Okla. Stat. tit. 36, § 36-5001 — OK Code / Title 36 / Section 36-5001
Certificates of authority — Persons not deemed title
Status: in_force

insurers — Issuance of policies.

A. Any foreign or domestic stock insurer authorized by its

corporate charter to engage in business as a title insurer shall be

entitled to the issuance of a certificate of authority as a title

insurer in this state upon meeting the applicable requirements of

Article 6, Authorization of Insurers and General Requirements, of

Oklahoma Statutes - Title 36. Insurance Page 1016

the Oklahoma Insurance Code, except that existing title insurers may

have their certificate of authority renewed by maintaining surplus

in regard to policyholders of not less than Five Hundred Thousand

Dollars ($500,000.00).

B. A person engaged in the business of preparing or issuing

abstracts of, but not guaranteeing or insuring, title to property,

or a person acting only as a title insurance producer appointed by a

title insurer, shall not be deemed to be a title insurer.

C. Every commitment and policy of title insurance issued by any

insurance company authorized to do business in this state shall be

countersigned by some person, partnership, corporation or agency

actively engaged in the real estate title business and maintaining

an office in the state, who is a duly appointed a title insurance

producer for a title insurance company holding a valid license and

authorized to do business in the state; provided, that no commitment

or policy of title insurance shall be issued in the State of

Oklahoma except:

1. After examination by an attorney licensed to practice in

this state of a duly certified abstract extension or supplemental

abstract prepared by an abstractor licensed in the county where the

property is located, from a certified abstract plant in the county

where the property is located or per a temporary certificate of

authority as provided in Section 33 of Title 1 of the Oklahoma

Statutes, from the effective date of a prior owner's policy of title

insurance issued by a title insurer licensed in this state provided

by the insured, the prior title insurance producer or the prior

title insurer, at the time a valid order is placed pursuant to the

provisions of the Oklahoma Abstractors Law brought forward to the

effective date of the abstract plant. Subject to the conditions and

stipulations, the exclusions from coverage, exceptions from coverage

and endorsements to the policy, any policy issued based on a prior

owner's policy and a supplemental abstract shall insure the insured

against loss or damage sustained or incurred by reason of

unmarketability of title from sovereignty to the effective date of

the policy, not to exceed the amount of insurance stated in the

policy; or

2. If a prior owner's policy of title insurance is not

provided, then a title insurance commitment and policy may be issued

after examination by an attorney licensed to practice in this state

of a duly certified abstract of title prepared by a bonded and

licensed abstractor as defined in the Oklahoma Abstractors Law.

D. If the current owner or insured, or the owner's or insured's

authorized agent requests, in writing, a copy of any previously

issued owner's policy, the title insurance producer or the title

insurer that issued the policy shall provide the requesting party

with a copy of the schedules in the previously issued policy, at no

Oklahoma Statutes - Title 36. Insurance Page 1017

charge, within three (3) business days, unless there exists an

unavoidable delay.

E. As used in this section, the term "representative" shall

mean a person authorized to act on behalf of or in place of another

in the current transaction.

F. Every title insurance producer, title insurer or person who

conducts a real estate closing that presents, for filing in the

office of the county clerk, an instrument of conveyance or vesting

title in connection with a transaction in which an owner's policy of

title insurance is to be issued by a title insurance producer or

title insurer that is based upon such instrument shall place a

legend within the instrument that sets forth the following

information:

Deed presented for filing by: [Name of title insurance

producer, title insurer or person conducting closing]

File Number: [File Number of title insurance producer, title

insurer or person conducting closing]

[Name of Title Insurer designated in the Commitment for Title

Insurance]

G. The Insurance Department shall maintain, for each title

insurance producer or title insurer holding a valid license and

authorized to do business in the state, contact information for the

office or person responsible for making available copies of owner's

policies pursuant to this statute and shall make such contact

information generally available to the public on its website and by

telephone request.

H. The Insurance Commissioner may promulgate rules and

regulations to carry out the provisions of this section.
Okla. Stat. tit. 36, § 36-1426 — OK Code / Title 36 / Section 36-1426
Renumbered as § 1435.10 of this title by Laws 2001, c
Status: in_force

156, § 35, eff. Nov. 1, 2001.
Okla. Stat. tit. 36, § 36-6220.1 — OK Code / Title 36 / Section 36-6220.1
Prohibition on pecuniary interest in construction
Status: in_force

businesses - Penalties - Exceptions.

A. No adjuster may, directly or indirectly, own or have a

pecuniary interest in any business entity which provides

construction or reconstruction related services on behalf of an

insurance claimant or insured for which the adjuster is providing

services, nor may the adjuster, directly or indirectly, own or have

a pecuniary interest in any other business entity which furnishes

any supplies, material, services, or equipment purchased by or on

behalf of the claimant or insured in settlement of the claim, other

than usual and customary supplies, materials, services, or equipment

utilized in the adjusting process.

B. Any person who violates the provisions of this section shall

be subject to disciplinary action or a civil fine, or both, as set

forth in Section 6220 of this title.

C. This section shall not apply to an adjuster providing

services on a claim which is located in a municipality having a

population of less than six thousand (6,000) persons; provided,

however, the adjuster shall give written disclosure of the potential

conflict of interest to both the insured and insurer prior to the

performance of any adjuster services.

D. The restrictions set forth in subsection A of this section

shall apply regardless of whether the person or entity has obtained

power of attorney from an insurance claimant or has entered into any

other agreement with an insurance claimant to act on the behalf of

the claimant.
Okla. Stat. tit. 36, § 36-1120 — OK Code / Title 36 / Section 36-1120
Records of insureds
Status: in_force

Upon request of the Insurance Commissioner any person in

Oklahoma who is the insured under any policy issued by a surplus

lines insurer upon a subject of insurance resident, located, or to

be performed in Oklahoma at the time the policy was issued, or where

the insured's home state is Oklahoma, shall produce for examination

all policies and other documents evidencing and relating to the

insurance, and shall disclose the amount of the gross premiums paid

or agreed to be paid for the insurance, through whom the insurance

was procured, and such other information relative to the placing of

the insurance as may reasonably be required by the Insurance

Commissioner.
Okla. Stat. tit. 36, § 36-6964 — OK Code / Title 36 / Section 36-6964
Formulary to identify drugs that offer greatest value
Status: in_force

A. A health insurer's pharmacy and therapeutics committee (P&T

committee) shall establish a formulary, which shall be a list of

prescription drugs, both generic and brand name, used by

Oklahoma Statutes - Title 36. Insurance Page 1438

practitioners to identify drugs that offer the greatest overall

value.

B. A health insurer shall prohibit conflicts of interest for

members of the P&T committee.

1. A person may not serve on a P&T committee if the person is

currently employed or was employed within the preceding year by a

pharmaceutical manufacturer, developer, labeler, wholesaler or

distributor.

2. A health insurer shall require any member of the P&T

committee to disclose any compensation or funding from a

pharmaceutical manufacturer, developer, labeler, wholesaler or

distributor. Such P&T committee member shall be recused from voting

on any product manufactured or sold by such pharmaceutical

manufacturer, developer, labeler, wholesaler or distributor.
Okla. Stat. tit. 36, § 36-902 — OK Code / Title 36 / Section 36-902
Excessive, inadequate or unfairly discriminatory rates
Status: in_force

A. The Insurance Commissioner shall not approve rates for

insurance which are excessive, inadequate, or unfairly

discriminatory.

1. An excessive rate is one which:

a. is unreasonably high for the insurance provided, or

b. is unreasonable because (1) a reasonable degree of

competition does not exist in the area with respect to

the classification to which such rate is applicable

and (2) the rate is unreasonably high for the

insurance provided.

2. An inadequate rate is one which:

a. is (1) unreasonably low for the insurance provided and

(2) the continued use of such rate endangers, or if

continued would endanger, the solvency of the insurer,

or

b. is (1) unreasonably low for the insurance provided and

(2) the continued use of such rate by the insurer has,

or if continued would have, the effect of destroying

competition or creating a monopoly, or

c. is insufficient to cover projected losses, expenses

and a reasonable margin for profit for the line of

insurance coverage to be offered in this state by the

filer.

3. A rate shall not be unfairly discriminatory.

a. A rate is not unfairly discriminatory because it is

based in part upon the establishment or modification

of classifications of risks based upon:

(1) the size of the risk,

(2) the expense or difficulty in management of the

risk,

(3) the individual experience of the risk,

(4) the location or dispersion of the risk, or

(5) any other reasonable consideration attributable

to the risk.

b. A rate is not unfairly discriminatory in relation to

another in the same class of business if it reflects

equitably the differences in expected losses and

expenses. Rates are not unfairly discriminatory

because different premiums result for policyholders

with like loss exposures but different expense

factors, or with like expense factors but different

Oklahoma Statutes - Title 36. Insurance Page 201

loss exposures, if the rates reflect the differences

with reasonable accuracy.

c. A rate shall be deemed unfairly discriminatory as to a

risk or group of risks if the application of premium

discounts, credits, or surcharges among such risks

does not bear a reasonable relationship to the

expected loss and expense experience among the various

risks.

d. A rate shall never be based upon race, color, creed or

national origin.

B. The systems of expense provisions included in the rates for

use by any insurer or group of insurers may differ from those of

other insurers or groups of insurers to reflect the requirements of

the operating methods of any such insurer or group with respect to

any kind of insurance or subdivision or combination thereof for

which subdivision or combination separate expense provisions are

applicable.

C. Nothing in this act shall be construed to require uniformity

in insurance rates, classifications, rating plans, or practices.

D. Nothing in this act shall abridge or restrict the freedom of

contract of insurers, agents, brokers or employees with reference to

the commissions, compensation, or salaries to be paid to such

agents, brokers, or employees by insurers.
Okla. Stat. tit. 36, § 36-364 — OK Code / Title 36 / Section 36-364
Seizure of property used in insurance-related crimes
Status: in_force

A. Any tool, implement or instrumentality used or possessed in

connection with any violation of an insurance-related crime or that

is the fruit of an insurance-related crime, may be seized by a

member of a state or local law enforcement agency upon process

issued by any court of competent jurisdiction.

B. Seizure of property described in subsection A of this

section may be made by a member of a state or local law enforcement

agency without process if:

1. The seizure occurs in accordance with any applicable law or

rule;

2. The seizure is incident to inspection under an

administrative inspection warrant;

3. The seizure is incident to search made under a search

warrant;

4. The seizure is incident to a lawful arrest;

5. The seizure is made pursuant to a valid consent to search;

6. The property seized has been the subject of a prior judgment

in favor of the state in a criminal proceeding, or in an injunction

or forfeiture proceeding under this act; or

7. There are reasonable grounds to believe that the property is

directly or indirectly dangerous to health or safety.

C. When property is seized under this section, the seizing

agency may:

1. Place the property under seal; or

Oklahoma Statutes - Title 36. Insurance Page 115

2. Remove the property to a place selected and designated by

the seizing agency.
Okla. Stat. tit. 36, § 36-6470.34 — OK Code / Title 36 / Section 36-6470.34
Entity-protected cell
Status: in_force

A. A protected cell of a sponsored captive insurance company

may be formed as an entity-protected cell. "Entity-protected cell"

means a protected cell that is established as any type of legal

entity separate from the sponsored captive insurance company of

which it is a part.

B. Subject to the prior written approval of the sponsored

captive insurance company and of the Insurance Commissioner, an

entity-protected cell shall be entitled to enter into contracts and

undertake obligations in its own name and for its own account. In

the case of a contract or obligation to which the sponsored captive

insurance company is not a party, either in its own name and for its

own account or on behalf of a protected cell, the counterparty to

the contract or obligation shall have no right or recourse against

the sponsored captive insurance company and its assets other than

against assets properly attributable to the entity-protected cell

that is a party to the contract or obligation.

C. The articles of incorporation or articles of organization of

an entity-protected cell shall refer to the sponsored captive

insurance company for which it is a protected cell and shall state

that the protected cell is incorporated or organized for the limited

purposes authorized by the sponsored captive insurance company's

license. A copy of the prior written approval of the Commissioner

to add the entity-protected cell, required by Section 6470.29 of

Title 36 of the Oklahoma Statutes, shall be attached to and filed

with the articles of incorporation or the articles of organization.

D. Sponsored captive insurance companies, including those

licensed as special purpose captive insurance companies, shall have

Oklahoma Statutes - Title 36. Insurance Page 1234

the option to establish one or more protected cells as a separate

corporation, mutual corporation, nonprofit corporation, limited

liability company, or reciprocal insurer. This section shall not be

construed to limit any rights or protections applicable to protected

cells not established as corporations, mutual corporations,

nonprofit corporations, limited liability companies, or reciprocal

insurers.
Okla. Stat. tit. 36, § 36-6143 — OK Code / Title 36 / Section 36-6143
Certificate of authority required
Status: in_force

A. No person unless authorized pursuant to the provisions of

Section 4 or Section 10 of this act shall establish or operate a

prepaid dental plan organization in this state, or sell or offer to

sell, or solicit offers to purchase, or receive advance or periodic

consideration, in conjunction with a prepaid dental plan without

obtaining and maintaining a certificate of authority issued pursuant

to Section 4 of this act.

B. On or before February 1, 1984, every prepaid dental plan

organization operating in this state shall submit an application for

a certificate of authority to the Commissioner. Each applicant may

continue to operate as an organization until the Commissioner acts

upon the application.
Okla. Stat. tit. 36, § 36-4019 — OK Code / Title 36 / Section 36-4019
Application and contract as entire contract in annuities
Status: in_force

In an annuity or pure endowment contract, other than a

reversionary, survivorship or group annuity, there shall be a

Oklahoma Statutes - Title 36. Insurance Page 832

provision that the contract shall constitute the entire contract

between the parties or, if a copy of the application is endorsed

upon or attached to the contract when issued, a provision that the

contract and the application therefor shall constitute the entire

contract between the parties.
Okla. Stat. tit. 36, § 36-2618 — OK Code / Title 36 / Section 36-2618
Limited application
Status: in_force

This article shall not apply to any corporation operating or

maintaining a hospital service plan or medical service plan,

participation in which is limited to its employees and the employees

of other persons or corporations with which such corporation may

have contracted to provide such services; provided such contract is

not entered into for the purpose of evasion of the terms and spirit

of this Code. As used in this section, the term "employees" shall

include members of the families of employees.
Okla. Stat. tit. 36, § 36-3628 — OK Code / Title 36 / Section 36-3628
Simultaneous deaths
Status: in_force

Where the individual insured or the annuitant and the

beneficiary designated in a life insurance policy or policy insuring

against accidental death or in an annuity contract have died and

there is not sufficient evidence that they have died otherwise than

simultaneously, the proceeds of the policy or contract shall be

distributed as if the insured or annuitant had survived the

beneficiary, unless otherwise specifically provided in the policy or

contract.
Okla. Stat. tit. 36, § 36-2655 — OK Code / Title 36 / Section 36-2655
Service contracts
Status: in_force

Any such corporation may enter into contracts for the rendering

or providing of optometric service or indemnity to any of its

members with any individuals licensed in optometry in Oklahoma and

who meet standards and rules of practice as set by said corporation.

Any such corporation may contract with any domestic or foreign

corporation or associations for the purpose of providing or

rendering optometric service or indemnity. The term "optometric

service plan," as used in this law, includes the contracting for the

payment of fees toward, or furnishing of, professional services or

ophthalmic materials authorized or permitted to be furnished by a

duly licensed doctor of optometry.
Okla. Stat. tit. 36, § 36-6101 — OK Code / Title 36 / Section 36-6101
Joinder of companies to issue supplemental coverage -
Status: in_force

Approval - Rules and regulations.

Individual insurance companies transacting business in Oklahoma

and engaged in the sale and issuance of accident and health or

hospitalization insurance may, and are hereby authorized to form an

association for the apportionment among such companies of applicants

for policies of insurance granting coverage supplemental in nature

to the benefits granted by Medicare. Any such proposed plan of

association shall be subject to the approval of the Insurance

Commissioner, and all forms of policies, endorsements, and other

forms shall be approved by the Insurance Commissioner prior to use

or issuance in Oklahoma. The Insurance Commissioner may promulgate

such reasonable rules and regulations as may be necessary or proper

to carry out the provision of this act.
Okla. Stat. tit. 36, § 36-4509 — OK Code / Title 36 / Section 36-4509
Extension and termination of coverage under group
Status: in_force

accident and health policy and contracts of hospital or medical

service or indemnity.

A. When an insured employee or a dependent whose group

insurance coverage is terminated and the coverage is subject to the

provisions of the Consolidated Omnibus Budget Reconciliation Act of

1985 (COBRA), Pub. L. 99-272, April 7, 1986, 100 Stat. 82, neither

subsection B or C of this section applies.

B. In the case of an employee whose insurance is terminated for

any reason other than termination of the group plan or termination

for gross misconduct under a group policy providing hospital,

medical or surgical, or Christian Science care and treatment expense

benefits; or contract of hospital or medical service or indemnity;

or prepaid health plan or health maintenance organization subscriber

contract, such employee and the dependents of the employee shall be

offered continuation of coverage under the group policy or contract

for a period of at least sixty-three (63) days after such

termination. The carrier shall notify the terminated employee of

the availability of this continuation of coverage option in writing

within thirty (30) days of receiving notice from the plan sponsor of

the employee’s termination of coverage. The terminated employee

shall request in writing the continuation of group coverage not

later than the thirty-first day after the date the terminated

employee is given notification of the availability of this

continuation of coverage option. Premiums may be charged for the

continuation of coverage period. The premiums charged shall be the

premiums which would have been charged for the coverage provided

Oklahoma Statutes - Title 36. Insurance Page 987

under the group policy or contract had termination not occurred.

Continuation of coverage pursuant to this section may be terminated:

1. For employee’s failure to make timely premium payments;

2. On the date the group coverage terminates in its entirety if

the group coverage terminates in its entirety during the

continuation of coverage period; or

3. If the employee and the dependents of the employee otherwise

become entitled to similar insurance from some other source during

the continuation of the coverage period.

C. If an employee has been covered for at least six (6) months

under any group accident and health insurance policy delivered in

this state, providing hospital, medical or surgical, or Christian

Science care and treatment expense benefits, or under a contract of

hospital or medical service or indemnity, and the individual

employee has had his employment terminated or the group itself is

terminated, then the termination shall not affect coverage of the

insured or his dependents for any continuous loss which commenced

while the insurance was in force. The extension of benefits beyond

the period the insurance was in force may be predicated upon the

continuous total disability of the person insured or his or her

dependents or the expenses incurred in connection with a plan of

surgical treatment, which shall include maternity care and delivery

expenses, which commenced prior to the termination. The coverage

for the extension of benefits shall be for the maximum benefits

under the terminated policy or for a time period of not less than

three (3) months in the case of basic coverage or six (6) months in

the case of major medical coverage. Premium monies may be charged

for the period of the extension of benefits. The premiums charged

shall be the premiums which would have been charged for the coverage

provided under the group policy or contract had termination not

occurred.
Okla. Stat. tit. 36, § 36-7112 — OK Code / Title 36 / Section 36-7112
Actions to recover payments and other monies - Censure
Status: in_force

and fine.

A. The Insurance Commissioner may initiate an action to recover

payments required to be deposited to the State Insurance

Commissioner Revolving Fund pursuant to the Perpetual Care Fund Act

or to recover other monies received or disbursed in violation of the

Perpetual Care Fund Act.

B. The Insurance Commissioner may, after an opportunity for

hearing, censure an owner of a cemetery, levy a fine not to exceed

One Thousand Dollars ($1,000.00) for each occurrence, or any

combination of the above for violation of any provision of the

Perpetual Care Fund Act or any rules promulgated in accordance with

the act.
Okla. Stat. tit. 36, § 36-1675 — OK Code / Title 36 / Section 36-1675
Notice to insured
Status: in_force

The producer, prior to the effective date of the policy, shall

deliver written notice to the prospective insured disclosing the

relationship between the producer and the controlled insurer, except

that, if the business is placed through a subproducer who is not a

controlling producer, the controlling producer shall retain in his

records a signed commitment from the subproducer that the

subproducer is aware of the relationship between the insurer and the

producer and that the subproducer has or will notify the insured.
Okla. Stat. tit. 36, § 36-5111 — OK Code / Title 36 / Section 36-5111
Penalties; restitution; review
Status: in_force

A. A reinsurance intermediary, insurer or reinsurer found by

the Insurance Commissioner, after notice and opportunity for a

hearing conducted in accordance with the Administrative Procedures

Act, to be in violation of any provision of the Reinsurance

Intermediary Act, shall:

Oklahoma Statutes - Title 36. Insurance Page 1034

1. For each separate violation, pay a penalty in an amount not

exceeding Five Thousand Dollars ($5,000.00); and

2. Be subject to revocation or suspension of license.

B. In addition, if a violation of the Reinsurance Intermediary

Act is committed by a reinsurance intermediary, such reinsurance

intermediary shall make restitution to the insurer, reinsurer,

rehabilitator or liquidator of the insurer or reinsurer for the net

losses incurred by the insurer or reinsurer attributable to such

violation.

