Okla. Admin. Code § 365:10-1-6

Current through Vol. 42, No. 8, January 2, 2025

Section 365:10-1-6 - Oklahoma Life and Health Insurance Guaranty Association notice requirements

(a)Purpose. The purpose of this section is to provide the contract or policyholders with information concerning the coverage or non-coverage by the Oklahoma Life and Health Insurance Guaranty Association Act.

(b)Form of notice. The notice for policies or contracts covered or not covered by the Guaranty Association shall be prepared as follows:

(1) The information required by 36 O.S. Section 2043(C) shall be included on the summary document required by 36 O.S. Section 2043(B). The summary document shall:

(A) Prominently warn the policy or contract holder that the Life and Health Insurance Guaranty Association may not cover the policy or, if coverage is available, it will be subject to substantial limitations, exclusions and conditioned on continued residence in the state;

(B) State that the insurer and its agents are prohibited by law from using the existence of the Life and Health Insurance Guaranty Association for the purpose of sales, solicitation or inducement to purchase any form of insurance;

(C) Emphasize that the policy or contract holder should not rely on coverage under the Life and Health Insurance Guaranty Association when selecting an insurer; and

(D) State the name and address of the Life and Health Insurance Guaranty Association and Insurance Department.

(2) The Oklahoma Life and Health Insurance Guaranty Association shall prepare and submit to the Commissioner for the Insurance Commissioner's approval the document required by (1) of this subsection. If the Guaranty Association fails to submit a document that meets with the Commissioner's approval within 30 days after this section is adopted the National Association of Insurance Commissioner Model Notice shall be used.

(3) The notice required by 36 O.S. Section 2043(D) shall be printed in bold fact type on a separate one page document, not less than eight inches by five inches, with type not less than 10-point. The notice shall be entitled, "Special Notice", and shall contain the following information:

(A) Company name and address;

(B) A statement disclosing that all or a portion of the policy or contract is not guaranteed by the insurer or all or a portion of the risk under the policy or contract is borne by the policy or contract holder and is not covered by the Oklahoma Life and Health Insurance Guaranty Association; and

(C) The statements required by (1)(B) and (1)(D) of this subsection.

(c)Separability provision. If any provision of this section or the application thereof to any person or circumstance is for any reason held to be invalid, the remainder of the section and the application of such provisions to the persons or circumstances shall not be affected thereby.

Okla. Admin. Code § 365:10-1-6

Amended at 28 Ok Reg 1960, eff 7-14-11