This is a plain-English guide to Kentucky insurance laws covering state minimum coverage requirements, no-fault auto rules, credit-based scoring, roof settlement law, wind/hail deductible rules, and the Kentucky Department of Insurance complaint process. Sources cited throughout.
Compiled by Blake Boswell, licensed Kentucky property & casualty producer. Updated July 2026. Not legal advice — for specific legal questions consult a Kentucky-licensed attorney.
Kentucky auto insurance minimums (KRS 304.39)
- $25,000 bodily injury per person
- $50,000 bodily injury per accident
- $25,000 property damage per accident
- $10,000 Personal Injury Protection (PIP) — Kentucky is a no-fault state
Is Kentucky a no-fault state?
Yes. Under KRS 304.39, Kentucky is a modified no-fault state. Drivers can opt out of the no-fault system in writing (few do) and can sue for damages exceeding certain thresholds. PIP pays medical bills up to $10,000 regardless of who caused the wreck.
Kentucky uninsured driving penalties (KRS 304.99-060)
Driving without required insurance is a Class B misdemeanor. First offense: fine of $500-$1,000 plus 90-day license suspension. Second offense within 5 years: fine of $1,000-$2,500 plus 180-day suspension. Vehicle can be impounded.
Credit-based insurance scoring in Kentucky
Kentucky allows credit-based insurance scoring in both home and auto rating. Kentucky consumers can request their score once per year at no cost. A tier change (preferred to standard, standard to nonstandard) typically moves premium 15-30% at the same carrier.
Roof settlement rules
Kentucky does not prohibit Actual Cash Value roof settlement. Most carriers now write ACV settlement on roofs over 15-20 years old, meaning depreciation is deducted at claim time. Erie is one of the few carriers still writing Replacement Cost Value on qualifying older roofs.
Wind and hail deductibles
Kentucky allows percentage-of-dwelling wind/hail deductibles. Most major carriers have shifted from flat $1,000 all-perils deductibles to 1-2% wind/hail deductibles. Read your declarations page for your specific deductible structure.
Kentucky Department of Insurance complaint process
If you have a complaint about your insurance carrier or a claim denial you believe is wrongful, file with the Kentucky Department of Insurance:
- Online: insurance.ky.gov consumer complaint form
- Phone: 1-800-595-6053
- Mail: Kentucky Department of Insurance, PO Box 517, Frankfort, KY 40602
The DOI reviews all consumer complaints and can compel the carrier to respond. This is documented in the KY DOI complaint index — publicly viewable.
Kentucky rate filing database
All Kentucky insurance rate changes must be filed with the Department of Insurance before taking effect. The Kentucky DOI SERFF filing database (insurance.ky.gov) is publicly searchable — you can see exactly what rate changes each carrier has filed and the effective date.
Producer licensing verification
Anyone selling insurance in Kentucky must be a licensed Kentucky producer. Verify at insurance.ky.gov’s producer lookup. Blake Boswell (owner, Boswell Insurance Agency LLC) is a licensed Kentucky property & casualty producer.
