Okla. Stat. tit. 85 § 382

Current through Laws 2024, c. 453.

Section 382 - Powers and Authority of CompSource Oklahoma President and Chief Executive Officer - Funding Through Actuarially Sound Rates and Premiums - Losses

A. In conducting the business and affairs of CompSource Oklahoma, the CompSource Oklahoma President and Chief Executive Officer, or other officer to whom such power and authority may be delegated by the CompSource Oklahoma President and Chief Executive Officer, as provided by Section 133 of this title, shall have full power and authority:

1. To enter into contracts of insurance, insuring employers against liability for compensation, and insuring to employees and other persons entitled thereto compensation as provided by the Workers' Compensation Act, Section 1 et seq. of this title;

2. To decline to insure any risk in which the minimum requirements of the law with regard to construction, equipment and operation are not observed, or which is beyond the safe carrying of CompSource Oklahoma, but shall not have power or authority, except as otherwise provided in this act to refuse to insure any compensation risk tendered with the premium therefor;

3. To enter into contracts of insurance insuring persons, firms and corporations against loss, expense or liability by reason of bodily injury, death by accident, occupational disability, or occupational disease suffered by employees for which the insured may be liable or have assumed liability, including, but not limited to, contracts of insurance or reinsurance for the purpose of insuring employers operating in this state and their employees who may work outside this state;

4. To purchase reinsurance for any risk or any portion of any risk of CompSource Oklahoma. The purchase of reinsurance may be made through intermediaries, exclusive of the provisions of The Oklahoma Central Purchasing Act;

5. To inspect and audit, cause to be inspected and audited, or require production of the records of employers insured with or applying for insurance with CompSource Oklahoma against liability for compensation;

6. To contract with physicians, surgeons and hospitals for medical and surgical treatment and the care and nursing of injured persons entitled to benefits from said fund;

7. To meet the reasonable expenses of conducting the business of CompSource Oklahoma;

8. To produce a reasonable surplus to cover catastrophe hazard; and

9. To administer a program in compliance with Section 924.3 of Title 36 of the Oklahoma Statutes, whereby employers may appeal rating classification decisions which are disputed. CompSource Oklahoma shall notify employers of the availability of the program.

B. CompSource Oklahoma must be funded through actuarially sound rates and premiums charged to its policyholders.

C. CompSource Oklahoma shall establish and use rates and rating plans to assure that it is self-funding while those rates are in effect.

D. No later than September 1 of each year, CompSource Oklahoma shall obtain an independent actuarial certification of the results of its operations for prior years.

E. Any premium or assessments collected by CompSource Oklahoma in excess of the amount necessary to fund its projected ultimate incurred losses and expenses and not paid to policyholders insured under CompSource Oklahoma in conjunction with dividend programs shall be retained by CompSource Oklahoma.

F. CompSource Oklahoma losses are the sole and exclusive responsibility of CompSource Oklahoma, and payment for such losses must be funded in accordance with this section and must not come, directly or indirectly, from insurers or any guaranty association for such insurers, except for reinsurance purchased by CompSource Oklahoma.

Okla. Stat. tit. 85, § 382

Repealed by Laws 2013 , c. 254, s. 53, eff. 1/1/2015.

Laws 1933, SB 151, c. 28, p. 60, § 1; Amended by Laws 1937, HB 69, p. 489, §6, emerg. eff. 5/14/1937; Amended by Laws 1994, 2nd Extr. Sess., HB 1002, c. 1, §40, emerg. eff. 11/4/1994; Amended by Laws 1996, SB 1310, c. 363, §8, eff. 11/1/1996; Amended by Laws 2002 , HB 2370, c. 50, §11, eff. 11/1/2002(repealed by Laws 2003 , HB 1816, c. 3, §108, emerg. eff. 3/19/2003); Amended by Laws 2002 , SB 650, c. 145, §1, emerg. eff. 4/29/2002; Amended by Laws 2003 , HB 1816, c. 3, §107, emerg. eff. 3/19/2003; Amended by Laws 2008 , HB 1959, c. 77, §1; Renumbered from 85 O.S. §134 by Laws 2011 , SB 878, c. 318, §88.