C. The decision, determination, or order of the Commissioner

pursuant to this section shall be subject to judicial review

pursuant to the Administrative Procedures Act.

D. Nothing contained in this section shall affect the right of

the Commissioner to impose any other penalties provided in the

Oklahoma Insurance Code.

E. Nothing contained in the Reinsurance Intermediary Act is

intended to or shall in any manner limit or restrict the rights of

policyholders, claimants, creditors, or other third parties or

confer any rights to such persons.
Okla. Stat. tit. 36, § 36-6128 — OK Code / Title 36 / Section 36-6128
Annual report
Status: in_force

Each organization shall file an annual report with the Insurance

Commissioner on or before March 15 of each year in such form as the

Insurance Commissioner may require, showing the names and addresses

of all persons with whom contracts for prepaid funeral benefits have

been made prior to December 31 of the preceding year which had not

been fully discharged on December 31 and, also showing the date of

the contract, the name of the bank or depository holding the trust

fund and the amount of the trust fund under each contract on the

preceding December 31. Any organization which has discontinued the

sale of prepaid funeral benefits, but which still has outstanding

contracts, shall not be required to obtain a renewal of its permit,

but it shall continue to make annual reports to the Insurance

Commissioner until all such contracts have been fully discharged. A

filing fee of Fifty Dollars ($50.00), along with any transaction or

other applicable fees, shall accompany each report. If any officer

of any organization fails or refuses to file an annual report, or to

cause it to be filed within thirty (30) days after he or she has

been notified by the Insurance Commissioner that the report is due

and has not been received, he or she shall be guilty of a

misdemeanor and shall be punished as prescribed in Section 6130 of

this title.
Okla. Stat. tit. 36, § 36-1540 — OK Code / Title 36 / Section 36-1540
Failure to timely file
Status: in_force

Any insurer failing, without just cause, to timely file the

Corporate Governance Annual Disclosure (CGAD) as required in this

act shall be required, after notice and hearing, to pay a penalty of

One Hundred Dollars ($100.00) for each day's delay, to be recovered

by the Insurance Commissioner and the penalty so recovered shall be

paid into the General Revenue Fund of this state. The maximum

penalty under this section is Ten Thousand Dollars ($10,000.00).

The Commissioner may reduce the penalty if the insurer demonstrates

to the Commissioner that the imposition of the penalty would

constitute a financial hardship to the insurer.
Okla. Stat. tit. 36, § 36-2657 — OK Code / Title 36 / Section 36-2657
Discrimination; rebates
Status: in_force

Discrimination between individuals of the same class in the dues

or rates charged for any contract issued by any such corporation, or

in the benefits payable thereon, or in any of the terms or

conditions of such contract, or in any other manner whatsoever is

prohibited. This action shall not prohibit different rates,

different benefits, or different underwriting procedures for

individuals contracted with under different plans; provided, rates

charged, benefits payable, or underwriting procedures used do not

discriminate between such different plans. No such corporation, and

no director, trustee, officer, agent, employee, solicitor, or other

representative thereof shall pay, allow or give, or offer to pay,

allow or give, directly or indirectly, as an inducement of

Oklahoma Statutes - Title 36. Insurance Page 697

membership, rebate of dues, payable on the contract, or any special

favor or advantage in the dividends or other benefits to accrue

thereon or any paid employment contract for services of any kind or

any valuable consideration or inducement whatever; nor give, sell or

purchase, or offer to give, sell or purchase, as an inducement of

membership or in connection therewith, any stock, dividends or other

securities of any other corporation, association, or partnership, or

any dividends or profits to accrue thereon or anything of value

whatever.
Okla. Stat. tit. 36, § 36-3302 — OK Code / Title 36 / Section 36-3302
Definitions
Status: in_force

As used in the Own Risk and Solvency Assessment (ORSA) Act:

1. "Insurance group" shall mean, for the purpose of conducting

an Own Risk and Solvency Assessment (ORSA), those insurers and

affiliates included within an insurance holding company system as

defined in Section 1651 of Title 36 of the Oklahoma Statutes;

2. "Insurer" shall have the same meaning as set forth in

Section 103 of Title 36 of the Oklahoma Statutes, except that it

shall not include agencies, authorities or instrumentalities of the

United States, its possessions and territories, the Commonwealth of

Puerto Rico, the District of Columbia or a state or political

subdivision of a state;

3. "Own Risk and Solvency Assessment" or "ORSA" shall mean a

confidential internal assessment, appropriate to the nature, scale,

Oklahoma Statutes - Title 36. Insurance Page 763

and complexity of an insurer or insurance group, conducted by that

insurer or insurance group of the material and relevant risks

associated with the insurer or insurance group's current business

plan, and the sufficiency of capital resources to support those

risks;

4. "ORSA Guidance Manual" shall mean the current version of the

Own Risk and Solvency Assessment Guidance Manual developed and

adopted by the National Association of Insurance Commissioners

(NAIC), as amended from time to time. A change in the ORSA Guidance

Manual shall be effective on January 1 following the calendar year

in which the changes have been adopted by the NAIC; and

5. "ORSA Summary Report" shall mean a confidential high-level

summary of an insurer's or insurance group's ORSA.
Okla. Stat. tit. 36, § 36-7301 — OK Code / Title 36 / Section 36-7301
Dental plan fee regulation - Appeals procedures
Status: in_force

A. No contract between a dental plan of a health benefit plan

and a dentist for the provision of services to patients may require

that a dentist provide services to its subscribers at a fee set by

the health benefit plan unless the services are covered services

under the applicable subscriber agreement.

B. As used in this section:

1. "Covered services" means services reimbursable under the

applicable subscriber agreement, subject to the contractual

Oklahoma Statutes - Title 36. Insurance Page 1502

limitations on subscriber benefits as may apply, including, for

example, deductibles, waiting period or frequency limitations;

2. "Dental plan" means and shall include any policy of

insurance which is issued by a health benefit plan which provides

for coverage of dental services not in connection with a medical

plan; and

3. "Health benefit plan" means any plan or arrangement as

defined in subsection C of Section 6060.4 of this title or any

dental service corporation authorized pursuant to Section 2671 of

this title.

C. A health benefit plan or dental plan shall establish and

maintain appeal procedures for any claim by a dentist or a

subscriber that is denied based on lack of medical necessity. Any

such denial shall be based upon a determination by a dentist who

holds a nonrestricted license in the United States. Any written

communication to a dentist that includes or pertains to a denial of

benefits for all or part of a claim on the basis of a lack of

medical necessity shall include the identifier and license number

together with state of issuance, and a contact telephone number of

the licensed dentist making the adverse determination. The dentist

who reviewed the claim shall only be contacted at the telephone

number provided in the written communication about the denial during

business hours.
Okla. Stat. tit. 36, § 36-1274 — OK Code / Title 36 / Section 36-1274
Maximum daily storage rates — Indoor storage exception
Status: in_force

A. The maximum daily storage rate allowed to be charged by an

auto body repair shop and mandatory reimbursement rates for insurers

for a motor vehicle total loss for each calendar day, for the first

ten (10) calendar days the vehicle is in the possession of the shop,

shall be Thirty-nine Dollars ($39.00) for all motor vehicles of any

size, including marine vessels, and One Hundred Twenty-five Dollars

($125.00) for vehicles with lithium-ion batteries that have

sustained damage to the battery pack or have exhibited fire, smoke,

or popping or hissing sounds, if the vehicle is stored pursuant to

the original equipment manufacturer requirements.

B. On the eleventh calendar day, the maximum daily storage rate

may increase to Seventy-five Dollars ($75.00) per calendar day for

all motor vehicles of any size, include marine vessels, and to Two

Hundred Dollars ($200.00) per calendar day for vehicles with

lithium-ion batteries that have sustained damage to the battery pack

or have exhibited fire, smoke, or popping or hissing sounds, if the

vehicle is stored pursuant to the original equipment manufacturer

requirements, if the estimate or supplement on total loss vehicles

is not approved by the insurance company within the first seven (7)

days and the auto body repair shop has a written record showing the

date, time, and type of communication made to the insurance company

requesting such supplementals. Requests for supplementals to

determine a total loss shall be made before the tenth day following

the request.

C. The provisions of subsections A and B of this section shall

not apply to vehicles in which the damage to the vehicle

necessitates indoor storage and the insurance company has approved

indoor storage of the vehicle in advance at an agreed rate.

Oklahoma Statutes - Title 36. Insurance Page 322

D. Each auto body repair shop shall provide written invoices

and respond to requests for invoices concerning the pickup, release,

or delivery of a motor vehicle on its premises to the insurance

company within eight (8) business hours.

E. The maximum daily storage rate set forth in this section

shall apply to direct repair programs.

F. The maximum daily storage rate may be increased upon

approval by the Oklahoma Insurance Department based on current

market conditions. Adjustments to the maximum daily storage rate

shall be made annually based on bulletins issued by the Oklahoma

Insurance Department which shall be based on the Consumer Price

Index. The Oklahoma Insurance Department shall promulgate the rules

necessary to fulfill the requirements of this subsection.
Okla. Stat. tit. 36, § 36-6302 — OK Code / Title 36 / Section 36-6302
Definitions
Status: in_force

As used in this act:

1. Authorized agencies include:

Oklahoma Statutes - Title 36. Insurance Page 1183

a. the State Fire Marshal and the marshal or head of any

county or local fire or theft investigatory agency,

b. the Director of the State Bureau of Investigation,

c. the district attorney in the county where the fire or

theft occurred, and

d. for the purposes of subsection A of Section 6303 of

this title, the Federal Bureau of Investigation, the

United States Attorney or any other federal agency

authorized or charged with investigation or

prosecution with respect to a fire or theft;

2. Relevant information means any information having a tendency

to make the existence of any fact that is of consequence to the

investigation or determination of the issue more probable or less

probable than it would be without the information; and

3. Action includes the failure to take action.
Okla. Stat. tit. 36, § 36-313 — OK Code / Title 36 / Section 36-313
Requirements for orders and notices - Final agency action
Status: in_force

- Applicability of Administrative Procedures Act.

A. Orders and notices of the Insurance Commissioner shall be in

writing and shall be signed by the Commissioner, an authorized

employee of the Insurance Department, or an independent hearing

examiner. A final order signed by an independent hearing examiner,

after hearing, shall be final agency action, notwithstanding the

provisions of Section 311 of Title 75 of the Oklahoma Statutes.

B. In the exercise of the powers and the performance of the

duties enumerated in this title, the Commissioner shall comply with

the procedures of the Administrative Procedures Act. Any conflict

between the provisions of Title 75 of the Oklahoma Statutes and of

this title shall be resolved in favor of the provisions of this

title.
Okla. Stat. tit. 36, § 36-1205 — OK Code / Title 36 / Section 36-1205
Power of commissioner
Status: in_force

The Commissioner shall have power to examine and investigate

into the affairs of every person engaged in the business of

insurance in this state in order to determine whether such person

has been or is engaged in any unfair method of competition or in any

unfair or deceptive act or practice prohibited by Section 1203 of

this article.
Okla. Stat. tit. 36, § 36-1631 — OK Code / Title 36 / Section 36-1631
Definitions
Status: in_force

As used in this act, the following terms shall have these

meanings unless the context shall otherwise require:

1. "Affiliate of" or person "affiliated with" a specific person

means a person that directly, or indirectly through one or more

intermediaries, controls, or is controlled by, or is under common

control with, the person specified;

2. "Commissioner" means the Insurance Commissioner of the State

of Oklahoma, the Commissioner's deputies, or the Insurance

Department, as appropriate;

3. "Control" includes the terms "controlling", "controlled by"

and "under common control with" and means the possession, direct or

indirect, of the power to direct or cause the direction of the

management and policies of a person, whether through the ownership

of voting securities, by contract other than a commercial contract

for goods or nonmanagement services, or otherwise, unless the power

is the result of an official position or corporate office held by

the person. Control shall be presumed to exist if any person,

directly or indirectly, owns, controls, holds with the power to

vote, or holds proxies representing, ten percent (10%) or more of

the voting securities of any other person. This presumption may be

rebutted by a showing made in the manner provided by subsection K of

Section 1635 of this title that control does not exist in fact. The

Commissioner may determine, after furnishing all persons in interest

notice and opportunity to be heard and making specific findings of

fact to support the determination that control exists in fact,

notwithstanding the absence of a presumption to that effect;

4. "Group-wide supervisor" means the regulatory official

authorized to engage in conducting and coordinating group-wide

supervision activities who is determined or acknowledged by the

Commissioner under Section 1639 of this title to have sufficient

significant contacts with the internationally active insurance

group;

Oklahoma Statutes - Title 36. Insurance Page 450

5. "Group Capital Calculation Instructions" means the group

capital calculation instructions as adopted by the NAIC and as

amended by the NAIC from time to time in accordance with the

procedures adopted by the NAIC;

6. "Insurance holding company system" means an insurance

holding company system consisting of two or more affiliated persons,

one or more of which is an insurer;

7. "Insurer" has the same meaning as set forth in Section 103

of Title 36 of the Oklahoma Statutes, except that it shall not

include agencies, authorities or instrumentalities of the United

States, its possessions and territories, the Commonwealth of Puerto

Rico, the District of Columbia, or a state or political subdivision

of a state;

8. "Internationally active insurance group" means an insurance

holding company system that:

a. includes an insurer registered under Section 1635 of

this title, and

b. meets the following criteria:

(1) premiums written in at least three countries,

(2) the percentage of gross premiums written outside

the United States is at least ten percent (10%)

of the insurance holding company system's total

gross written premiums, and

(3) based on a three-year rolling average, the total

assets of the insurance holding company system

are at least Fifty Billion Dollars

($50,000,000,000.00) or the total gross written

premiums of the insurance holding company system

are at least Ten Billion Dollars

($10,000,000,000.00);

9. "Enterprise risk" means any activity, circumstance, event or

series of events involving one or more affiliates of an insurer

that, if not remedied promptly, is likely to have a material adverse

effect upon the financial condition or liquidity of the insurer or

its insurance holding company system as a whole, including, but not

limited to, anything that would cause the insurer's risk-based

capital to fall into company action level as set forth in the Risk-

based Capital for Insurers Act provided in Sections 1521 through

1533 of Title 36 of the Oklahoma Statutes, or would cause the

insurer to be in hazardous financial condition pursuant to rules

promulgated by the Insurance Department;

10. "NAIC" means the National Association of Insurance

Commissioners;

11. "NAIC Liquidity Stress Test Framework" means a separate

NAIC publication which includes a history of the NAIC's development

of regulatory Liquidity Stress Testing, the Scope Criteria

applicable for a specific data year, and the Liquidity Stress Test

Oklahoma Statutes - Title 36. Insurance Page 451

instructions and reporting templates for a specific data year, such

Scope Criteria, instructions and reporting template being as adopted

by the NAIC and as amended by the NAIC from time to time in

accordance with the procedures adopted by the NAIC;

12. "Person" means an individual, a corporation, a limited

liability company, a partnership, an association, a joint stock

company, a trust, an unincorporated organization, any similar entity

or any combination of the foregoing acting in concert, but shall not

include any joint venture partnership exclusively engaged in owning,

managing, leasing or developing real or tangible personal property;

13. "Scope Criteria" means, as detailed in the NAIC Liquidity

Stress Framework, the designated exposure bases along with minimum

magnitudes thereof for the specified data year, used to establish a

preliminary list of insurers considered scoped into the NAIC

Liquidity Stress Test Framework for that data year;

14. "Securityholder" of a specified person means one who owns

any security of such person, including common stock, preferred

stock, debt obligations and any other security convertible into or

evidencing the right to acquire any of the foregoing;

15. "Subsidiary" of a specified person means an affiliate

controlled by such person directly or indirectly through one or more

intermediaries; and

16. "Voting security" means any security convertible into or

evidencing a right to acquire a voting security.
Okla. Stat. tit. 36, § 36-352 — OK Code / Title 36 / Section 36-352
Commissioner authorized to refund certain fees
Status: in_force

A. 1. Upon request by an applicant, the Insurance Commissioner

may refund to the applicant all or any portion of any fees collected

by the Commissioner pursuant to law including but not limited to any

unearned fees and application fees. Such fees may be refunded, if

requested, prior to any official action being taken by the

Commissioner or prior to the occurrence of the action for which the

application was made or in such other circumstances that the

Commissioner deems proper.

2. The Commissioner may retain a portion of the fee if it is

determined that administrative costs were incurred by the Insurance

Department in the action.

B. The Commissioner shall promulgate permanent rules and may

promulgate emergency rules to implement the provisions of this

section pursuant to the Administrative Procedures Act.
Okla. Stat. tit. 36, § 36-1250.16 — OK Code / Title 36 / Section 36-1250.16
Rules and regulations
Status: in_force

The Insurance Commissioner shall formulate, adopt and promulgate

rules for the implementation and administration of the Unfair Claims

Settlement Practices Act.

Oklahoma Statutes - Title 36. Insurance Page 319
Okla. Stat. tit. 36, § 36-7104 — OK Code / Title 36 / Section 36-7104
Donations, deposits or bequests in trust
Status: in_force

Donations, deposits or bequests may be made in trust by mutual

agreement between the cemetery and lot owner or lot owners, for the

special care of specified lots, monuments or mausoleums in any such

cemetery, and such funds shall be invested in like manner as the

Oklahoma Statutes - Title 36. Insurance Page 1483

Perpetual Care Fund, but a separate account shall be kept of each

amount so deposited, donated and bequeathed and only the income

derived from such funds shall be used in the care, maintenance and

repair of such lots, monuments and mausoleums, unless otherwise

provided by the donor.
Okla. Stat. tit. 36, § 36-1701 — OK Code / Title 36 / Section 36-1701
Deposits of insurers
Status: in_force

The Insurance Commissioner of Oklahoma shall accept and hold in

trust deposits of securities or funds by insurers as follows:

1. Deposits required for authority to transact insurance in

Oklahoma;

2. Deposits of domestic, foreign, or alien insurers when made

pursuant to the laws of other states, provinces, and countries as

prerequisite for authority to transact insurance in such state,

province, or country; and

3. Deposits in such additional amounts as are permitted to be

made by Section 1706 of this title.
Okla. Stat. tit. 36, § 36-2710.1 — OK Code / Title 36 / Section 36-2710.1
Organization - Corporate powers retained
Status: in_force

A. A domestic society organized on or after the effective date

of this act shall only be formed by ten or more citizens of the

United States, a majority of whom are citizens of this state, who

desire to form a fraternal benefit society and who may make, sign

and acknowledge before some officer competent to take acknowledgment

of deeds, articles of incorporation, in which shall be stated:

1. The proposed corporate name of the society, which shall not

so closely resemble the name of any society or insurance company as

to be misleading or confusing;

2. The purposes for which it is being formed and the mode in

which its corporate powers are to be exercised. Such purposes shall

not include more liberal powers than are granted by this article;

and

3. The names and residences of the incorporators and the names,

residences and official titles of all the officers, trustees,

directors, or other persons who are to have and exercise the general

control of the management of the affairs and funds of the society

for the first year or until the ensuing election at which all such

officers shall be elected by the supreme governing body, which

election shall be held not later than one (1) year from the date of

issuance of the permanent certificate of authority.

