Oklahoma State Insurance Regulations

Front 1

When the Oklahoma Insurance Department (OID) sends a written request how long does the licensee have to respond?

Back 1

Immediately

Front 2

Can an insurance commissioner require jail time for failing to follow the insurance code?

Back 2

No

Front 3

How many years must an insurance commissioner retain files after he leaves office?

Back 3

Zero. He is required to deliver all furniture, records and property to his successor.

Front 4

What responsibility dose the insurance commissioner have to the consumers?

Back 4

They must continue to educate them.

Front 5

How often must the insurance commissioner report to the governor?

Back 5

Annually or once a year

Front 6

Is the insurance commissioner responsible for maintaining books and records by law?

Back 6

yes

Front 7

Does the insurance commissioner have the authority to approve and monitor the adequacy of insurance company rates.

Back 7

yes

Front 8

Dose the insurance commissioner have jurisdiction over complaints against anyone engaged in the insurance business.

Back 8

yes

Front 9

Can the insurance commissioner conduct examinations of insurance companies

Back 9

yes

Front 10

Can the insurance commissioner adopt rules and regulations to carry out the provisions of the insurance code?

Back 10

yes

Front 11

Who oversees or is the source of regulation in the insurance business?

Back 11

*The State* Oklahoma State Statutes (O.S. Title 36) This is legislature

*The Federal* Takes a watchdog role only steps in when state regulation is inadequate or jurisdiction are in conflict.

*Self-regulation* National Association of Insurance Commissioners (NAIC)

Front 12

What are the requirements to be the insurance commissioner for Oklahoma?

Back 12

*Be at least 25 years of age

*Be a resident of Oklahoma for 5 years

*Have 5 years of experience in the insurance industry

*have no financial interest in any insurer, agency or insurance transactions except as a policy owner or claimant.

Front 13

What authority does the national association of insurance commissioners (NAIC) have?

Back 13

No legal authority, but can conduct hearings, influence licensing, issue cease and desist orders, and asses fines. It can also pursue civil recourse.

Front 14

Who is NAIC?

Back 14

National Association of insurance commissioners. It is a voluntary non-profit organization who's purpose is to promote uniformity among states by proposing standardized laws.

Front 15

The purpose of insurance regulation is:

Back 15

To protect the public interest.

Front 16

What is the first step taken by the OID in the investigation of a violation of the insurance code?

Back 16

They give written notice of a hearing. The notice of the hearing must give at least 5 days notice and not more than 30.

Front 17

What information must be included in the notice given by the OID in a written notice of a hearing.

Back 17

*Time

*place

*reason for the hearing

Front 18

What is the second step in the due process by the OID in the investigation of a violation of the insurance code?

Back 18

A hearing is used to determine if the licensee (producer) has committed a violation.

Front 19

What characteristics does a hearing by the OID share with a court of law?

Back 19

*It is open to the public

*can take depositions

*subpoena witnesses or evedence

Front 20

What characteristics are different in a court of law and an OID hearing?

Back 20

*the outcome (verdict) does not have to be given immediately. A hearing has 30 days to summarize its findings and give them in writing.*no judge

*no court fees

*no jail time can be given

*no jury

Front 21

What is the third step in the due process when the OID is investigating the violation of the insurance code?

Back 21

Orders (punishment)

Front 22

What Orders con be given by the OID if a violation of the insurance code is determined?

Back 22

*issue a cease and desist order

*institute a civil suit

*institute a civil penalty of $100-$1000

*censure, suspend, non-renew, or revoke a licensee's license.

Front 23

What is the last step in the due process of the OID when investigating a violation of the insurance code.

Back 23

Right to appeal: A licensee has the right to appeal an OID action by requesting judicial review within 30 days of the issue of orders.

Front 24

What is the time line that the due process of the OID investigating a violation of the insurance code must follow?

Back 24

*notice of a hearing must be given at least 5 days in advance

*Within 30 days of the end of the hearing a summation and orders must be given

*within 30 days of the order an appeal must be requested

Front 25

At what time can an investigation by the OID be in a court of law

Back 25

after orders have been given either in an appeal or during a civil suit. These will be separate trails presided over by a judge.

Front 26

True or False

The OID has a major responsibility to protect against an insurance company becoming bankrupt or insolvent.

Back 26

True

Front 27

Every insurer must file an Annual Report to the OID exhibiting the financial performance for the previous year by what date?

Back 27

March 1st

Front 28

What is the purpose of an Examination given by the OID?

Back 28

To verify the financial solvency of a company

Front 29

During an Examination the OID will look at:

Back 29

*Financial statements including analysis of adequate capital and surplus (reserves)

*changes in management and ownership

*reports from actuaries and independent financial examiners