Kentucky prejudgment interest rate
United States Kentucky prejudgment interest depends on the claim; 8% is a legal reference, not a universal award.
→ All Kentucky judgment & prejudgment interest rates
Fixed by statute Claim-dependent
2026 Kentucky prejudgment interest at a glance
- Current rate
- up to 8% per year
- Effective date
- July 14, 2018
- Controlling authority
- KRS 360.010(1) and Kentucky case law
- Rate basis
- Fixed by statute
- Source checked
- July 19, 2026
- Recorded history
- 1 data point
Kentucky’s legal rate is 8% per year under KRS 360.010(1), but that figure is not automatic for every prejudgment claim. Kentucky authority distinguishes liquidated or readily ascertainable sums from unliquidated damages. For an unliquidated claim, a court may award no prejudgment interest or select a rate up to the legal rate, and the court may choose simple or compound treatment.
When Kentucky prejudgment interest applies
Prejudgment interest is generally available as a matter of right on a liquidated claim whose amount is fixed or readily ascertainable, while an award on unliquidated damages is equitable and discretionary. A written agreement or a claim-specific statute may supply a different rule or rate.
When it starts accruing
For a qualifying liquidated claim, interest generally runs from the time the payment became due or the amount became fixed through entry of judgment. An unliquidated award depends on the court’s equitable findings, so the start date cannot be safely inferred from the 8% legal-rate statute alone.
Simple or compound
Do not assume a single method. Kentucky appellate authority treats simple-versus-compound prejudgment interest on an unliquidated claim as part of the court’s discretion. The calculator remains withheld because entitlement, rate, start date, and compounding are not deterministic across claim types.
How the rate is set
KRS 360.010(1) supplies an 8% annual legal reference rate. It is a ceiling/reference for the discretionary unliquidated path, not a promise that every successful claimant receives 8%.
→ Compare with the Kentucky post-judgment interest rate (interest after judgment)
KRS 360.010(1) states an 8% annual legal rate, but 8% is not an automatic prejudgment award for every claim. Kentucky authority distinguishes liquidated claims from unliquidated damages; for an unliquidated claim, the court may award no interest or select a rate up to the legal rate, and may choose simple or compound treatment. A written agreement or claim-specific statute can control. The headline is a ceiling/reference rate, not a guaranteed recovery. Not legal advice.
Current recorded observation
| Effective date | Rate | Basis |
|---|---|---|
| July 14, 2018 | up to 8% | Statute |
Source & provenance
Observation recorded July 19, 2026 (00:00 UTC) from the cited source (Kentucky General Assembly and Kentucky Court of Appeals (official)):
https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=47989
Cite this page
StatuteRates. “Kentucky Prejudgment Interest Rate.” StatuteRates.com. Accessed today. https://statuterates.com/rates/kentucky-prejudgment-rate/ Rate recorded under KRS 360.010(1) and Kentucky case law, effective July 14, 2018.