B. Such articles of incorporation, duly certified copies of the

society's bylaws and rules, copies of all proposed forms of

certificates, applications therefor, and circulars to be issued by

the society, evidence of surplus funds as required herein and a bond

conditioned upon the return to applicants of the advanced payments

if the organization is not completed within one (1) year shall be

filed with the Insurance Commissioner, who may require such further

information as the Commissioner deems necessary. The bond with

sureties approved by the Commissioner shall be in such amount, not

less than Three Hundred Thousand Dollars ($300,000.00) nor more than

One Million Five Hundred Thousand Dollars ($1,500,000.00), as

required by the Commissioner. All documents filed are to be in the

English language. If the purposes of the society conform to the

requirements of this article and all provisions of the law have been

Oklahoma Statutes - Title 36. Insurance Page 717

complied with, the Commissioner shall so certify, retain and file

the articles of incorporation and furnish the incorporators a

preliminary certificate of authority authorizing the society to

solicit members as hereinafter provided. No solicitation of or

enrollment of applicants shall be commenced until there has been

submitted to the Insurance Commissioner evidence that such fraternal

benefit society has surplus funds in an amount equal to that

required of a domestic mutual life insurer.

C. No preliminary certificate of authority granted under the

provisions of this section shall be valid after one (1) year from

its date or after such further period, not exceeding one (1) year,

as may be authorized by the Commissioner upon cause shown, unless

the five hundred applicants hereinafter required have been secured

and the organization has been completed as herein provided. The

articles of incorporation and all other proceedings thereunder shall

become null and void in one (1) year from the date of the

preliminary certificate of authority, or at the expiration of the

extended period, unless the society shall have completed its

organization and received a certificate of authority to do business

as hereinafter provided.

D. Upon receipt of a preliminary certificate of authority from

the Commissioner, the society may solicit members for the purpose of

completing its organization, shall collect from each applicant the

amount of not less than one regular monthly premium in accordance

with its table of rates, and shall issue to each such applicant a

receipt for the amount collected. No society shall incur any

liability other than for the return of the advance premium, nor

issue any certificate, nor pay, allow, or offer or promise to pay or

allow, any benefit to any person until:

1. Actual bona fide applications for benefits have been secured

on not less than five hundred applicants, and any necessary evidence

of insurability has been furnished to and approved by the society;

2. At least ten subordinate lodges have been established into

which the five hundred applicants have been admitted;

3. There has been submitted to the Commissioner, under oath of

the president or secretary, or corresponding officer of the society,

a list of such applicants, giving their names, addresses, date each

was admitted, name and number of the subordinate lodge of which each

applicant is a member, amount of benefits to be granted and premiums

therefor; and

4. It shall have been shown to the Commissioner, by sworn

statement of the treasurer, or corresponding officer of such

society, that at least five hundred applicants have each paid in

cash at least one regular monthly premium as herein provided, which

premiums in the aggregate shall amount to at least One Hundred Fifty

Thousand Dollars ($150,000.00). Said advance premiums shall be held

in trust during the period of organization and if the society has

Oklahoma Statutes - Title 36. Insurance Page 718

not qualified for a certificate of authority within one (1) year, as

herein provided, such premiums shall be returned to the applicants.

E. The Commissioner may make such examination and require such

further information as the Commissioner deems advisable. Upon

representation of satisfactory evidence that the society has

complied with all the provisions of law, the Commissioner shall

issue to the society a certificate of authority to that effect and

that the society is authorized to transact business pursuant to the

provisions of this act. The certificate of authority shall be prima

facie evidence of the existence of the society at the date of the

certificate. The Commissioner shall cause a record of the

certificate of authority to be made. A certified copy of the record

may be given in evidence with like effect as the original

certificate of authority.

F. Any incorporated society authorized to transact business in

this state at the time this act becomes effective shall not be

required to reincorporate.
Okla. Stat. tit. 36, § 36-311A.10 — OK Code / Title 36 / Section 36-311A.10
Reporting of determinations that insurer has
Status: in_force

materially misstated its financial condition - Liability -

Subsequent awareness.

A. The insurer required to furnish the annual audited financial

report shall require the independent certified public accountant to

report, in writing, within five (5) business days to the board of

directors or its audit committee any determination by the

independent certified public accountant that the insurer has

materially misstated its financial condition as reported to the

Insurance Commissioner as of the balance sheet date currently under

audit or that the insurer does not meet the minimum capital and

surplus requirement of the Oklahoma Insurance Code as of that date.

An insurer that has received a report pursuant to this subsection

shall forward a copy of the report to the Commissioner within five

(5) business days of receipt of the report and shall provide the

independent certified public accountant making the report with

evidence of the report being furnished to the Commissioner. If the

independent certified public accountant fails to receive the

evidence within the required five-business-day period, the

independent certified public accountant shall furnish to the

Commissioner a copy of its report within the next five (5) business

days.

B. No independent certified public accountant shall be liable

in any manner to any person for any statement made in connection

with subsection A of this section if the statement is made in good

faith in compliance with that subsection.

C. If the accountant, subsequent to the date of the audited

financial report filed pursuant to the Oklahoma Annual Financial

Report Act, becomes aware of facts that might have affected the

report of the accountant, the accountant shall comply with the

action or actions prescribed in Volume 1, Section AU 561 of the

Professional Standards of the AICPA.
Okla. Stat. tit. 36, § 36-4009 — OK Code / Title 36 / Section 36-4009
Nonforfeiture benefits
Status: in_force

There shall be provisions for nonforfeiture benefits and cash

surrender values as required by Section 4029 of this article.
Okla. Stat. tit. 36, § 36-1423 — OK Code / Title 36 / Section 36-1423
Renumbered as § 1435.3 of this title by Laws 2001, c
Status: in_force

156, § 35, eff. Nov. 1, 2001.
Okla. Stat. tit. 36, § 36-6103.7 — OK Code / Title 36 / Section 36-6103.7
Cease and desist orders - Enforcement
Status: in_force

A. 1. If the Insurance Commissioner reasonably believes that a

person has violated a cease and desist order issued under Sections

6103.1 through 6103.11 of this title, the Commissioner may:

a. initiate individual proceedings under this section

pursuant to the Administrative Procedures Act,

b. initiate proceedings to revoke the certificate of

authority of the person affected by a ruling or action

issued under Sections 6103.1 through 6103.11 of this

title, or

c. pursue any other action the Commissioner deems

appropriate under applicable law.

2. In determining whether a cease and desist order has been

violated, the Commissioner shall consider the maintenance of

procedures reasonably adopted to ensure compliance with the order.

Oklahoma Statutes - Title 36. Insurance Page 1135

The hearing shall be conducted according to the procedure for

contested cases under the Administrative Procedures Act.

B. After a hearing, if the Commissioner determines that a cease

and desist order has been violated, the Commissioner may:

1. Impose a civil penalty of Twenty-five Thousand Dollars

($25,000.00) for each act of violation;

2. Direct the person against whom the order was issued to make

complete restitution, in the form and amount and within the period

determined by the Commissioner, to all Oklahoma residents, Oklahoma

insureds, and entities operating in Oklahoma damaged by the

violation or failure to comply; or

3. Both impose the penalty and direct restitution.

C. A person aggrieved by a final order or decision of the

Commissioner pursuant to Sections 6103.1 through 6103.11 of this

title may seek judicial review pursuant to Section 318 of Title 75

of the Oklahoma Statutes. The Commissioner may recover reasonable

attorney's fees if judicial action is necessary to enforce an order.
Okla. Stat. tit. 36, § 36-4606 — OK Code / Title 36 / Section 36-4606
State-based Exchange — Authority to create and operate
Status: in_force

A. The Oklahoma Insurance Commissioner shall have the authority

to implement, establish, create, administer, or otherwise operate an

exchange, promulgate rules, and apply to the United States Secretary

of Health and Human Services for a waiver pursuant to Section 1332

of the Patient Protection and Affordable Care Act (42 U.S.C.,

Section 18052).

B. "Exchange" means a state, federal, or partnership exchange

or marketplace operating in Oklahoma pursuant to Section 1311 of the

Patient Protection and Affordable Care Act.
Okla. Stat. tit. 36, § 36-4038 — OK Code / Title 36 / Section 36-4038
Violations - Penalties
Status: in_force

Violation of any provision of the Life Insurance and Annuity

Policyholders Protection Act may result in censure, suspension, or

revocation of the insurance license or certificate or a fine of no

more than One Thousand Dollars ($1,000.00) per incident, or both.
Okla. Stat. tit. 36, § 36-4055.17 — OK Code / Title 36 / Section 36-4055.17
Compliance with act
Status: in_force

A. A viatical or life settlement provider lawfully transacting

business in this state prior to the effective date of the Viatical

Settlements Act of 2008 may continue to do so pending approval or

disapproval of that person’s application for a license if the

application is filed with the Commissioner not later than sixty (60)

calendar days after publication of the application form and

instructions for licensure of providers. If the publication of the

application form and instructions is prior to the effective date of

this act, then the application shall be filed no later than sixty

(60) calendar days after the effective date of the act. During the

time that such an application is pending with the Commissioner, the

applicant may use any form of viatical settlement contract that has

been filed with the Commissioner pending approval thereof, provided

that such form is otherwise in compliance with the provisions of

this act. Any person transacting business in this state under this

subsection shall comply with all other requirements of this act.

B. A person who has lawfully negotiated viatical or life

settlement contracts between any owner residing in this state and

one or more providers for at least one year immediately prior to the

Oklahoma Statutes - Title 36. Insurance Page 904

effective date of this act may continue to do so pending approval or

disapproval of that person’s application for a license if the

application is filed with the Commissioner not later than sixty (60)

calendar days after publication of the application form and

instructions for licensure of brokers. If the publication of the

application form and instructions is prior to the effective date of

this act, then the application shall be filed no later than sixty

(60) calendar days after the effective date of the act. Any person

transacting business in this state under this subsection shall

comply with all other requirements of this act.
Okla. Stat. tit. 36, § 36-3637 — OK Code / Title 36 / Section 36-3637
Exceptions
Status: in_force

This act shall not apply to any policy covering motor trucks

operated by a motor carrier as defined in 47 O.S. 1961, Section 161,

as amended, where the named insured has employees who operate motor

trucks or to any other commercial automobile liability policy

covering motor trucks where the named insured has employees and such

employees are covered by workers' compensation on the effective date

of the policy.
Okla. Stat. tit. 36, § 36-3203 — OK Code / Title 36 / Section 36-3203
Coverage for child health supervision services
Status: in_force

A. All health benefit plans which provide coverage for a family

member of the insured or subscriber shall offer coverage for child

health supervision services. Such services shall include coverage

from the moment of birth through the age of eighteen years. Each

such plan or contract shall, at a minimum, provide benefits for

child health supervision services at approximately the following age

intervals: birth, two months, four months, six months, nine months,

twelve months, eighteen months, two years, three years, four years,

five years, six years, eight years, ten years, twelve years,

fourteen years, sixteen years and eighteen years. A health benefit

plan may provide that child health supervision services which are

rendered during a periodic review shall only be covered to the

extent that services are provided by or under the supervision of a

single physician or other primary health care provider during the

course of one visit. Benefits for such services shall be subject to

the same durational limits, dollar limits, deductibles and

coinsurance factors as other covered services in such health

insurance policies. All Oklahoma health benefit plans delivered,

issued for delivery, modified or renewed on or after January 1,

1995, shall be subject to the provisions of this section.

B. Nothing in the Oklahoma Child Health Insurance Reform Act

shall prohibit the health care insurer from including any or all

coverage for child health supervision services as standard coverage

in their policies or contracts.
Okla. Stat. tit. 36, § 36-6052 — OK Code / Title 36 / Section 36-6052
Copayment requirements - Disclosure of calculations -
Status: in_force

Penalty - Rules.

A. Any policy, contract or agreement issued or renewed by an

insurer, as defined in Section 6054 of Title 36 of the Oklahoma

Statutes, or any contract or agreement issued or renewed for any

preferred provider or other provider arrangement or managed care

plan, which requires the insured or enrollee to make a copayment

when benefits are provided, shall disclose to the insured or

enrollee the calculation for the copayment. In no case shall the

copayment be based on a higher figure than either the amount billed

or the amount paid, whichever is less. This subsection shall apply

to any health insurance plan offered through the State and Education

Employees Group Insurance Act.

B. Any insurer, hospital or licensed health care provider

determined to be in violation of subsection A of this section by the

Insurance Commissioner, the State Board of Health or the appropriate

health care professional licensing entity, after notice, shall be

subject to an administrative fine of not less than One Thousand

Dollars ($1,000.00) or more than Five Thousand Dollars ($5,000.00)

for each violation. Notice under this section shall include a

statement of violations on which the fine is based and notice of the

opportunity for a hearing.

C. The Insurance Commissioner, the State Board of Health or the

appropriate health care professional licensing entity shall

promulgate rules providing for enforcement of the provisions of this

act. In addition, each entity may promulgate rules providing for

suspension or revocation of a license for substantial failure to

comply with the provisions of this act. Such rules shall provide

Oklahoma Statutes - Title 36. Insurance Page 1068

for notice and a hearing prior to the suspension or revocation of a

license.
Okla. Stat. tit. 36, § 36-6562 — OK Code / Title 36 / Section 36-6562
Disclosure or publication of confidential medical
Status: in_force

information.

A private review agent shall not disclose or publish individual

medical records or any other confidential medical information

obtained in the performance of utilization review activities without

the appropriate procedures for protecting the patient's

confidentiality. Provided, however, that nothing in the Hospital

and Medical Services Utilization Review Act shall prohibit a private

review agent from providing patient information to a third party

with whom the private review agent is affiliated, under contract, or

for whom the agent is acting.
Okla. Stat. tit. 36, § 36-4108 — OK Code / Title 36 / Section 36-4108
Group annuity; misstatements
Status: in_force

In group annuity contracts there shall be a provision, with an

appropriate reference thereto in the certificate, for the equitable

adjustment of the benefits payable under the contract or of the

stipulated payments thereunder, if it be found that the sex, age,

service, salary or any other fact determining the amount of any

stipulated payment or the amount or date or dates of payment of any

benefit with respect to any annuitant covered thereby has been

misstated.
Okla. Stat. tit. 36, § 36-2044 — OK Code / Title 36 / Section 36-2044
Exemption
Status: in_force

None of the amendatory provisions contained herein shall apply

to any member insurer that is impaired or insolvent on the date such

amendments become effective.
Okla. Stat. tit. 36, § 36-1435.6 — OK Code / Title 36 / Section 36-1435.6
Examinations
Status: in_force

A. A resident individual applying for an insurance producer

license shall pass a written examination unless exempt pursuant to

Section 1435.10 of this title. The examination shall test the

Oklahoma Statutes - Title 36. Insurance Page 336

knowledge of the individual concerning the lines of authority for

which application is made, the duties and responsibilities of an

insurance producer and the insurance laws and regulations of this

state. Examinations required by this section shall be developed and

conducted under rules and regulations prescribed by the Insurance

Commissioner.

B. The Commissioner may make arrangements including contracting

with an outside testing service, for administering examinations and

collecting the nonrefundable fee set forth in Section 1435.23 of

this title.

C. Each individual applying for an examination shall remit a

nonrefundable fee as prescribed by the Insurance Commissioner as set

forth in Section 1435.23 of this title.

D. Prior to completion and filing of the application, the

Insurance Commissioner shall subject each applicant for license as

an insurance producer, as defined pursuant to paragraph 7 of Section

1435.2 of this title, to an examination approved by the Commissioner

as to competence to act as a licensee, which each applicant shall

personally take and pass to the satisfaction of the Commissioner

except as provided in Section 1435.10 of this title. The

Commissioner may accept examinations administered by a testing

service as satisfying the examination requirements of persons

seeking license as agents, solicitors, counselors, or adjusters

under the Oklahoma Insurance Code. The Commissioner may negotiate

agreements with such testing services to include performance of

examination development, test scheduling, examination site

arrangements, test administration, grading, reporting, and analysis.

The Commissioner may require such testing services to correspond

directly with the applicants with regard to the administration of

such examinations and that such testing services collect fees for

administering such examinations directly from the applicants. The

Commissioner may stipulate that any agreements with such testing

services provide for the administration of examinations in specific

locales and at specified frequencies. The Commissioner shall retain

the authority to establish the scope and type of all examinations.

E. If the applicant is a legal entity, the examination shall be

taken by each individual who is to act for the entity as a licensee.

F. Each examination for a license shall be approved for use by

the Commissioner and shall reasonably test the knowledge of the

applicant as to the lines of insurance, policies, and transactions

to be handled pursuant to the license applied for, the duties and

responsibilities of the licensee, and the pertinent insurance laws

of this state.

G. Examination for licensing shall be at such reasonable times

and places as are designated by the Commissioner.

Oklahoma Statutes - Title 36. Insurance Page 337

H. The Commissioner or testing service shall give, conduct, and

grade all examinations in a fair and impartial manner and without

discrimination among individuals examined.

I. The applicant shall pass the examination with a grade

determined by the Commissioner to indicate satisfactory knowledge

and understanding of the line or lines of insurance for which the

applicant seeks qualification. Within ten (10) days after the

examination, the Commissioner shall inform the applicant and the

appointing insurer, when applicable, as to whether or not the

applicant has passed. An application for licensure shall be made

within two (2) years after passing the examination.

J. An applicant who has failed to pass the examination for the

license applied for may take the examination subsequent times.

Examination fees for subsequent examinations shall not be waived.

K. An applicant for a license as a resident surplus lines

broker shall have passed the property and casualty insurance

examination on the line or lines of insurance to be written to

qualify for a surplus lines broker license.
Okla. Stat. tit. 36, § 36-4408 — OK Code / Title 36 / Section 36-4408
Notice; waiver
Status: in_force

The acknowledgment by any insurer of the receipt of notice given

under any policy covered by this article, or the furnishing of forms

for filing proofs of loss, or the acceptance of such proofs, or the

investigation of any claim thereunder, shall not operate as a waiver

of any of the rights of the insurer in defense of any claim arising

under such policy.
Okla. Stat. tit. 36, § 36-4032 — OK Code / Title 36 / Section 36-4032
Application of act
Status: in_force

A. The provisions of the Life Insurance and Annuity

Policyholders Protection Act shall apply to life insurance and

Oklahoma Statutes - Title 36. Insurance Page 858

annuity policies which cover residents of this state and which are

solicited and issued by insurance corporations, fraternal benefit

societies, associations, or other institutions which issue life

insurance or annuity policies.

B. The provisions of the Life Insurance and Annuity

Policyholders Protection Act shall not apply to:

1. credit life insurance policies; or

2. group life insurance policies or group annuity policies; or

3. contracts issued in connection with employee benefits or welfare

plans as defined by the Federal Employee Retirement Income Security

Act of 1974 (ERISA), Public Law 93-406, as amended; or

4. the exercise by an insured of an existing contractual right

with the same insurer for the purchase of additional insurance under

a guaranteed insurability provision or conversion option or any

other contractual policy change privilege; or

5. short-term nonrenewable life insurance policies written to

cover periods of thirty-one (31) days or less; or

6. an existing nonconvertible term life insurance policy which

will expire in five (5) years or less and which cannot be renewed;

or

7. a proposed life insurance policy that is to replace life

insurance under a binding or conditional receipt issued by the same

company issuing the policy which is to be replaced.
Okla. Stat. tit. 36, § 36-704 — OK Code / Title 36 / Section 36-704
"Property insurance" defined
Status: in_force

"Property insurance" is insurance on real or personal property

of every kind and interest therein, against loss or damage from any

or all hazard or cause, and against loss consequential upon such

loss or damage, other than noncontractual legal liability for any

such loss or damage. Property insurance shall also include

miscellaneous insurance as defined in paragraph 11 of section 707 of

this article except as to any noncontractual liability coverage

includable therein.
Okla. Stat. tit. 36, § 36-6036 — OK Code / Title 36 / Section 36-6036
Construction
Status: in_force

This act shall be construed as an independent act. This act

shall be construed as cumulative with and supplemental to other laws

and acts now in effect or enacted hereafter.
Okla. Stat. tit. 36, § 36-2410 — OK Code / Title 36 / Section 36-2410
Benefits not liable to attachments
Status: in_force

The money or other benefit to be paid, provided or rendered by

any association authorized to do business under this article, shall

not be liable to attachment by trustee, garnishee or other process.
Okla. Stat. tit. 36, § 36-6154 — OK Code / Title 36 / Section 36-6154
Suspension or revocation of certificate of authority
Status: in_force

A. The Commissioner may suspend or revoke any certificate of

authority issued to a prepaid dental plan organization pursuant to

the provisions of the Prepaid Dental Plan Act if the Commissioner

finds that any of the following conditions exist:

1. The prepaid dental plan organization is operating contrary

to the basic organizational documents of the organization or is

operating in a manner contrary to that described in, and reasonably

inferred from, any other information submitted pursuant to Section

6144 of this title;

2. The prepaid dental plan organization issued membership

coverage which does not comply with the requirements of Section 6148

of this title;

3. The prepaid dental plan does not provide or arrange for

basic dental services appropriate to a prepaid dental plan;

4. The prepaid dental plan organization can no longer be

expected to meet obligations to members or prospective members of

the prepaid dental plan;

5. The prepaid dental plan organization, or any authorized

person acting on behalf of the organization, has advertised or

merchandised services offered by said organization in an untrue,

misleading, deceptive, or unfair manner;

6. The prepaid dental plan organization fails to deal equitably

with any dentists, dental physicians, technicians, or other persons

or facilities whose services are covered within a contract or policy

for prepaid dental insurance; or

7. The prepaid dental plan organization has failed to

substantially comply with the provisions of the Prepaid Dental Plan

Act or any rules and regulations promulgated thereunder.

