d 773 (Ky. 2008). “Moreover, KRS 342.760 protects the employees of an uninsured employer by placing secondary liability on the Uninsured Employers’ Fund.”
— Ky. Rev. Stat. § 342.760(1) — 1 case
Bradley v. Commonwealth, 301 S.W.3d 27 (Ky. 2009). “We view KRS 342.760 and KRS 342.790 as holding the UEF responsible for the uninsured employer’s entire liability for income benefits, including interest on past-due benefits, and as permitting the UEF to recover liquidated damages from the employer with interest.”
— Ky. Rev. Stat. § 342.760(3) — 1 case
Bradley v. Commonwealth, 301 S.W.3d 27 (Ky. 2009). “We view KRS 342.760 and KRS 342.790 as holding the UEF responsible for the uninsured employer’s entire liability for income benefits, including interest on past-due benefits, and as permitting the UEF to recover liquidated damages from the employer with interest.”
— Ky. Rev. Stat. § 342.760(4) — 13 cases
Brown v. Indiana Ins. Co., 184 S.W.3d 528 (Ky. 2005). “KRS 342.760(4). In addition, KRS 342.690(2) authorizes the estates to sue for tort damages *533 in circuit court, subject to an offset for any workers' compensation benefits received.”
Bradley v. Commonwealth, 301 S.W.3d 27 (Ky. 2009). “We view KRS 342.760 and KRS 342.790 as holding the UEF responsible for the uninsured employer’s entire liability for income benefits, including interest on past-due benefits, and as permitting the UEF to recover liquidated damages from the employer with interest.”
Davis v. Goodin, 639 S.W.2d 381 (Ky. Ct. App. 1982). “020(1), a default as mentioned in KRS 342.760(4) and 803 KAR 25:010(24) must be a default of all of the employers and not just one of them before statutory liability attaches to the uninsured employers’ fund.”
Davis v. Turner, 519 S.W.2d 820 (Ky. Ct. App. 1975). “By section 19 of that Act, compiled as KRS 342.760, an Uninsured Employers’ Fund was created.”
Yocom v. Campbell, 536 S.W.2d 470 (Ky. 1976). “KRS 342.760(4). Davis v. Turner, Ky., 519 S.”
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