B. When the certificate of authority of a prepaid dental plan

organization is suspended, the organization shall not accept, during

the period of such suspension, any additional members except newly

acquired dependents of existing members and shall not engage in any

advertising or solicitation.

C. When the certificate of authority of a prepaid dental plan

organization is revoked, the organization shall proceed to terminate

operation of the organization immediately and shall conduct no

Oklahoma Statutes - Title 36. Insurance Page 1159

further business except as may be essential to the orderly

conclusion of the business affairs of the organization. The

Commissioner, by written order, may permit such further operation of

the organization as the Commissioner finds to be in the best

interest of members of the organization.

D. If a certificate of authority is suspended or revoked

pursuant to the provisions of this section, the Commissioner may

invoke a fine not exceeding One Thousand Dollars ($1,000.00) for

each violation. The payment of the fine may be enforced in the same

manner as civil judgments may be enforced.

E. A prepaid dental plan organization which has had its

certificate of authority denied, suspended, or revoked, or has

suffered an adverse decision by the Commissioner, shall be entitled

to a hearing pursuant to the provisions of the Administrative

Procedures Act, Sections 301 through 326 of Title 75 of the Oklahoma

Statutes.
Okla. Stat. tit. 36, § 36-6060.3b — OK Code / Title 36 / Section 36-6060.3b
Contraceptive drug coverage
Status: in_force

A. As used in this section:

1. “Contraceptive drugs” means all drugs approved by the United

States Food and Drug Administration that are used to prevent

pregnancy including but not limited to hormonal drugs administered

orally, transdermally, and intravaginally; and

2. “Health benefit plan” means a health benefit plan as defined

pursuant to Section 6060.4 of Title 36 of the Oklahoma Statutes.

B. Any health benefit plan that is offered, issued, or renewed

on or after the effective date of this act that offers coverage for

contraceptive drugs shall provide coverage for an enrollee to

obtain:

1. A three-month supply of a contraceptive drug at once the

first time the enrollee obtains the drug; and

2. A six-month supply of the contraceptive drug at once each

subsequent time that the enrollee obtains the same drug, regardless

of whether the enrollee was enrolled in the health benefit plan the

first time that the enrollee obtained the drug.

An enrollee may obtain only one six-month supply of a covered

prescription drug during each six-month period.

C. Nothing in this section shall be construed to prohibit an

enrollee of a health benefit plan from requesting a smaller supply

or to prohibit a prescribing provider from prescribing a smaller

supply if such a prescription is supported by clinical utility and

medical appropriateness.

D. Nothing in this section shall be construed to require

coverage under a health benefit plan for any medications that could

be used to terminate an existing pregnancy.
Okla. Stat. tit. 36, § 36-999.3 — OK Code / Title 36 / Section 36-999.3
Definitions
Status: in_force

As used in the Oklahoma Subsidence Insurance Act:

1. “Commercial building” means any building, other than a

residence or living unit, permanently affixed to realty located in

this state, including basements, footings, foundations, septic

systems and underground pipes directly servicing the building, but

does not include sidewalks, driveways, parking lots, swimming pools,

patios, pilings, piers, wharves, docks, retaining walls, fences,

land, trees, plants, crops or agricultural field drainage tile;

2. “Commercial coverage” means mine subsidence insurance for a

commercial building;

Oklahoma Statutes - Title 36. Insurance Page 243

3. “Insurer” or “insurers” means insurance companies and

reciprocals licensed and authorized to write homeowner’s insurance

and commercial property insurance policies in this state;

4. “Living unit” means the physical portion designated for

separate ownership or occupancy for residential purposes, of a

building or group of buildings, permanently affixed to realty

located in this state, having elements which are owned or used in

common, including an apartment unit, a condominium unit, a

cooperative unit or any other similar unit, including appurtenant

structures, basements, footings, foundations, septic systems and

underground pipes directly servicing the dwelling or building, but

does not include swimming pools, patios, pilings, wharves, docks,

retaining walls, fences, sidewalks, driveways, land, trees, plants,

crops or agricultural field drainage tile;

5. “Living unit coverage” means mine subsidence insurance for a

living unit;

6. “Mine subsidence” means lateral or vertical ground movement

caused by a failure initiated at the mine level, of man-made

underground mines, including, but not limited to, coal mines, clay

mines, lead and zinc mines, limestone mines, and fluorspar mines

that directly damage residences or commercial buildings. “Mine

subsidence” does not include lateral or vertical ground movement

caused by earthquake, landslide, volcanic eruption, soil conditions,

soil erosion, soil freezing and thawing, improperly compacted soil,

construction defects, roots of trees and shrubs or collapse of storm

and sewer drains and rapid transit tunnels;

7. “Policy” or “policies” means any contract or contracts of

insurance providing the coverage of the Standard Fire Policy and

Extended Coverage Endorsement on any residence, living unit or

commercial building. It does not include those insurance contracts

that are referred to as marine or inland marine policies;

8. “Residence” means a building used principally for

residential purposes up to and including a four-family dwelling,

permanently affixed to realty located in Oklahoma, including

appurtenant structures, basements, footings, foundations, septic

systems and underground pipes directly servicing the dwelling or

building, but does not include living units, swimming pools, patios,

pilings, wharves, docks, retaining walls, fences, sidewalks,

driveways, land, trees, plants, crops or agricultural field drainage

tile; and

9. “Residential coverage” means mine subsidence insurance for a

residence.
Okla. Stat. tit. 36, § 36-604 — OK Code / Title 36 / Section 36-604
"State," "United States" defined
Status: in_force

A. "State" means any state, commonwealth, territory, or

district of the United States.

B. "United States" includes the states, territories, districts,

and commonwealths thereof.
Okla. Stat. tit. 36, § 36-1219.1 — OK Code / Title 36 / Section 36-1219.1
Short title
Status: in_force

Sections 4 through 6 of this act shall be known and may be cited

as the “Health Care Fraud Prevention Act”.
Okla. Stat. tit. 36, § 36-3616 — OK Code / Title 36 / Section 36-3616
Labeling particular policies
Status: in_force

In every policy wherein the subject of the insurance is a motor

vehicle, if the risks insured against do not include bodily injury

and property damage liability, the policy and any certificate or

memorandum thereof shall have imprinted or stamped on the face and

cover or filing back thereof, in a prominent place, the words "THIS

POLICY DOES NOT PROVIDE BODILY INJURY AND PROPERTY DAMAGE LIABILITY

COVERAGES." The words shall be printed or stamped in red ink with

not less than fourteen-point hollow type letters.
Okla. Stat. tit. 36, § 36-6967 — OK Code / Title 36 / Section 36-6967
Confidentiality and privilege of information
Status: in_force

A. Documents, evidence, materials, records, reports, complaints

or other information in the possession or control of the Office of

the Attorney General or Insurance Department that are obtained by,

created by or disclosed to the Office of the Attorney General or

Insurance Commissioner or any other person in the course of an

evaluation, examination, investigation or review made pursuant to

the provisions of the Patient’s Right to Pharmacy Choice Act, the

Pharmacy Audit Integrity Act or Sections 357 through 360 of Title 59

of the Oklahoma Statutes, except as provided in subsection C of this

section, shall be confidential by law and privileged, shall not be

subject to open records request, shall not be subject to subpoena

and shall not be subject to discovery or admissible in evidence in

any private civil action if obtained from the Attorney General,

Insurance Commissioner, or any employees or representatives of the

Attorney General or Insurance Commissioner.

B. Nothing in this section shall prevent the disclosure of a

final order issued against a pharmacy benefits manager by the Office

of the Attorney General or Insurance Commissioner. Such orders

shall be open records.

C. Nothing in this section shall prevent the Attorney General

from making public, in the form of an examination report, any

findings from an examination pursuant to Section 6965 of this title.

It shall be the Attorney General’s sole discretion to determine

whether it is in the public’s interest to publish these findings.

Only the final examination report shall be made public. Any

documents, evidence, materials, records, reports, complaints, or

other information in possession or control of the Attorney General

obtained through the examination shall be confidential by law and

Oklahoma Statutes - Title 36. Insurance Page 1443

privileged, shall not be subject to the Oklahoma Open Records Act,

shall not be subject to subpoena, and shall not be subject to

discovery or admissible evidence in any private civil action if

obtained from the Attorney General.

D. In the course of any hearing made pursuant to the provisions

of the Patient’s Right to Pharmacy Choice Act, the Pharmacy Audit

Integrity Act or Sections 357 through 360 of Title 59 of the

Oklahoma Statutes, nothing in this section shall be construed to

prevent the Insurance Commissioner or any employees or

representatives of the Insurance Commissioner from presenting

admissible documents, evidence, materials, records, reports or

complaints to the adjudicating authority.
Okla. Stat. tit. 36, § 36-2717.1 — OK Code / Title 36 / Section 36-2717.1
Beneficiaries
Status: in_force

A. The owner of a benefit contract shall have the right at all

times to change the beneficiary or beneficiaries in accordance with

the laws or rules of the society unless the owner waives this right

by specifically requesting in writing that the beneficiary

designation be irrevocable. A society may, through its laws or

rules, limit the scope of beneficiary designations and shall provide

that no revocable beneficiary shall have or obtain any vested

interest in the proceeds of any certificate until the certificate

has become due and payable in conformity with the provisions of the

benefit contract.

B. A society may make provision for the payment of funeral

benefits to the extent of such portion of any payment under a

certificate as might reasonably appear to be due to any person

equitably entitled thereto by reason of having incurred expense

occasioned by the burial of the member; provided, the payment shall

not exceed the sum of Fifteen Thousand Dollars ($15,000.00).

C. If, at the death of any member, there is no lawful

beneficiary to whom the insurance benefits are payable, the amount

of such benefits, except to the extent that funeral benefits may be

paid as hereinbefore provided, shall be payable to the personal

representative of the deceased insured; provided, if the owner of

the certificate is other than the insured, such proceeds shall be

payable to such owner.
Okla. Stat. tit. 36, § 36-2810 — OK Code / Title 36 / Section 36-2810
Compensation of officers
Status: in_force

Compensation of officers shall be as provided in the bylaws, and

shall not exceed the sum of Ten Thousand Dollars ($10,000.00) per

annum for the president. Compensation of other officers and

employees shall be fixed by the board of directors at a reasonable

amount for services rendered.
Okla. Stat. tit. 36, § 36-4021 — OK Code / Title 36 / Section 36-4021
Dividends on annuities
Status: in_force

If an annuity or pure endowment contract, other than a

reversionary, survivorship, or group annuity, is participating,

there shall be a provision that the insurer shall annually ascertain

and apportion any divisible surplus accruing on the contract.
Okla. Stat. tit. 36, § 36-2658 — OK Code / Title 36 / Section 36-2658
Membership; voting rights
Status: in_force

Corporations organized under this act shall be mutual

corporations and every person who holds a contract with the

corporation shall be a member of the corporation and shall be

entitled to one or more votes based upon the number of contracts

held, and such members may vote in person or by proxy.
Okla. Stat. tit. 36, § 36-6418 — OK Code / Title 36 / Section 36-6418
Use of filed rates for liability and homeowners'
Status: in_force

insurance.

Each member insurer shall use the filed rate for the homeowners'

liability and homeowners' insurance being written. Any variance

from such rate, including a variance based upon debit, shall be

submitted or filed with the Insurance Commissioner.
Okla. Stat. tit. 36, § 36-6969 — OK Code / Title 36 / Section 36-6969
Restrictions on health benefit plans and pharmacy benefit
Status: in_force

managers — White bagged drugs.

A. As used in this section:

1. "Health benefit plan" means a health benefit plan as defined

pursuant to Section 6060.4 in Title 36 of the Oklahoma Statutes;

2. "Pharmacy benefits manager" means a person that performs

pharmacy benefits management and any other person acting for such

person under a contractual or employment relationship in the

performance of pharmacy benefits management for a managed-care

company, not-for-profit hospital, medical services organization,

insurance company, third-party payor, or a health program

administered by a state agency; and

3. "White bagged drugs" means the distribution of physician

administered medication from a pharmacy, typically a specialty

pharmacy, to the physician's office, hospital, or clinic for

administration.

B. All health benefit plans and pharmacy benefits managers in

this state shall not refuse to authorize, approve, or pay a

Oklahoma Statutes - Title 36. Insurance Page 1444

participating provider for providing covered physician-administered

drugs to covered persons.

C. All white bagged drugs distributed in this state shall meet

supply chain security controls set forth by the federal Drug Supply

Chain Security Act as amended.

D. A health benefit plan or a pharmacy benefits manager of a

plan shall not require a covered patient to self-administer an

injectable drug against a health care provider's recommendation in

accordance with the manufacturer's approved guidelines.

E. Health benefit plans shall not require a covered patient to

pay additional fees for white bagged drugs beyond cost-sharing

obligations as outlined in the individual's plan.

F. Providers and health care facilities shall be permitted to

dispense and administer a covered physician-administered drug based

on a patient's best interest, provided that the health care facility

or provider that administers the drug shall agree to the terms and

conditions of network participation and accept, as payment in full,

reimbursement for the drug at the health insurer's negotiated

contracted rate. The health care facility or provider is prohibited

from billing or collecting from the patient any amount in excess of

or in addition to the patient's cost sharing obligations as outlined

in the individual's plan.

G. Any payor in violation of this act shall be fined a minimum

of Five Thousand Dollars ($5,000.00) per violation, but not more

than Ten Thousand Dollars ($10,000.00) per violation. Fines related

to this section shall not be used when calculating payors, plans, or

members loss ratios and losses incurred pursuant to this subsection

shall not be passed on to the consumer in future rate increases.
Okla. Stat. tit. 36, § 36-4073 — OK Code / Title 36 / Section 36-4073
Transaction of insurance business
Status: in_force

The issuance of a qualified charitable gift annuity by a

qualified charitable organization shall not constitute transacting a

business of insurance in this state.
Okla. Stat. tit. 36, § 36-6129.1 — OK Code / Title 36 / Section 36-6129.1
Annual financial examination of trusts and accounts
Status: in_force

Annually, on or before the fifteenth day of March, and whenever

the Insurance Commissioner deems it to be prudent or necessary, each

organization operating one or more prepaid funeral trusts shall have

a financial examination of each trust and related prepaid funeral

accounts for the preceding calendar year, prepared by a licensed

public accountant or certified public accountant and in accordance

with procedures promulgated by the Insurance Commissioner's office.

The examination also shall evaluate and report on the compliance of

each trust with the provisions of Section 6121 et seq. of Title 36

of the Oklahoma Statutes, relating to prepaid funeral benefits.
Okla. Stat. tit. 36, § 36-4208 — OK Code / Title 36 / Section 36-4208
Dividends
Status: in_force

If a participating policy, there shall be a provision that the

insurer shall annually ascertain and apportion any divisible surplus

accruing on the policy, except that at the option of the insurer

such participation may be deferred to the end of the fifth policy

year. This provision shall not prohibit the payment of additional

dividends on default of payment of premiums or termination of the

policy.

Oklahoma Statutes - Title 36. Insurance Page 932
Okla. Stat. tit. 36, § 36-1424.13 — OK Code / Title 36 / Section 36-1424.13
Renumbered as § 1435.32 of this title by Laws 2001, c
Status: in_force

156, § 35, eff. Nov. 1, 2001.
Okla. Stat. tit. 36, § 36-3614.3 — OK Code / Title 36 / Section 36-3614.3
Disclosure of genetic information
Status: in_force

A. No person who maintains genetic information shall be

compelled to disclose such information pursuant to a request for

compulsory disclosure in any judicial, legislative, or

administrative proceeding, unless:

1. The request for compulsory disclosure is in accordance with

court-ordered paternity testing in a civil action to determine

paternity;

2. The individual whose genetic information is requested is a

party to the proceeding and the genetic information is at issue;

3. The individual whose genetic information was requested was

insured under an insurance policy and the policy as well as the

genetic information is at issue; or

4. The genetic information is for use in a law enforcement

proceeding or investigation or in instances where an insurer

anticipates or is reporting fraud or criminal activity.

B. Notwithstanding any language in this section to the

contrary, this section shall not apply to an insurer or to an

individual or third-party dealing with an insurer in the ordinary

course of underwriting, conducting, or administering the business of

life, disability income, or long-term care insurance or in

connection with any judicial, legislative or administrative

proceeding relating to life, disability income or long-term care

insurance. Nothing in this section is intended to govern an insurer

or to govern an individual or third-party dealing with an insurer in

connection with the obtaining, maintaining, use, disclosure, or

redisclosure of genetic information or the results of a genetic test

in connection with life, disability income or long-term care

insurance or in connection with any judicial, legislative, or

administrative proceeding relating to life, disability income or

long-term care insurance.
Okla. Stat. tit. 36, § 36-901.4 — OK Code / Title 36 / Section 36-901.4
Hearings - Period of advisement - Additional
Status: in_force

information, analysis, consideration and investigation.

A. Not less than ten (10) days in advance of a meeting to

determine whether a hearing will be held, the Insurance Commissioner

shall give notice to each insurer or organization making the filing,

to each party to the filing and to any person who annually requests

in writing to be notified of filings made pursuant to this act, of

the date, time and location of any hearing or rehearing, the name of

the insurer or organization making the filing and of the parties to

the filing and a brief statement of the action requested in the

filing.

B. Hearings shall be open to the public.

C. Any person aggrieved with respect to a rate filing may make

written application to the Commissioner to participate in any

hearing called by the Commissioner. If the Commissioner finds the

application to be supported by reasonable grounds, it may allow the

applicant to appear in person or by counsel.

At the conclusion of any formal hearing and before the final

closing of such hearing, any party in interest upon timely request

shall be granted, as a matter of right, a continuance of twenty-four

(24) hours for the purpose of making examination and analyses of

documents introduced in the hearing.

D. The evidentiary procedures of the Administrative Procedures

Act shall apply to hearings conducted pursuant to this act.

E. Upon written request seasonably made by a person affected by

the hearing, and at such person's expense, the Commissioner shall

cause a full stenographic record of the proceedings to be made by a

competent court reporter. If transcribed, such record shall be a

part of the Commissioner’s record of the hearing, and a copy of such

Oklahoma Statutes - Title 36. Insurance Page 199

stenographic record shall be furnished to any other party having a

direct interest therein at the request and expense of such party.

F. Following a hearing on a filing made pursuant to this act,

the Commissioner may take the matter under advisement for up to

thirty (30) calendar days, subject to the provisions of Section 903

of this title.

G. At any time during the pendency of a filing, the

Commissioner may:

1. Require the submission of additional information by any

party to the filing;

2. Solicit proposals for independent analysis of the filing by

qualified technicians, such technicians to be chosen pursuant to the

provisions of Section 332 of this title;

3. Consider the findings of its employees or the technician;

and

4. Conduct other or additional investigations including

additional hearings.
Okla. Stat. tit. 36, § 36-351 — OK Code / Title 36 / Section 36-351
Renumbered as § 1938 of this title by Laws 1997, c. 418, §
Status: in_force

127, eff. Nov. 1, 1997.
Okla. Stat. tit. 36, § 36-1211 — OK Code / Title 36 / Section 36-1211
Civil penalty
Status: in_force

Any person who violates a cease and desist order of the

Insurance Commissioner issued and served pursuant to the provisions

of Section 1207 of this title, after it has become final, and while

such order is in effect, shall, upon proof thereof to the

satisfaction of the court, forfeit and pay to the State of Oklahoma

a civil penalty of not less than One Hundred Dollars ($100.00), nor

more than One Thousand Dollars ($1,000.00) for each violation.
Okla. Stat. tit. 36, § 36-311A.1 — OK Code / Title 36 / Section 36-311A.1
Short title - Oklahoma Annual Financial Report Act
Status: in_force

Sections 311A.1 through 311A.18 of this title shall be known as

and may be cited as the "Oklahoma Annual Financial Report Act".
Okla. Stat. tit. 36, § 36-4426.1 — OK Code / Title 36 / Section 36-4426.1
Rescission or denial of claim upon grounds of
Status: in_force

misrepresentation.

A. For a policy or certificate that has been in force for less

than six (6) months, an insurer may rescind a long-term care

insurance policy or certificate or deny an otherwise valid long-term

care insurance claim upon a showing of misrepresentation that is

material to the acceptance for coverage.

Oklahoma Statutes - Title 36. Insurance Page 973

B. For a policy or certificate that has been in force for at

least six (6) months but less than two (2) years, an insurer may

rescind a long-term care insurance policy or certificate or deny an

otherwise valid long-term care insurance claim upon a showing of

misrepresentation that is both material to the acceptance for

coverage and which pertains to the conditions for which benefits are

sought.

C. After a policy or certificate has been in force for two (2)

years, it is not contestable upon the grounds of misrepresentation

alone; such policy or certificate may be contested only upon a

showing that the insured knowingly and intentionally misrepresented

relevant facts relating to the insured's health.

D. 1. No long-term care insurance policy or certificate may be

field-issued based on medical or health status.

2. For purposes of this section, "field-issued" means a policy

or certificate issued by an agent or a third-party administrator

pursuant to the underwriting authority granted to the agent or

third-party administrator by an insurer.

E. If an insurer has paid benefits under the long-term care

insurance policy or certificate, the benefit payments may not be

recovered by the insurer in the event that the policy or certificate

is rescinded.

F. Provided further, if under the provisions of this section

said policy or certificate is rescinded by the insurer, then in that

event the insured shall be refunded within thirty (30) days of

rescission all premiums paid to the insurer by the insured for the

policy or certificate.
Okla. Stat. tit. 36, § 36-4109 — OK Code / Title 36 / Section 36-4109
Group annuity; nonforfeiture benefits
Status: in_force

In group annuity contracts there shall be a provision or

provisions, with an appropriate reference thereto in the

certificate, specifying the nature and basis of ascertainment of the

benefits which will be available to an annuitant who contributes to

the cost of the annuity and the conditions of payment thereof in the

event of either the termination of employment of the annuitant,

except by death, or the discontinuance of stipulated payments under

the contract. Such provision or provisions shall, in either of such

events, make available to an annuitant who contributes to the cost

of the annuity a paid-up annuity payable commencing at a fixed date

in an amount at least equal to that purchased by the contributions

of the annuitant, determinable as of the respective dates of payment

of the several contributions, as shown by a schedule in the contract

for that purpose, based upon the same mortality table, rate of

interest and loading formula used in computing the stipulated

payments under such contract. Such provision or provisions may, by

way of exception to the foregoing, provide that if the amount of the

annuity determined as aforesaid from such fixed commencement date

Oklahoma Statutes - Title 36. Insurance Page 929

would be less than One Hundred Twenty Dollars ($120.00) annually,

the insurer may at its option, in lieu of granting such paid-up

annuity, pay a cash surrender value at least equal to that

hereinafter provided.

If cash surrender value, in lieu of such paid-up annuity, is

allowed to the annuitant by the terms of such contract, it may be

either in a single sum or in equal installments over a period of not

more than twelve (12) months and it shall at least equal either (a)

or (b), whichever is less:

(a) The amount of reserve attributable to the annuitant's

contributions less a surrender charge not exceeding thirty-five

percent (35%) of the average annual contribution made by the

annuitant; or

(b) The amount which would be payable as a death benefit at the

date of surrender. Such contract shall also provide that in case of

the death of an annuitant before the commencement date of the

annuity, the insurer shall pay a death benefit at least equal to the

aggregate amount of the annuitant's contributions without interest.

If any benefits are available to the holder in either of such

events, the contract shall contain a provision or provisions

specifying the nature and basis of ascertainment of such benefits.
Okla. Stat. tit. 36, § 36-1424.1 — OK Code / Title 36 / Section 36-1424.1
Renumbered as § 1435.33 of this title by Laws 2001, c
Status: in_force

156, § 35, eff. Nov. 1, 2001.
Okla. Stat. tit. 36, § 36-6820 — OK Code / Title 36 / Section 36-6820
Provision of premium and loss cost data
Status: in_force

An insurer shall provide all premium and loss cost data to the

Insurance Commissioner as the Commissioner requires.
Okla. Stat. tit. 36, § 36-7127 — OK Code / Title 36 / Section 36-7127
Surety bond in lieu of trust requirement
Status: in_force

A. As an alternative to the trust requirements of Section 7126

of this title, an organization may purchase a surety bond in an

amount not less than the minimum funding requirement.

B. The surety bond shall be made payable to the State of

Oklahoma for the benefit of the Insurance Commissioner and all

purchasers of prepaid cemetery merchandise. The bond shall be

approved by the Commissioner.

C. The Commissioner may establish by rule the requirements and

guidelines for the surety bonds required pursuant to this section.

D. A surety bond maintained under the provisions of this

section or Section 7124 of this title may be cancelled or terminated

by the surety only by providing notice to the Commissioner, no later

than thirty (30) days before the effective date of the cancellation

or termination. Notwithstanding the cancellation, termination, or

expiration of a bond maintained under this section or Section 7124

of this title, the surety shall remain liable for obligations

arising during the term of the bond and prior to the termination,

cancellation or expiration.
Okla. Stat. tit. 36, § 36-1250.10 — OK Code / Title 36 / Section 36-1250.10
Enforcement - Standards of performance - Complaints -
Status: in_force

Investigations.

A. The Insurance Commissioner may hire additional employees and

examiners as needed for the enforcement of the provisions of the

Unfair Claims Settlement Practices Act.

B. The Commissioner shall compile the information received from

an insurer pursuant to Section 1250.9 of this title in such a manner

as to enable him to compare it to a minimum standard of performance

which shall be promulgated by the Commissioner. If the

Commissioner, after such comparison is made, finds that the insurer

falls below the minimum standard of performance, he shall cause an

investigation to be made of said insurer as to the reason, if any,

for the substandard performance.

Oklahoma Statutes - Title 36. Insurance Page 317

C. The Commissioner shall also provide for the receiving and

processing of individual complaints alleging violations of the

Unfair Claims Settlement Practices Act by both insurers who are

required to make periodic reports and those who are not required to

make such reports. If the Commissioner in his complaint experience

determines that the number and type of complaints against an insurer

do not meet the minimum standard of performance or are out of

proportion to those against other insurers writing similar lines of

insurance, the Commissioner shall cause an investigation to be made

of the insurer.
Okla. Stat. tit. 36, § 36-1447 — OK Code / Title 36 / Section 36-1447
Delivery of written communications to administrator -
Status: in_force

Compensation of administrator - Use of licensed agents.

A. Any policies, certificates, booklets, termination notices,

or other written communications delivered by the insurer or trust to

the administrator for delivery to policyholders shall be delivered

by the administrator promptly after receipt of instructions to do so

from the insurer or trust.

B. Compensation to an administrator for any policies for which

the administrator adjusts or settles claims shall not be contingent

upon claims experience. The provisions of this subsection shall not

Oklahoma Statutes - Title 36. Insurance Page 372

prevent basing the compensation of an administrator on the amount of

premiums or charges collected or number of claims paid or processed

or the number of covered insureds.

C. An administrator shall only use licensed insurance agents to

do the business of insurance for trusts or insurers administered by

the third-party administrator.
Okla. Stat. tit. 36, § 36-3613 — OK Code / Title 36 / Section 36-3613
Contents of policies in general
Status: in_force

A. The written instrument in which a contract of insurance is

set forth is the policy.

B. Every policy shall specify:

1. The names of the parties to the contract.

2. The insurer's name and complete address.

3. The subject of the insurance.

4. The risks insured against.

5. The time when the insurance thereunder takes effect and the

period during which the insurance is to continue.

6. The premium.

7. The conditions pertaining to the insurance.

C. If under the policy the exact amount of premium is

determinable only at stated intervals or termination of the

contract, a statement of the basis and rates upon which the premium

is to be determined and paid shall be included.

D. This section shall not apply to surety contracts, or to

group insurance policies.
Okla. Stat. tit. 36, § 36-6060.44 — OK Code / Title 36 / Section 36-6060.44
Cost-effectiveness analysis
Status: in_force

The Office of Management and Enterprise Services shall conduct

an analysis no later than November 1, 2022, of the cost-

effectiveness of implementing a shared savings incentive program, as

defined in paragraph 6 of Section 2 of this act, for current

enrollees of the Oklahoma Employees Insurance Plan created pursuant

to the Oklahoma State Employees Benefit Act. If a program is found

to be cost-effective, it shall be implemented as part of the next

open enrollment. The Office shall communicate the rationale for its

decision to the President Pro Tempore of the Senate, the Speaker of

the House of Representatives, and the chairs of the relevant

legislative committees in writing.
Okla. Stat. tit. 36, § 36-1444 — OK Code / Title 36 / Section 36-1444
Payments to administrator - Rights against administrator
Status: in_force

If an insurer or trust utilizes the services of an administrator

pursuant to the terms of a written agreement, the payment to the

administrator of any premiums or charges for insurance by or on

behalf of the insured shall be deemed to have been received by the

insurer or trust. The payment of return premiums or claims by the

insurer or trust to the administrator shall not be deemed payment to

the insured or claimant until the payments are received by the

insured or claimant. Nothing in the Third-party Administrator Act

shall limit any right of the insurer or trust against the

administrator resulting from failure of the administrator to make

payments to the insurer or trust, insureds, or claimants.
Okla. Stat. tit. 36, § 36-3627 — OK Code / Title 36 / Section 36-3627
Minor may give acquittance
Status: in_force

Any minor domiciled in this state who has attained the age of

sixteen (16) years shall be deemed competent to receive and to give

full acquittance and discharge for a payment or payments in

aggregate amount not exceeding Two Thousand Dollars ($2,000.00) in

any one (1) year made by a life insurer as benefits payable to such

minor in compliance with the provisions of an insurance policy,

annuity contract or settlement agreement. No such minor shall be

deemed competent to alienate the right to or to anticipate such

payments.

Oklahoma Statutes - Title 36. Insurance Page 798

This section shall not be deemed to restrict the rights of

minors set forth in subsection B of Section 3606 of this article.
Okla. Stat. tit. 36, § 36-972 — OK Code / Title 36 / Section 36-972
Strengthen Oklahoma Homes (SOH) Program
Status: in_force

A. There is hereby established within the Department of

Insurance the Strengthen Oklahoma Homes (SOH) Program, to continue

until November 1, 2027.

B. This act does not create an entitlement for property owners

or obligate the state in any way to fund the inspection,

construction, or retrofitting of residential property in this state.

Implementation of the SOH Program is subject to the receipt of

federal grants or funds or from other sources of grants or funds.

The Department shall use its best efforts to obtain grants or funds

from the federal government or other funding sources to supplement

the financial resources of the SOH Program that may be provided by

the state.

C. The SOH Program shall apply for financial grants to

construct or retrofit insurable property as defined in Section 963

of Title 36 of the Oklahoma Statutes to resist loss due to a tornado

or other catastrophic windstorm events or hail as prescribed in

subsection B of Section 962 of Title 36 of the Oklahoma Statutes.

D. The SOH Program may also make grants or funding available to

nonprofit entities for projects to construct or retrofit insurable

properties to resist loss due to tornado or other catastrophic

windstorm events or hail if such grants or funding to nonprofit

entities are allowable under grant or funding rules, requirements,

guidelines, or criteria. However, a nonprofit entity shall agree to

administer the grants or funds as the SOH Program would be required

to administer grants or funds, and the entity shall provide

documentation to the Department in a timely manner as requested by

the Department.

E. All mitigation shall be based upon the securing of all

required local permits and applicable inspections in keeping with

local building codes and the Insurance Institute for Business and

Home Safety (IBHS) Fortified Homes Program. Mitigation projects are

subject to random reinspection of all projects.

Oklahoma Statutes - Title 36. Insurance Page 224

F. The Insurance Commissioner may promulgate rules and

eligibility requirements necessary for the proper administration of

this act and pursuant to any instructions or requirements on grants

or funds received by the Department for the SOH Program.
Okla. Stat. tit. 36, § 36-4006 — OK Code / Title 36 / Section 36-4006
Misstatement of age
Status: in_force

There shall be a provision that if the age of the insured or any

other person whose age is considered in determining the premium has

been misstated, any amount payable or benefit accruing under the

policy shall be such as the premium would have purchased at the

correct age or ages.
Okla. Stat. tit. 36, § 36-6950 — OK Code / Title 36 / Section 36-6950
Effective date of notices by Insurance Commissioner
Status: in_force

All notices by the Insurance Commissioner to a health

maintenance organization that may result in regulatory action under

this act shall be effective upon the date the notice is postmarked

by the United States Postal Service if transmitted by registered or

certified mail or, in the case of any other transmission, shall be

Oklahoma Statutes - Title 36. Insurance Page 1428

effective upon the health maintenance organization’s receipt of

notice.
Okla. Stat. tit. 36, § 36-1424.15 — OK Code / Title 36 / Section 36-1424.15
Renumbered as § 1435.35 of this title by Laws 2001, c
Status: in_force

156, § 35, eff. Nov. 1, 2001.
Okla. Stat. tit. 36, § 36-2917 — OK Code / Title 36 / Section 36-2917
Contributions to insurer
Status: in_force

Oklahoma Statutes - Title 36. Insurance Page 746

The attorney or other parties may advance to a domestic

reciprocal insurer upon reasonable terms such funds as it may

require from time to time in its operations. Sums so advanced shall

not be treated as a liability of the insurer, and, except upon

liquidation of the insurer, shall not be withdrawn or repaid except

out of the insurer's realized earned surplus in excess of its

minimum required surplus. No such withdrawal or repayment shall be

made without the advance approval of the Insurance Commissioner.
Okla. Stat. tit. 36, § 36-1687 — OK Code / Title 36 / Section 36-1687
Consent to jurisdiction of Commissioner
Status: in_force

Insurers subject to this act consent to the jurisdiction of the

Insurance Commissioner with regard to ongoing oversight of

operations, management and solvency relating to the transferred

business, including the authority of the Commissioner to conduct

financial analysis and examinations.
Okla. Stat. tit. 36, § 36-2661 — OK Code / Title 36 / Section 36-2661
Nonliability of corporation
Status: in_force

No liability shall attach to any corporation holding a

certificate of authority under this article by reason of the failure

on the part of any of its participating optometrists to render

service, except as herein provided, to any of its subscribers, nor

for the negligence, malpractice or other acts of its participating

optometrists.
Okla. Stat. tit. 36, § 36-2691.7 — OK Code / Title 36 / Section 36-2691.7
Inducements prohibited
Status: in_force

No chiropractic service corporation, and no director, trustee,

officer, agent, employee, solicitor or other representative thereof

shall pay, allow or give, or offer to pay, allow or give, directly

or indirectly, as an inducement of membership, any rebate of

premiums or dues, payable on the policy or contract, or any special

favor or advantage in the dividends or other benefits to accrue

thereon, or any paid employment contract for services of any kind or

any value, consideration or inducement whatever; nor give, sell or

purchase, or offer to give, sell or purchase, as an inducement of

membership or in connection therewith, any stock, dividends or other

securities of any insurance company or other corporation,

association or partnership, or any dividends or profits to accrue

thereon or anything of value whatever.
Okla. Stat. tit. 36, § 36-6951 — OK Code / Title 36 / Section 36-6951
Requirements for RBC reports filed in 2003
Status: in_force

For Risk-based Capital (RBC) reports required to be filed by

health maintenance organizations in 2003, the following requirements

shall apply in lieu of the provisions of Sections 40, 41, 42 and 43

of this act:

1. In the event of a Company Action Level Event in a domestic

health maintenance organization, the Insurance Commissioner shall

take no regulatory action under this act;

2. In the event of a Regulatory Action Level Event under the

provisions of paragraphs 1, 2 or 3 of subsection A of Section 41 of

this act the Commissioner shall take the actions required under

Section 40 of this act;

3. In the event of a Regulatory Action Level Event under

paragraphs 4, 5, 6, 7, 8 or 9 of subsection A of Section 41 of this

act or an Authorized Control Level Event, the Commissioner shall

take the actions required under Section 41 of this act; or

4. In the event of a Mandatory Control Level Event in a health

maintenance organization, the Commissioner shall take the actions

required under Section 42 of this act.
Okla. Stat. tit. 36, § 36-2623 — OK Code / Title 36 / Section 36-2623
Conversion to domestic mutual insurer
Status: in_force

A. A hospital service and medical indemnity corporation, as

provided for in Article 26 of the Insurance Code, may be converted

to a domestic mutual insurer as provided for in Article 21 of the

Insurance Code under such plan and procedure as shall be approved by

the order of the Insurance Commissioner.

B. The Commissioner shall approve any such plan or procedure if

he finds:

1. That the plan would not be contrary to the interests of the

subscribers or contract holders or to the public;

2. That the plan has been approved by the corporation in

accordance with its articles of incorporation and bylaws;

3. Upon conversion, the corporation shall have the minimum

surplus required of mutual insurers organized pursuant to Article 21

of the Insurance Code;

4. Upon completion of conversion to a mutual insurer as

provided for in this section, such corporation shall be subject to

and comply with all laws and regulations applicable to a mutual

insurer organized pursuant to Article 21 of the Insurance Code;

5. The plan provides for definite conditions to be fulfilled by

a designated early date upon which such mutualization will be deemed

effective; and

6. The plan provides for the protection of all existing

contractual rights of subscribers or contract holders for medical

and hospital service or care or claims for reimbursement therefor,

and for the mutual insurer organized pursuant to Article 21 of the

Insurance Code to assume, without reincorporation, all assets and

liabilities of the corporation.

C. The corporation organized pursuant to Article 26 of the

Insurance Code shall have such period of time as shall be specified

in the order of the Commissioner to complete its conversion to a

mutual insurer organized pursuant to Article 21 of the Insurance

Code.
Okla. Stat. tit. 36, § 36-1435.41 — OK Code / Title 36 / Section 36-1435.41
Providing insurance policy information - Exception
Status: in_force

A. An insurer shall provide to any insurance producer

authorized to sell life, accident or health insurance products,

whose appointment has been terminated for any reason other than the

reasons set forth in Section 1435.13 of this title, information

relating to the policy of the person who purchased a product from

such producer if the insured has signed a form authorizing the

release of the information.

B. The Insurance Commissioner shall prescribe the form required

by subsection A of this section. The form shall be in compliance

with federal and state laws and regulations relating to privacy.

C. This section shall not apply to any policy sold or serviced

by the insurance producer while associated with the insurer's

captive distribution system.
Okla. Stat. tit. 36, § 36-2417 — OK Code / Title 36 / Section 36-2417
Misdemeanor; violation of article
Status: in_force

Any officer of a corporation subject to the provisions of this

article, and any person or agent representing such corporation, who

shall transact, or attempt to transact, in any manner whatever, any

business in this state until such corporation has complied with the

provisions of this article, or any person who shall violate any of

Oklahoma Statutes - Title 36. Insurance Page 674

the provisions of this article shall be deemed guilty of a

misdemeanor and upon conviction, shall be fined in any sum not less

than One Hundred Dollars ($100.00) nor more than Five Hundred

Dollars ($500.00).
Okla. Stat. tit. 36, § 36-2802 — OK Code / Title 36 / Section 36-2802
Certificate by incorporators - Contents
Status: in_force

Such persons shall make and subscribe to a certificate setting

forth therein:

First. The name by which the association shall be known.

Second. A central office or business address.

Third. That the object of the association shall be only the one

contemplated in this article.

Fourth. The names and addresses of at least ten persons

organizing the same.

Fifth. Agreeing that the association shall insure and enforce

only those contracts which may be by them entered into by which the

beneficiaries entering thereinto shall agree to be assessed for

incidental expenses and for the payment of losses to insured members

for loss to property by casualty contemplated in this article.
Okla. Stat. tit. 36, § 36-2811 — OK Code / Title 36 / Section 36-2811
Annual reports to Commissioner; reissuance of
Status: in_force

certificate; fees.

Every such association shall annually, on or before March first,

render a statement in writing to the Insurance Commissioner, showing

the status of such company at the close of business on December

31st, next preceding; the names and addresses of its officers; the

number of members; amount of insurance in force; the county or

counties wherein property insured is located; the number of losses,

amounts claimed for losses, appraisement of loss, amounts paid to

beneficiaries, amounts collected from members, the percentage of

assessments to the total amount of insurance in force; the amount of

losses due and unpaid, why unpaid; the amount of losses contested,

Oklahoma Statutes - Title 36. Insurance Page 740

rejected, resisted or reduced, and why so contested, rejected,

resisted or reduced; and any other information which shall be

required of it by the Insurance Commissioner, which statement shall

be sworn to by the president or vice-president and secretary. Upon

receipt of such annual statement, the Insurance Commissioner shall

annually reissue a certificate to every such association, if, upon

examination he is of the opinion that such association is doing

business in compliance with the provisions of this article. Every

such association may publish once yearly in weekly newspaper of

general circulation in the county of its business and post office

address, the annual certificate issued to it by the Insurance

Commissioner, authorizing it to continue business.
Okla. Stat. tit. 36, § 36-985.1 — OK Code / Title 36 / Section 36-985.1
Regulation of rates in market without competition
Status: in_force

A. If the Commissioner determines that competition does not

exist in a market and issues a ruling to that effect pursuant to

Section 984 of Title 36 of the Oklahoma Statutes, the rates

applicable to insurance sold in that market shall be regulated in

accordance with the provisions of Sections 985 through 989 of Title

36 of the Oklahoma Statutes that are applicable to noncompetitive

markets.

B. Any rate in effect at the time the Commissioner determines

that competition does not exist pursuant to Section 984 of Title 36

of the Oklahoma Statutes shall be deemed to be in compliance with

the laws of this state unless disapproved pursuant to the procedures

and rating standards contained in Sections 985 through 989 of Title

36 of the Oklahoma Statutes that are applicable to noncompetitive

markets.

Oklahoma Statutes - Title 36. Insurance Page 234

C. Any insurer having a rate filing in effect at the time the

Commissioner determines that competition does not exist pursuant to

Section 984 of Title 36 of the Oklahoma Statutes may be required to

furnish supporting information within thirty (30) days of a written

request by the Commissioner.
Okla. Stat. tit. 36, § 36-6529 — OK Code / Title 36 / Section 36-6529
Suspension of implementation if inconsistent with federal
Status: in_force

law.

In the event that the Congress of the United States enacts laws

legally inconsistent with any portion of this act, the Insurance

Commissioner may suspend implementation of such inconsistent portion

of this act. In such case, the Commissioner shall notify the

Governor, President Pro Tempore of the Senate and the Speaker of the

House of Representatives.
Okla. Stat. tit. 36, § 36-4018 — OK Code / Title 36 / Section 36-4018
Incontestability; annuities
Status: in_force

If any statements, other than those relating to age, sex and

identity are required as a condition to issuing an annuity or pure

endowment contract, other than a reversionary, survivorship, or

group annuity, and subject to Section 4020 of this article, there

shall be a provision that the contract shall be incontestable after

it has been in force during the lifetime of the person or of each of

the persons as to whom such statements are required, for a period of

two (2) years from its date of issue, except for nonpayment of

stipulated payments to the insurer; and at the option of the insurer

such contract may also except any provisions relative to benefits in

the event of disability and any provisions which grant insurance

specifically against death by accident or accidental means.
Okla. Stat. tit. 36, § 36-7109 — OK Code / Title 36 / Section 36-7109
Administration of act - Rules and regulations
Status: in_force

The Perpetual Care Fund Act shall be administered by the

Insurance Commissioner. The Commissioner is authorized to

promulgate reasonable rules and regulations concerning the keeping

and inspection of records, the filing of contracts and reports, and

all other matters concerning the orderly administration and

implementation of the Perpetual Care Fund Act.
Okla. Stat. tit. 36, § 36-997 — OK Code / Title 36 / Section 36-997
Commercial special risks
Status: in_force

Commercial Special Risks.

A. The following categories of commercial lines risks,

excluding employer's liability line, workers’ compensation and

excess workers’ compensation, are special risks and are exempted

from the filing and review requirements set forth in Section 987 of

this title:

1. Risks which are written on an excess or umbrella basis;

2. Commercial lines insurance risks which produce a minimum

annual premium total of Ten Thousand Dollars ($10,000.00); and

3. Specifically designated special risks, including:

a. risks insured under the provisions of the Highly

Protected Risks Rating Plan,

b. all commercial insurance aviation risks,

c. all credit insurance risks,

d. all boiler, machinery or equipment breakdown risks,

e. all inland marine risks,

f. all fidelity and surety risks, and

g. any other risk that the Commissioner determines to

fall within the special risk category.

B. Underwriting files, premiums, loss and expense statistics,

financial and other records with regard to special risks written by

an insurer shall be maintained by the insurer and shall be subject

to examination by the Commissioner.
Okla. Stat. tit. 36, § 36-6470.12 — OK Code / Title 36 / Section 36-6470.12
Discounting of loss and loss adjustment expense
Status: in_force

reserves – Actuarial opinion.

A. Upon written application, accompanied by such information as

the Commissioner requires, the Insurance Commissioner may grant

permission to a sponsored captive insurance company or a special

purpose captive insurance company to discount loss and loss

adjustment expense reserves at treasury rates applied to the

Oklahoma Statutes - Title 36. Insurance Page 1221

applicable payments projected through the use of the expected

payment pattern associated with the reserves.

B. A sponsored captive insurance company and a special purpose

captive insurance company, and any captive insurer, at the

Commissioner's discretion, shall file annually an actuarial opinion

on the company's loss and loss adjustment expense reserves or life

and health policy and claim reserves, as applicable. The individual

who prepares the Statement of Actuarial Opinion must be independent

of the captive company and its affiliates.

C. The Insurance Commissioner may disallow the discounting of

reserves if a captive insurance company violates a provision of this

title.
Okla. Stat. tit. 36, § 36-2121 — OK Code / Title 36 / Section 36-2121
Participating policies
Status: in_force

A. If so provided in its articles of incorporation, a domestic

stock or domestic mutual insurer may issue any or all of its

policies with or without participation in profits, savings, or

unabsorbed portions of premiums, may classify policies issued on a

participating or nonparticipating basis, and may determine the right

to participate and the extent of participation of any class or

classes of policies. Any such classification or determination shall

be reasonable, and shall not unfairly discriminate as between

policyholders within the same such classification. A life insurer

may issue both participating and nonparticipating policies only if

Oklahoma Statutes - Title 36. Insurance Page 631

the right or absence of right to participate is reasonably related

to the premium charged.

B. No dividend, otherwise earned, shall be made contingent upon

the payment of renewal premium on any policy.
Okla. Stat. tit. 36, § 36-6124.2 — OK Code / Title 36 / Section 36-6124.2
Application for change of name of a prepaid funeral
Status: in_force

benefit permit holder.

A. No organization shall change the name under which it sells

prepaid funeral benefits except as provided in this section. The

organization shall obtain approval from the Insurance Commissioner

at least thirty (30) days prior to changing the name of the permit

holder. The application for change of name shall be in the manner

and form prescribed by the Insurance Commissioner and shall contain,

at a minimum, the following information:

1. The name of the organization as it currently appears on its

permit;

2. The proposed new name of the organization;

3. The proposed date the name change will become effective;

4. The business address of the organization; and

5. The organization's primary email address.

B. The Insurance Commissioner may deny the organization's

change of name upon good cause shown.

C. Upon approval of a change of name, the Insurance

Commissioner shall issue a prepaid funeral benefit permit with the

new name.

D. Every organization shall display in a conspicuous place at

all times on the premises of the organization all permits issued

pursuant to the provisions of this act. No organization may consent

to or allow the use or display of the permit by a person other than

Oklahoma Statutes - Title 36. Insurance Page 1142

the persons authorized to represent the organization in contracting

prepaid funeral benefits.

E. The Insurance Commissioner may promulgate rules concerning

matters incidental to this section.

F. Organizations shall not conduct prepaid funeral benefit

business under any name or at a different business address other

than that specified in the permit.
Okla. Stat. tit. 36, § 36-2509 — OK Code / Title 36 / Section 36-2509
Consolidation of companies; transfer or reinsurance of
Status: in_force

risks.

No stipulated premium insurance company or association organized

under this article shall consolidate with another company or

transfer or reinsure its risks with any other corporation, company

or association or assume or reinstate the whole or any part of the

risks of any other company or association, except with the approval

of the Insurance Commissioner, and a majority of the stockholders

present and voting at a regular or special meeting duly called.
Okla. Stat. tit. 36, § 36-1906 — OK Code / Title 36 / Section 36-1906
Grounds for liquidation
Status: in_force

The Insurance Commissioner may apply to the court for an order

appointing the Commissioner as receiver (if the appointment of the

Commissioner as receiver shall not be then in effect) and directing

the Commissioner to liquidate the business of a domestic insurer,

foreign or of the United States branch of an alien insurer having

trusteed assets in this State, regardless of whether or not there

Oklahoma Statutes - Title 36. Insurance Page 535

has been a prior order directing the Commissioner to rehabilitate

such insurer, upon any grounds specified in Section 1905 of this

title, or if such insurer:

1. Has ceased transacting business for a period of one (1)

year, or

2. Is an insolvent insurer and has commenced voluntary

liquidation or dissolution, or attempts to commence or prosecute any

action or proceeding to liquidate its business or affairs, or to

dissolve its corporate charter, or to procure the appointment of a

receiver, trustee, custodian, or sequestrator under any law except

this Code.

3. Has failed, if a domestic insurer, to obtain from the

Insurance Commissioner a certificate of authority to transact a

business of insurance in Oklahoma for one of the immediately

preceding five (5) years.
Okla. Stat. tit. 36, § 36-1112 — OK Code / Title 36 / Section 36-1112
Solvent insurer required - License revocation -
Status: in_force

Penalties.

A. A surplus lines licensee or broker shall not knowingly place

any such coverage with a nonadmitted insurer which is in an unsound

financial condition. To be considered financially sound, a surplus

lines insurer shall meet the requirements of Section 1106 of this

title.

B. For violation of this section, in addition to any other

penalty provided by law, the surplus lines broker's license shall be

revoked, and the broker shall not again be so licensed within a

period of two (2) years thereafter. In addition, any surplus lines

licensee and broker who violates this section shall be guilty of a

misdemeanor and upon conviction thereof shall be punished for each

offense, by a fine of not more than One Thousand Dollars ($1,000.00)

or by confinement in jail for not more than ninety (90) days, or by

both such fine and imprisonment.
Okla. Stat. tit. 36, § 36-1604 — OK Code / Title 36 / Section 36-1604
Approval of investment
Status: in_force

No investment or loan shall be made by an insurer unless the

same has been authorized or approved by the insurer's board of

directors or by a committee or corporate officer authorized thereby

and charged with the duty of supervising or making such investment

or loan. The minutes of any such committee shall be recorded and

regular reports of such committee shall be submitted to the board of

directors. This section does not apply to loans made by a life

insurer on policies or annuity contracts.
Okla. Stat. tit. 36, § 36-1230 — OK Code / Title 36 / Section 36-1230
Solicitation or acceptance of an assignment of post-loss
Status: in_force

insurance benefits prohibited — Violations.

A. For purposes of this act:

1. "Assignment agreement" means any instrument by which post-

loss benefits under an auto or residential or commercial property

insurance, including, but not limited to, any right of action

against the insurer or any proceeds acquired from the insurer, are

assigned, transferred, or acquired in any other manner, in whole or

in part, to or from a person providing services, including, but not

limited to, communicating with an insurer on an insured's behalf or

inspecting, estimating, protecting, repairing, restoring, or

replacing the property or mitigating against further damage to the

property; and

2. "Person" means:

Oklahoma Statutes - Title 36. Insurance Page 303

a. a natural person,

b. a service provider,

c. any type or form of corporation, company, partnership,

proprietorship, association, or other legal entity,

and

d. a government, governmental subdivision or agency, or

other governmental body.

B. 1. A person shall not solicit or accept an assignment, in

whole or in part, of any post-loss insurance benefit for property

damage under an auto collision or comprehensive policy, residential

property insurance policy, or commercial property insurance policy.

An assignment agreement is against public policy and is null and

void, and any contract entered in violation of this section shall be

void and unenforceable.

2. The provisions of paragraph 1 of this subsection do not

apply to any of the following:

a. an assignment, transfer, pledge, or conveyance granted

to a federally insured financial institution,

mortgagee, or a subsequent purchaser of the property,

or

b. liability coverage under an auto, residential, or

commercial property insurance policy.

C. Violation of subsection B of this section is considered an

unfair or deceptive trade practice. Any person who is found to have

violated the provisions of subsection B of this section shall be

subject to the procedures and penalties as other unfair or deceptive

trade practices outlined in Title 36 of the Oklahoma Statutes.

D. Nothing in this section shall be interpreted to prohibit an

attorney from collecting an attorney fee for an action related to a

property insurance claim.

E. Nothing in this section shall be construed to prohibit an

insured from authorizing or directing payment to, or paying, a

person for services, materials, or any other thing which may be, or

is, covered under an insurance policy. Insurers shall issue payment

directly to a person for services, materials, and other items that

are covered under an insurance policy, when the insured agrees that

any person providing such services should be paid directly, subject

to applicable liens.
Okla. Stat. tit. 36, § 36-1602 — OK Code / Title 36 / Section 36-1602
Eligible investments
Status: in_force

A. Insurers shall invest in or loan their funds on the security

of, and shall hold as assets, only eligible investments as

prescribed in this article.

B. Any particular investment held by an insurer on the

effective date of this Code or any amendment hereto, and which was a

legal investment at the time it was made, and which the insurer was

legally entitled to possess immediately prior to such effective

date, shall be deemed to be an eligible investment.

C. The eligibility of an investment shall be determined as of

the date of its making or acquisition.

D. Any investment limitation based upon the amount of the

insurer's assets or particular funds shall relate to assets or funds

Oklahoma Statutes - Title 36. Insurance Page 429

as shown by the insurer's annual statement as of December 31 last

preceding date of investment, or as shown by a current financial

statement on file with the Commissioner.
Okla. Stat. tit. 36, § 36-2808 — OK Code / Title 36 / Section 36-2808
Rejection and termination of risks
Status: in_force

The board of directors shall have the right and power to reject

any person, or any risk or part thereof; also to terminate any

membership and any insurance, or part of any insurance, at any time,

upon ten days notice to such member.
Okla. Stat. tit. 36, § 36-1226 — OK Code / Title 36 / Section 36-1226
Renumbered as § 1250.13 of this title by Laws 1994, c
Status: in_force

342, § 20, eff. Sept. 1, 1994.
Okla. Stat. tit. 36, § 36-1250.14 — OK Code / Title 36 / Section 36-1250.14
Violation of act - Penalty
Status: in_force

For any violation of the Unfair Claims Settlement Practices Act,

the Insurance Commissioner may, after notice and hearing, subject an

insurer to a civil penalty of not less than One Hundred Dollars

($100.00) nor more than Five Thousand Dollars ($5,000.00) for each

occurrence. Such civil penalty may be enforced in the same manner

in which civil judgments may be enforced.
Okla. Stat. tit. 36, § 36-7003 — OK Code / Title 36 / Section 36-7003
State-mandated health benefits – Exclusion
Status: in_force

Any insurance company, health maintenance organization or group

health service organization that files a high deductible health

benefit plan pursuant to Section 223(c)(2) of the Internal Revenue

Code as added by Section 1201 of the Medicare Prescription Drug,

Improvement, and Modernization Act of 2003, P.L. 108-173, shall not

be required to offer coverage for any state-mandated health benefits

as defined in Section 22 of this act.
Okla. Stat. tit. 36, § 36-6910 — OK Code / Title 36 / Section 36-6910
Information to be provided to subscribers
Status: in_force

Every health maintenance organization (HMO) shall:

1. Provide to its subscribers electronically or in paper copy a

list of providers upon enrollment and make such list available

electronically or in paper copy upon reenrollment; provided, a

subscriber has submitted written assurances that the subscriber can

view and print such electronic copy;

2. Provide to its subscribers notice of any material change in

the operation of the organization that will affect them directly, no

later than thirty (30) days after such change;

3. Immediately notify an enrollee in writing of the termination

of the enrollee’s primary care provider and shall provide assistance

to the enrollee in transferring to another participating primary

care provider; and

4. Provide to subscribers, electronically or in paper copy,

information on:

a. how to obtain services,

b. where to obtain additional information on access to

services, and

c. how to contact the HMO at no cost to the enrollee.
Okla. Stat. tit. 36, § 36-6470.5 — OK Code / Title 36 / Section 36-6470.5
Adoption of same or confusing name
Status: in_force

A captive insurance company may not adopt a name that is the

same as, deceptively similar to, or likely to be confused with or

mistaken for any other existing business name registered in this

state.
Okla. Stat. tit. 36, § 36-965 — OK Code / Title 36 / Section 36-965
Promulgation of rules to implement and administer the act
Status: in_force

The Insurance Commissioner shall promulgate such rules as are

necessary to implement and administer this act; however, the

Commissioner shall not suggest, set or otherwise impose any standard

discount amount, target or benchmark under this act.
Okla. Stat. tit. 36, § 36-402 — OK Code / Title 36 / Section 36-402
Persons prohibited from engaging in business of insurance
Status: in_force

- Exception - Penalty.

A. No person who has been convicted of any criminal felony

involving dishonesty or a breach of trust, or who has been convicted

of an offense under Section 1033 of Title 18 of the United States

Code, shall engage or participate in the business of insurance in

this state or do any of the acts of an insurance business as set

forth in Section 4 of this act.

B. A person described in subsection A of this section may

engage in the business of insurance or participate in such business

if such person has the written consent of the Insurance

Commissioner.

C. A person who violates subsection A of this section or any

rule promulgated pursuant thereto is subject to a civil penalty of

not more than Ten Thousand Dollars ($10,000.00) for each act of

violation and for each day of violation.

D. The business of insurance includes title insurers for

purposes of the Crimes by or Affecting Persons Engaged in the

Business of Insurance Act.
Okla. Stat. tit. 36, § 36-1435.39 — OK Code / Title 36 / Section 36-1435.39
Refusal of license - Fees not refundable
Status: in_force

A. If the Insurance Commissioner finds that the applicant has

not fully met the requirements for licensing, the Commissioner shall

refuse to issue the license and promptly notify the applicant and

the appointing insurer, when applicable, in writing, of the denial,

stating the grounds therefor.

B. If for any reason a license or appointment is not issued or

renewed by the Commissioner, all fees accompanying the appointment

Oklahoma Statutes - Title 36. Insurance Page 367

or application for the license shall be deemed earned and shall not

be refundable except as provided in Section 24 of this act.
Okla. Stat. tit. 36, § 36-6060.10 — OK Code / Title 36 / Section 36-6060.10
Definitions
Status: in_force

As used in this act:

Oklahoma Statutes - Title 36. Insurance Page 1103

1. "Base period" means the period of coverage pursuant to the

issuance or renewal of a health benefit plan that is required to

provide benefits pursuant to the provisions of Section 6060.11 of

this title;

2. "Health benefit plan" means any plan or arrangement as

defined in subsection C of Section 6060.4 of this title;

3. "Insurer" means any entity providing an accident and health

insurance policy in this state including, but not limited to, a

licensed insurance company, a not-for-profit hospital service and

medical indemnity corporation, a fraternal benefit society, a

multiple employer welfare arrangement or any other entity subject to

regulation by the Insurance Commissioner;

4. "Mental health and substance use disorder" means any

condition or disorder involving a mental health condition or

substance use disorder listed under any of the diagnostic categories

in the mental disorders section of the most recent edition of the

International Classification of Disease or in the mental disorders

section of the most recent version of the Diagnostic and Statistical

Manual of Mental Disorders; and

5. "Mental health and substance use disorder benefits" means

benefits covering items or services for mental health conditions or

substance use disorders, as defined under the terms of the health

benefit plan and in accordance with applicable federal and state

law. Any condition defined by the plan as a mental health condition

or not a mental health condition shall be consistent with the

definition of that condition included in generally recognized

independent standards of current medical practice, including but not

limited to the most recent version of the Diagnostic and Statistical

Manual of Mental Disorders or the most recent edition of the

International Classification of Disease.
Okla. Stat. tit. 36, § 36-1435.3 — OK Code / Title 36 / Section 36-1435.3
Agency of insurance producer - Authority - Commissions
Status: in_force

A. Every insurance producer, as defined pursuant to paragraph 7

of Section 1435.2 of this title, or limited lines producer who

solicits or negotiates an application for insurance of any kind

shall, in any controversy between the insured or the insured's

beneficiary and the insurer, be regarded as representing the insurer

and not the insured or the insured's beneficiary. This provision

shall not affect the apparent authority of an insurance producer.

B. Every surplus lines insurance broker who solicits an

application for insurance of any kind shall, in any controversy

between the insured or the insured's beneficiary and the insurer

issuing any policy upon such application, be regarded as

representing the insured or the insured's beneficiary and not the

Oklahoma Statutes - Title 36. Insurance Page 333

insurer. Any company which directly or through its agents delivers

in this state to any insurance broker, a policy of insurance

pursuant to the application or request of such broker, acting for an

insured other than himself or herself, shall be deemed to have

authorized such broker to receive on its behalf, payment of any

premium which is due on such policy of insurance at the time of its

issuance or delivery.

C. Every licensed insurance producer shall be entitled to

commissions on all premiums collected for group insurance policies

negotiated by the insurance producer on behalf of an insurer and an

insurer shall be required to pay such commissions to the insurance

producer, except entitlement to commissions shall automatically

terminate without notice, effective on the date of the occurrence of

any of the following events:

1. The insurance producer's license to engage in accident and

health insurance business is terminated or revoked by this state or

any other public authority for cause. As used in this paragraph,

"cause" shall be defined as perpetration by the insurance producer

of fraud or embezzlement;

2. Material breach of the insurance producer's contract with

the account or insurer, excluding production requirements;

3. Termination of the insurance producer's "Agent of Record"

relationship with the employer or account; or

4. Death of the insurance producer, unless the contract between

the insurer states otherwise or the right to the commission has

vested.

Recovery of such commissions shall be through civil action. In any

action brought pursuant to this subsection, the court may award

reasonable attorney fees to the prevailing party.
Okla. Stat. tit. 36, § 36-103 — OK Code / Title 36 / Section 36-103
"Insurer" defined
Status: in_force

A. "Insurer" includes every person engaged in the business of

making contracts of insurance or indemnity.

Oklahoma Statutes - Title 36. Insurance Page 42

B. A nonprofit hospital service and medical indemnity

corporation is an insurer within the meaning of this Code.

C. Burial associations shall be deemed not to be insurers.
Okla. Stat. tit. 36, § 36-2912 — OK Code / Title 36 / Section 36-2912
Attorney's bond
Status: in_force

A. Concurrently with the filing of the declaration provided for

in Section 2908 of this article, the attorney of a domestic

reciprocal insurer shall file with the Insurance Commissioner a bond

in favor of the State of Oklahoma for the benefit of all persons

damaged as a result of breach by the attorney of the conditions of

his bond as set forth in subsection B hereof. The bond shall be

executed by the attorney and by an authorized corporate surety, and

shall be subject to the Insurance Commissioner's approval.

B. The bond shall be in the penal sum of Twenty-five Thousand

Dollars ($25,000.00), aggregate in form, conditioned that the

attorney will faithfully account for all monies and other property

of the insurer coming into his hands, and that he will not withdraw

Oklahoma Statutes - Title 36. Insurance Page 745

or appropriate to his own use, from the funds of the insurer, any

monies or property to which he is not entitled under the power of

attorney.

C. The bond shall provide that it is not subject to

cancellation unless thirty (30) days' advance notice in writing of

cancellation is given both the attorney and the Insurance

Commissioner.
Okla. Stat. tit. 36, § 36-7133 — OK Code / Title 36 / Section 36-7133
Failure to assist examination of records - Application
Status: in_force

for receivership.

Whenever any officer of any organization refuses to submit the

books, records, papers and instruments of an organization to the

examination and inspection of the assistants or examiners of the

Insurance Commissioner, or refuses or neglects to establish or

maintain a cemetery merchandise trust fund in accordance with the

requirements of the Cemetery Merchandise Trust Act within ninety

(90) days after a written demand to establish or maintain a cemetery

merchandise trust fund is made by the Commissioner, or in any manner

obstructs or interferes with the examination of its cemetery

merchandise trust fund, or refuses to be examined on oath concerning

any of the affairs of its cemetery merchandise trust fund, the

Commissioner may make application for receivership in the manner of

a domestic insurer pursuant to Sections 1901 through 1920 of this

title of the Oklahoma Statutes, in addition to the penalties and

other enforcement provisions of the Cemetery Merchandise Trust Act.
Okla. Stat. tit. 36, § 36-4400 — OK Code / Title 36 / Section 36-4400
Criteria for inflation protection coverage
Status: in_force

A. In accordance with Section 6021 of the Deficit Reduction Act

of 2005 (P.L. 109-171) and any applicable provision relating to the

Oklahoma Long-Term Care Insurance Partnership Program, any policy

intended to meet the requirements under such Program must meet the

following criteria for inflation protection coverage:

1. For a person who is less than sixty-one (61) years of age as

of the date of purchase of the Partnership policy, such policy

provides annual inflation protection of at least three percent (3%)

per year compounded annually or a rate, compounded annually, that is

based upon changes in the consumer price index;

2. For a person who is at least sixty-one (61) years of age but

less than seventy-six (76) years of age as of the date of purchase

of the Partnership policy, such policy provides annual inflation

protection of at least three percent (3%) simple or a rate that is

based on the annual consumer price index;

3. For a person who is at least seventy-six (76) years of age

as of the date of purchase of the Partnership policy, such policy

may provide inflation protection.

B. Persons who purchase a Partnership policy that meets the

inflation protection criteria in subsection A of this section may

adjust their inflation protection as they age. Their policies will

maintain Partnership status as long as the inflation protection

continues to meet the minimum requirements for their attained age.

C. For the purposes of this section, "consumer price index"

means the consumer price index for all urban consumers as determined

by the Bureau of Labor Statistics within the United States

Department of Labor. The Insurance Commissioner may approve an

alternative index to be used in place of the consumer price index or

alternative inflation protection programs developed by the insurer

if the Commissioner deems that such programs would meet the intent

of this section.
Okla. Stat. tit. 36, § 36-1919 — OK Code / Title 36 / Section 36-1919
Priority of certain claims
Status: in_force

A. In a delinquency proceeding against an insurer domiciled in

this state, claims owning to residents of ancillary states shall be

preferred claims if like claims are preferred under the laws of this

state. All such claims owing to residents or nonresidents shall be

given equal priority of payment from general assets regardless of

where such assets are located.

B. In a delinquency proceeding against an insurer domiciled in

a reciprocal state, claims owing to residents of this state shall be

preferred if like claims are preferred by the laws of that state.

C. The owners of special deposit claims against an insurer for

which a receiver is appointed in this or any other state shall be

given priority against their several special deposits in accordance

with the provisions of the statutes governing the creation and

maintenance of such deposits. If there is a deficiency in any such

deposit so that the claims secured thereby are not fully discharged

therefrom, the claimants may share in the general assets, but such

sharing shall be deferred until general creditors, and also

claimants against other special deposits who have received smaller

percentages from their respective special deposits, have been paid

Oklahoma Statutes - Title 36. Insurance Page 542

percentages of their claims equal to the percentage paid from the

special deposit.

D. The owner of a secured claim against an insurer for which a

receiver has been appointed in this or any other state may surrender

his security and file his claim as a general creditor, or the claim

may be discharged by resort to the security, in which case the

deficiency, if any, shall be treated as a claim against the general

assets of the insurer on the same basis as claims of unsecured

creditors. If the amount of the deficiency has been adjudicated in

ancillary proceedings as provided in this article or if it has been

adjudicated by a court of competent jurisdiction in proceedings in

which the domiciliary receiver has had notice and opportunity to be

heard, such amounts shall be conclusive; otherwise the amount shall

be determined in the delinquency proceeding in the domiciliary

state.
Okla. Stat. tit. 36, § 36-2112 — OK Code / Title 36 / Section 36-2112
Additional kinds of insurance, mutual
Status: in_force

A domestic mutual insurer after being authorized to transact one

kind of insurance shall be authorized by the Insurance Commissioner

to transact such additional kinds of insurance as are authorized

under Section 609 of Article 6 and upon otherwise qualifying

therefor and depositing and thereafter maintaining on deposit with

the State Treasurer through the Insurance Commissioner unimpaired

surplus funds in amount not less than the amount of capital required

of a domestic stock insurer transacting like kinds of insurance, and

subject further to the additional surplus requirements of Section

611 of Article 6 if applicable (expendable additional surplus in

amount of one-half (1/2) of required surplus if it qualifies to

transact more than one kind of insurance within first five (5)

years).
Okla. Stat. tit. 36, § 36-1808 — OK Code / Title 36 / Section 36-1808
Review of actions
Status: in_force

During the period of supervision or conservatorship, the insurer

may request the Commissioner to review an action taken or proposed

Oklahoma Statutes - Title 36. Insurance Page 529

to be taken by the supervisor or conservator, specifying wherein the

action complained of is believed not to be in the best interest of

the insurer, and such request shall stay the action specified

pending review of such action by the Commissioner whose decision

shall be final, subject to judicial review under the Administrative

Procedures Act.
Okla. Stat. tit. 36, § 36-901.3 — OK Code / Title 36 / Section 36-901.3
Filing - Contents and procedure
Status: in_force

A. In order to be complete, a filing shall contain the

following:

1. A memorandum briefly summarizing the gist of the filing;

2. An index to the filing;

3. A clear and concise statement of the action desired to be

taken by the Commissioner;

4. References to the sections of law and to rules and

regulations which authorize the action desired to be taken by the

Insurance Commissioner or which support the information contained in

the filing;

5. An explanation of the application of the filing factors,

which are contained in subsection A of Section 902.2 or subsection B

Oklahoma Statutes - Title 36. Insurance Page 198

of Section 985 of this title, together with assumptions and

conclusions concerning such factors;

6. References to exhibits and other documents contained in the

filing which are relied upon to support the action requested by the

filing; and

7. Any other information required by the Commissioner.

B. If the filer is an advisory organization or joint

underwriting association, it is sufficient for such information to

be provided in summary form for all the filer's members and

subscribers.

C. If a filing is incomplete, the Commissioner shall notify the

filer, in writing, of the necessary materials required by this

article, by rules of the Commissioner or by orders adopted by the

Commissioner to complete the filing.
Okla. Stat. tit. 36, § 36-1473 — OK Code / Title 36 / Section 36-1473
Agent license - Bond - Errors and omissions policy
Status: in_force

A. No person shall act in the capacity of a managing general

agent with respect to risks located in this state for an insurer

unless such person is licensed as a producer pursuant to the

Oklahoma Producer Licensing Act.

B. No person shall act in the capacity of a managing general

agent, representing an insurer domiciled in this state with respect

to risks located outside this state, unless such person is licensed

as a producer pursuant to the Oklahoma Producer Licensing Act.

Provided, such license may be a nonresident license.

C. The Insurance Commissioner may require a bond in the amount

acceptable to the Commissioner for the protection of the insurer.

D. The Insurance Commissioner may require the managing general

agent to maintain an errors and omissions policy.
Okla. Stat. tit. 36, § 36-3619 — OK Code / Title 36 / Section 36-3619
Underwriters' and combination policies
Status: in_force

A. Two or more authorized insurers may jointly issue, and shall

be jointly and severally liable on, an underwriters' policy bearing

their names. Any one insurer may issue policies in the name of an

underwriter's department and such policy shall plainly show the true

name of the insurer.

B. Two or more insurers may, with the approval of the Insurance

Commissioner, issue a combination policy which shall contain

provisions substantially as follows:

1. That the insurers executing the policy shall be severally

liable for the full amount of any loss or damage, according to the

terms of the policy, or for specified percentages or amounts

thereof, aggregating the full amount of insurance under the policy,

and

2. That service of process, or of any notice or proof of loss

required by such policy, upon any of the insurers executing the

policy, shall constitute service upon all such insurers.

C. Two or more insurers may, with the approval of the Insurance

Commissioner, issue a combination policy wherein the subject of

insurance is insured against specific risks or perils. In such

policy the liability for specific risks or perils assumed by each

insurer shall be clearly set out, and each insurer shall be liable

only for the risks or perils specifically assumed.

D. This section shall not apply to co-surety obligations.
Okla. Stat. tit. 36, § 36-6060.22 — OK Code / Title 36 / Section 36-6060.22
Exemption for health benefit plans from autism
Status: in_force

spectrum disorder coverage.

A. 1. A health benefit plan that, at the end of its base

period, experiences a greater than one percent (1%) increase in

premium costs pursuant to providing applied behavior analysis for

treatment of autism spectrum disorders shall be exempt from the

provisions of this act.

2. To calculate base-period-premium costs, the health benefit

plan shall subtract from premium costs incurred during the base

period, both the premium costs incurred during the period

immediately preceding the base period and any premium cost increases

Oklahoma Statutes - Title 36. Insurance Page 1118

attributable to factors unrelated to benefits for treatment of

autism spectrum disorders.

3. a. To claim the exemption provided for in subsection A of

this section a health benefit plan shall provide to

the Insurance Commissioner a written request signed by

an actuary stating the reasons and actuarial

assumptions upon which the request is based.

b. The Commissioner shall verify the information provided

and shall approve or disapprove the request within

thirty (30) days of receipt.

c. If, upon investigation, the Commissioner finds that

any statement of fact in the request is found to be

knowingly false, the health benefit plan may be

subject to suspension or loss of license or any other

penalty as determined by the Commissioner, or the

State Commissioner of Health with regard to health

maintenance organizations.
Okla. Stat. tit. 36, § 36-1475 — OK Code / Title 36 / Section 36-1475
Financial examination and on-site reviews - Binding
Status: in_force

authority for contracts - Notice of appointment or termination -

Review of books and records - Appointments to board.

A. The insurer shall have on file an independent financial

examination, in a form acceptable to the Insurance Commissioner, of

each managing general agent with which it has done business.

B. The insurer shall periodically, at least semi-annually,

conduct an on-site review of the underwriting and claims processing

operations of the managing general agent.

C. Binding authority for all reinsurance contracts or

participation in insurance or reinsurance syndicates shall rest with

an officer of the insurer, who shall not be affiliated with the

managing general agent.

D. Within thirty (30) days of entering into or termination of a

contract with a managing general agent, the insurer shall provide

written notification of such appointment or termination to the

Oklahoma Statutes - Title 36. Insurance Page 382

Insurance Commissioner. Notices of appointment of a managing

general agent shall include:

1. A statement of duties which the applicant is expected to

perform on behalf of the insurer;

2. The lines of insurance for which the applicant is to be

authorized to act; and

3. Any other information the Commissioner may request.

E. An insurer shall review its books and records each quarter

to determine if any agent or broker has become a managing general

agent as defined in Section 2 of this act. If the insurer

determines that an agent or broker has become a managing general

agent, the insurer shall promptly notify the agent or broker and the

Insurance Commissioner of such determination, and the insurer and

agent or broker shall fully comply with the provisions of this act

within thirty (30) days of such notification.

F. An insurer shall not appoint to its board of directors an

officer, director, employee, sub-agent, sub-broker or controlling

shareholder of its managing general agents. This subsection shall

not apply to relationships governed by the insurance holding company

act, Section 1651 et seq. of this title.Oklahoma Statutes - Title 36. Insurance Page 11
Okla. Stat. tit. 36, § 36-6949 — OK Code / Title 36 / Section 36-6949
Severability
Status: in_force

If any provision of the Risk-based Capital (RBC) for Health

Maintenance Organizations Act of 2003 or its application to any

person or circumstance is held invalid, such determination shall not

affect the provisions or applications of this act that can be given

effect without the invalid provision or application, and to that end

the provisions of this act are severable.
Okla. Stat. tit. 36, § 36-6563 — OK Code / Title 36 / Section 36-6563
Liability - Construction of act
Status: in_force

Nothing in the Hospital and Medical Services Utilization Review

Act shall be deemed to reduce or expand the liability of any person

Oklahoma Statutes - Title 36. Insurance Page 1306

or entity for any actions or activities with respect to utilization

review.
Okla. Stat. tit. 36, § 36-6973 — OK Code / Title 36 / Section 36-6973
Reimbursements — Charges — Pricing — Incentivization
Status: in_force

A. No agreement between an insurer or prepaid vision plan and a

vision care provider may require that a provider provide services or

materials at a fee limited or set by the insurer or prepaid vision

plan, unless the services or materials are reimbursed as covered

services or covered materials under the contract.

B. A provider shall not charge more for services and materials

that are not covered services or materials to an enrollee of a

prepaid vision plan or insurer than his or her usual and customary

rate for those services and materials.

C. Reimbursements paid by an insurer or prepaid vision plan for

covered services and covered materials, regardless of the supplier

or optical lab used to obtain materials, shall be at the usual,

customary, and reasonable rate and made available to the vision care

provider prior to the provider accepting a contract from the insurer

or prepaid vision plan. An insurer or prepaid vision plan shall not

provide nominal reimbursement or advertise services and materials to

be covered with additional copay or coinsurance in order to claim

that services and materials are covered services and materials if

the health benefit plan or prepaid vision plan does not reimburse

for the services or materials.

D. Prepaid vision plans shall not in any manner impact the

pricing of noncovered services or materials.

E. Prepaid vision plans shall provide standard reimbursements

for all lenses with the same design, quality, and composition. The

period of time prescribed by a contract between any prepaid vision

plan and a provider for the plan to recover any reimbursement amount

from a provider shall be the same period of time allowed or required

for any provider to recover any reimbursement amount from a prepaid

vision plan.

F. A prepaid vision plan shall not use extrapolation to

complete an audit of a vision care provider. Any additional payment

due to a provider or any refund to a prepaid vision plan shall be

based on actual overpayment or underpayment and shall not be based

on extrapolation.

Oklahoma Statutes - Title 36. Insurance Page 1450

G. A prepaid vision plan shall not incentivize patients to

receive vision care services at an entity owned wholly or in part by

the plan or subsidiaries of the plan. Any entity providing vision

care services shall provide notice to patients that an entity is

owned wholly or in part by the plan or subsidiaries of the plan.

H. No person or entity shall sell, solicit, or negotiate any

prepaid vision plan to an enrollee in this state without an approved

certificate of authority under Section 7 of this act.
Okla. Stat. tit. 36, § 36-1929 — OK Code / Title 36 / Section 36-1929
Allowance of certain claims
Status: in_force

A. No contingent claim shall share in a distribution of the

assets of an insurer which has been adjudicated to be insolvent by

an order made pursuant to this article, except that such claim shall

be considered, if properly presented, and may be allowed to share

where:

1. Such claim becomes absolute against the insurer on or before

the last day for filing proof of claims against the assets of such

insurer, or

2. There is a surplus and the liquidation is thereafter

conducted upon the basis that such insurer is solvent.

B. Where an insurer has been so adjudicated to be insolvent any

person who has a cause of action against an insured of such insurer

under a liability insurance policy issued by such insurer shall have

the right to file a claim in the liquidation proceeding, regardless

Oklahoma Statutes - Title 36. Insurance Page 561

of the fact that such claim may be contingent, and such claim may be

allowed:

1. If it may be reasonably inferred from the proof presented

upon such claim that such person would be able to obtain a judgment

upon such cause of action against such insured, and

2. If such person shall furnish suitable proof, unless the

court for good cause shown shall otherwise direct, that no further

valid claim against such insurer arising out of his cause of action

other than those already presented can be made, and

3. If the total liability of such insurer to all claimants

arising out of the same act of its insured shall be no greater than

his maximum liability would be were it not in liquidation.

C. No judgment against such an insured taken after the date of

entry of the liquidation order shall be considered in the

liquidation proceedings as evidence of liability, or of the amount

of damages, and no judgment against an insured taken by default or

by collusion prior to the entry of the liquidation order shall be

considered as conclusive evidence in the liquidation proceedings,

either of the liability of such insured to such person upon such

cause of action or of the amount of damages to which such person is

therein entitled.

D. No claim of any secured claimant shall be allowed at a sum

greater than the difference between the value of the claim without

security and value of the security itself as of the date of the

entry of the order of liquidation or such other date set by the

court for determining rights and liabilities as provided in section

1825 of this article unless the claimant shall surrender his

security to the Insurance Commissioner, in which event the claim

shall be allowed in the full amount for which it is valued.
Okla. Stat. tit. 36, § 36-2665 — OK Code / Title 36 / Section 36-2665
Tax exemption
Status: in_force

Every corporation doing business pursuant to this article is

hereby declared to be a nonprofit and benevolent institution and to

be exempt from state, county, district, municipal and school tax,

including the taxes prescribed by the Oklahoma Insurance Code, and

excepting only the fees prescribed by Section 321 of the Oklahoma

Insurance Code, and taxes on real and tangible personal property

situate within this state.
Okla. Stat. tit. 36, § 36-1708 — OK Code / Title 36 / Section 36-1708
Release only on order
Status: in_force

No such release of deposited funds shall be made except upon

application to and the written order of the Insurance Commissioner.

The Insurance Commissioner shall have no liability for any such

release of any such deposit or part thereof so made by it in good

faith.
Okla. Stat. tit. 36, § 36-1435.21 — OK Code / Title 36 / Section 36-1435.21
Licensure for purposes of writing controlled business
Status: in_force

prohibited.

A. The Commissioner shall not grant, renew, continue, or permit

to continue any license if the Commissioner finds that the license

is being or will be used by the applicant or licensee for the

purpose of writing controlled business. "Controlled business"

means:

a. insurance written on the interests of the licensee or

those of his or her relatives to the second degree or

of his or her employer, or

b. insurance covering the licensee or relatives of the

licensee to the second degree or a corporation,

association, or partnership of which the licensee or a

member of the licensee’s immediate family is an

officer, director, substantial stockholder, partner,

associate, or employee, or the officers, directors,

substantial stockholders, partners, or employees of

such a corporation, association, or partnership. A

vendor's or lender's interest in property sold or

being sold pursuant to contract or which is security

for any loan shall not be deemed for the purpose of

this provision to constitute property or an interest

of the vendor or lender.

B. A license shall be deemed to have been or intended to be

used for the purpose of writing controlled business if the

Commissioner finds that during any twelve-month period the aggregate

commissions earned from controlled business has exceeded twenty-five

percent (25%) of the aggregate commissions earned on all business

written by the applicant or licensee during the same period.

C. The prohibitions contained in this section concerning

licensing for the writing of controlled business shall not apply to

title insurance producers and limited lines producers.
Okla. Stat. tit. 36, § 36-6475.4 — OK Code / Title 36 / Section 36-6475.4
Applicability of act
Status: in_force

A. Except as provided in subsection B of this section, the

Uniform Health Carrier External Review Act shall apply to all health

carriers.

B. The provisions of the Uniform Health Carrier External Review

Act shall not apply to a policy or certificate that provides

coverage only for a specified disease, specified accident or

accident-only coverage, credit, dental, disability income, hospital

indemnity, long-term care insurance, as defined in Section 4424 of

Title 36 of the Oklahoma Statutes, vision care or any other limited

supplemental benefit or to a Medicare supplement policy of

insurance, as defined in Section 3611.1 of Title 36 of the Oklahoma

Statutes, coverage under a plan through Medicare, Medicaid, or the

federal employees health benefits program, any coverage issued under

Chapter 55 of Title 10, U.S. Code and any coverage issued as

supplement to that coverage, any coverage issued as supplemental to

liability insurance, workers’ compensation or similar insurance,

automobile medical-payment insurance or any insurance under which

benefits are payable with or without regard to fault, whether

written on a group blanket or individual basis.
Okla. Stat. tit. 36, § 36-6403 — OK Code / Title 36 / Section 36-6403
Violations - Penalties
Status: in_force

Failure of any insurer to comply with Section 6401 et seq. of

this title may subject the insurer at the discretion of the

Insurance Commissioner, after notice and opportunity for hearing, to

penalties of censure, suspension or revocation of certification of

authority or a civil penalty of up to Five Thousand Dollars

($5,000.00) for each occurrence or by both such penalty and censure,

suspension or revocation of certificate.
Okla. Stat. tit. 36, § 36-6416 — OK Code / Title 36 / Section 36-6416
Good faith statements - Liability
Status: in_force

There shall be no liability on the part of, and no cause of

action of any nature shall arise against the Insurance Commissioner

or his staff, the Association, its agents or employees, an insurer,

any licensed agent, or the board of directors or its authorized

representatives for any statements made in good faith by them in any

reports or communications, concerning risks insured or to be insured

by the Association, or at any administrative hearings conducted in

connection therewith.
Okla. Stat. tit. 36, § 36-1506 — OK Code / Title 36 / Section 36-1506
Unearned premium reserve
Status: in_force

A. With reference to insurance against loss or damage to

property (except as provided in Section 1507 of this article) and

with reference to all general casualty insurance, and surety

insurance, every insurer shall maintain an unearned premium reserve

on all policies in force.

B. The Insurance Commissioner may require that such reserves

shall be equal to the unearned portions of the gross premiums in

Oklahoma Statutes - Title 36. Insurance Page 387

force after deducting reinsurance in solvent insurers as computed on

each respective risk from the policy's date of issue. If the

Insurance Commissioner does not so require, the portions of the

gross premium in force, less reinsurance in solvent insurers to be

held as a premium reserve, shall be computed according to the

following table:

Term for Which Policy Reserve for Unearned

Was Written Premium

_____________________ _____________________

1 Year or less 1/2

2 Years 1st year 3/4

2nd year 1/4

3 Years 1st year 5/6

2nd year 1/2

3rd year 1/6

4 Years 1st year 7/8

2nd year 5/8

3rd year 3/8

4th year 1/8

5 Years 1st year 9/10

2nd year 7/10

3rd year 1/2

4th year 3/10

5th year 1/10

Over 5 years pro rata

C. Unearned premium reserves on policies written for an

intermediate period shall be calculated at the succeeding longer

period or on a monthly pro rata basis.

D. In lieu of computation according to the foregoing table, all

of such reserves may be computed, at the option of the insurer, on a

monthly or more frequent pro rata basis.

E. After adopting a method for computing such reserve, an

insurer shall not change methods without approval of the Insurance

Commissioner.

F. This section does not apply to title insurance.
Okla. Stat. tit. 36, § 36-6470.31.1 — OK Code / Title 36 / Section 36-6470.31.1
Combination of assets
Status: in_force

Notwithstanding the provisions of paragraph 2 of subsection B of

Section 6470.29 of Title 36 of the Oklahoma Statutes, a sponsored

captive insurance company may combine the assets of two or more

protected cells for purposes of investing those assets. Such a

combination of assets may not be construed as defeating the

segregation of assets required by this act, or for accounting or

other purposes.
Okla. Stat. tit. 36, § 36-625.3 — OK Code / Title 36 / Section 36-625.3
Insurance companies - Home office - Tax credit
Status: in_force

An insurance company that has operated a regional home office in

this state that has qualified for the tax credit provided for in

Section 625.1 of Title 36 of the Oklahoma Statutes and that

redomiciles and moves its home office to this state shall continue

to receive such tax credit under the terms for which is was

originally allowed.
Okla. Stat. tit. 36, § 36-975 — OK Code / Title 36 / Section 36-975
Evaluator requirements
Status: in_force

To be eligible to work on a project funded by the Strengthen

Oklahoma Homes (SOH) Program as an evaluator, the evaluator shall

meet all program requirements, including, but not limited to, those

listed in this section, and maintain a current copy of all

applicable certificates and licenses with the SOH Program office:

1. The evaluator must be in good standing with IBHS and

maintain an active IBHS certification as a FORTIFIED Home Evaluator.

Oklahoma Statutes - Title 36. Insurance Page 227

The evaluator is responsible for paying all fees associated with

certification and training;

2. If applicable, the evaluator shall be registered to do

business in Oklahoma with the Secretary of State;

3. The evaluator shall agree to follow the SOH Program's

procedures and rules as prescribed by the Commissioner;

4. The evaluator shall maintain accurate contact information

with the SOH Program;

5. The evaluator shall not have any financial interest in any

project which they inspect for designation purposes for the SOH

Program;

6. The evaluator shall not be a contractor or supplier of any

materials or products or systems installed in any home they inspect

for designation purposes for the SOH Program;

7. The evaluator shall not be the sales agent for any home

being designated for the SOH Program; and

8. The evaluator shall inform the SOH Program of any potential

conflicts of interest.
Okla. Stat. tit. 36, § 36-4411 — OK Code / Title 36 / Section 36-4411
Nonapplication to certain policies
Status: in_force

Nothing in this article shall apply to or affect:

1. any policy of workers' compensation insurance or any policy

of liability insurance with or without supplementary expense

coverage therein; or

2. any policy or contract of reinsurance; or

3. any blanket or group policy of insurance except as provided

in paragraph F, Section 4405 of this article; or

4. life insurance, endowment or annuity contracts, or contracts

supplemental thereto, which contain only such provisions relating to

accident and health insurance as (a) provide additional benefits in

case of death or dismemberment or loss of sight by accident, as (b)

operate to safeguard such contracts against lapse, or to give a

special surrender value or special benefit or an annuity in the

event that the insured or annuitant shall become totally and

Oklahoma Statutes - Title 36. Insurance Page 956

permanently disabled, as defined by the contract or supplemental

contract, or as (c) provide additional benefits providing

acceleration of life or endowment or annuity benefits in advance of

the time they would otherwise be payable, as an indemnity for long-

term care which is certified or ordered by a physician, including

but not limited to, professional nursing care, medical care

expenses, custodial nursing care, nonnursing custodial care provided

in a nursing home or at a residence of the insured or providing such

acceleration upon the occurrence of a catastrophic disease or

diseases as designated and defined by the policy, provided, no life

insurance policy, except industrial life insurance policy and group

life insurance policy, shall be issued or delivered in this state

which contains or provides accident and health coverage, except as

provided by the foregoing (a), (b) and (c). A rider providing

additional benefits as described in the foregoing (c) shall conform

to the requirements of the Long-Term Care Insurance Act and

accompanying regulations. The Insurance Commissioner shall have

authority to require appropriate reserves for the rider as is

provided for additional reserves in subparagraph (d) of paragraph 3

of Section 1505 of this title. The Insurance Commissioner shall

have power to make reasonable rules and regulations concerning such

provisions, and contracts or supplemental contracts containing such

provisions, and the same shall not be issued or delivered to any

person in the state unless and until a copy of the form thereof has

been filed with the Insurance Commissioner as required by law.
Okla. Stat. tit. 36, § 36-6475.1 — OK Code / Title 36 / Section 36-6475.1
Uniform Health Carrier External Review Act
Status: in_force

Sections 6475.1 through 6475.17 of this title shall be known and

may be cited as the "Uniform Health Carrier External Review Act".
Okla. Stat. tit. 36, § 36-660.8 — OK Code / Title 36 / Section 36-660.8
Converting insurer — Holding company formation — Rights
Status: in_force

and obligations.

A. A converting company, on approval by the Oklahoma Insurance

Commissioner, may reorganize by forming a holding company based on a

mutual plan and continuing the corporate existence of the converting

company as a stock insurance company.

B. A mutual holding company is automatically a party to an

administrative proceeding under Oklahoma Statute involving an

insurance company that, as a result of a reorganization under this

act, is a subsidiary of the mutual holding company. In a proceeding

involving the resulting company, the assets of the mutual holding

company are considered assets of the resulting company for purposes

of satisfying the claims of the resulting company's policyholders.

C. A mutual holding company may not dissolve or liquidate

without the approval of the Commissioner.

D. A mutual holding company may convert to a stock holding

company under this act as if the mutual holding company were a

mutual insurance company.
Okla. Stat. tit. 36, § 36-2660 — OK Code / Title 36 / Section 36-2660
Annual statement; filing; examinations; expenses
Status: in_force

A. Each such corporation shall annually, on or before the last

day of February, file in the office of the Insurance Commissioner a

full, true and complete statement of the condition of the

corporation on the 31st day of December of the preceding year, in

such form as shall be prescribed by the Insurance Commissioner, and

which shall be verified under oath by at least two of the principal

officers of the corporation.

B. Whenever the Insurance Commissioner deems it pertinent or

necessary, and at least once in each three (3) years, the Insurance

Commissioner shall personally, or by his authorized representative,

visit each corporation, and thoroughly inspect and examine its

financial condition, its ability to fulfill its obligations, whether

it has complied with the provisions of the law, and any other facts

relative to its business methods, management and the equity of its

dealings with its members. The Insurance Commissioner may summon

and administer the oath to and examine as witnesses the directors,

officers, trustees, agents, representatives and members of any

corporation and any other person or persons relative to its affairs,

transactions and condition. Any corporation so examined shall pay

the proper charges for the per diem, traveling and other necessary

expenses in connection therewith.

Oklahoma Statutes - Title 36. Insurance Page 698
Okla. Stat. tit. 36, § 36-4055.16 — OK Code / Title 36 / Section 36-4055.16
Authority of Commissioner
Status: in_force

The Insurance Commissioner shall have the authority to:

1. Promulgate regulations implementing the Viatical Settlements

Act of 2008;

2. Establish standards for evaluating reasonableness of

payments under viatical settlement contracts for persons who are

terminally or chronically ill. This authority includes, but is not

limited to, regulation of discount rates used to determine the

amount paid in exchange for assignment, transfer, sale, devise or

bequest of a benefit under a life insurance policy insuring the life

of a person that is chronically or terminally ill;

3. Establish appropriate licensing requirements, fees and

standards for continued licensure for viatical settlement providers

and brokers;

4. Require a bond or other mechanism for financial

accountability for viatical settlement providers and brokers; and

5. Adopt rules governing the relationship and responsibilities

of both insurers and viatical settlement providers and viatical

settlement brokers during the viatication of a life insurance policy

or certificate.
Okla. Stat. tit. 36, § 36-1212 — OK Code / Title 36 / Section 36-1212
Provisions of act additional
Status: in_force

The powers vested in the Commissioner by this article shall be

additional to any other powers to enforce penalties, fines or

forfeitures authorized by law with respect to the methods, acts and

practices hereby declared to be unfair or deceptive.
Okla. Stat. tit. 36, § 36-6570.52 — OK Code / Title 36 / Section 36-6570.52
Adverse determinations to include alternative
Status: in_force

prescription drugs — Qualifications of reviewers.

A utilization review entity shall ensure that all adverse

determinations include alternative prescription drugs covered by the

health plan's formulary and are made by a physician, pharmacist, or

licensed mental health professional. The physician, pharmacist, or

licensed mental health professional shall:

1. Possess a current and valid nonrestricted license in any

United States jurisdiction;

2. Have the appropriate training, knowledge, or expertise to

apply appropriate clinical guidelines to the health care service

being requested; and

3. Make the adverse determination under the clinical direction

provided by the committee or board responsible for developing

policies for drug use, evaluating clinical appropriateness, and

ensuring effective drug use when reviewing prescription drug prior

authorizations to enrollees of Oklahoma. All such medical directors

shall be physicians licensed in any United States jurisdiction.
Okla. Stat. tit. 36, § 36-3306 — OK Code / Title 36 / Section 36-3306
Exemptions--Waiver
Status: in_force

A. An insurer shall be exempt from the requirements of this

act, if:

1. The insurer has annual direct written and unaffiliated

assumed premiums, including international direct and assumed

premiums, but excluding premiums reinsured with the Federal Crop

Insurance Corporation and Federal Flood Program, of less than Five

Hundred Million Dollars ($500,000,000.00); and

2. The insurance group of which the insurer is a member has

annual direct written and unaffiliated assumed premiums including

international direct and assumed premiums, but excluding premiums

reinsured with the Federal Crop Insurance Corporation and Federal

Flood Program, of less than One Billion Dollars ($1,000,000,000.00).

B. If an insurer qualifies for exemption pursuant to paragraph

1 of subsection A of this section, but the insurance group of which

the insurer is a member does not qualify for exemption pursuant to

paragraph 2 of subsection A of this section, then the ORSA Summary

Report that may be required pursuant to Section 5 of this act shall

include every insurer within the insurance group. This requirement

may be satisfied by the submission of more than one ORSA Summary

Report for any combination of insurers, provided any combination of

reports includes every insurer within the insurance group.

C. If an insurer does not qualify for exemption pursuant to

paragraph 1 of subsection A of this section, but the insurance group

of which it is a member qualifies for exemption pursuant to

paragraph 2 of subsection A of this section, then the only ORSA

Oklahoma Statutes - Title 36. Insurance Page 765

Summary Report that may be required pursuant to the provisions of

Section 5 of this act shall be the report applicable to that

insurer.

D. An insurer that does not qualify for exemption pursuant to

subsection A of this section may apply to the Insurance Commissioner

for a waiver from the requirements of this act. In deciding whether

to grant the insurer's request for waiver, the Insurance

Commissioner may consider the type and volume of business written,

ownership and organizational structure, and any other factor the

Insurance Commissioner considers relevant to the insurer or

insurance group of which the insurer is a member. If the insurer is

part of an insurance group with insurers domiciled in more than one

state, the Insurance Commissioner shall coordinate with the lead

state Insurance Commissioner and with the other domiciliary

Insurance Commissioners in considering whether to grant the

insurer's request for a waiver.

E. Notwithstanding the exemptions stated in this section:

1. The Insurance Commissioner may require that an insurer

maintain a risk management framework, conduct an ORSA and file an

ORSA Summary Report based on circumstances including, but not

limited to, the type and volume of business written, ownership and

organizational structure, federal agency requests, and international

supervisor requests; and

2. The Insurance Commissioner may require that an insurer

maintain a risk management framework, conduct an ORSA, and file an

ORSA Summary Report if the insurer has risk-based capital for a

Company Action Level Event as provided by law, meets one or more of

the standards of an insurer deemed to be in hazardous financial

condition as provided by law or otherwise exhibits qualities of a

troubled insurer as determined by the Insurance Commissioner.

F. If an insurer that qualifies for an exemption pursuant to

subsection A of this section subsequently no longer qualifies for

that exemption due to changes in premium as reflected in the

insurer's most recent annual statement or in the most recent annual

statements of the insurers within the insurance group of which the

insurer is a member, the insurer shall have one (1) year following

the year the threshold is exceeded to comply with the requirements

of this act.
Okla. Stat. tit. 36, § 36-4409 — OK Code / Title 36 / Section 36-4409
Age limit
Status: in_force

If any such policy contains a provision establishing, as an age

limit or otherwise, a date after which the coverage provided by the

policy will not be effective, and if such date falls within a period

for which premium is accepted by the insurer or if the insurer

accepts a premium after such date, the coverage provided by the

policy will continue in force subject to any right of cancellation

until the end of the period for which premium has been accepted. In

the event the age of the insured has been misstated and if,

according to the correct age of the insured, the coverage provided

Oklahoma Statutes - Title 36. Insurance Page 955

by the policy would not have become effective, or would have ceased

prior to the acceptance of such premium or premiums, then the

liability of the insurer shall be limited to the refund, upon

request, of all premiums paid for the period not covered by the

policy.
Okla. Stat. tit. 36, § 36-311A.9 — OK Code / Title 36 / Section 36-311A.9
Conduct of audit of financial statements
Status: in_force

Financial statements furnished pursuant to Section 311A.5 of

this title shall be examined by the independent certified public

accountant. The audit of the financial statements of the insurer

shall be conducted in accordance with generally accepted auditing

standards. In accordance with AU Section 319 of the Professional

Standards of the AICPA, Consideration of Internal Control in a

Financial Statement Audit, the independent certified public

accountant should obtain an understanding of internal control

sufficient to plan the audit. To the extent required by AU 319, for

those insurers required to file a Management's Report of Internal

Control over Financial Reporting pursuant to Section 311A.16 of this

title, the independent certified public accountant should consider,

as that term is defined in Statement on Auditing Standards (SAS) No.

102, Defining Professional Requirements in Statements on Auditing

Standards or its replacement, the most recently available report in

planning and performing the audit of the statutory financial

statements. Consideration shall be given to the procedures

illustrated in the Financial Condition Examiners Handbook

promulgated by the National Association of Insurance Commissioners

as the independent certified public accountant deems necessary.