Okla. Stat. tit. 36, § 36-1204

acts or practices defined.

The following are hereby defined as unfair methods of

competition and unfair and deceptive acts or practices in the

business of insurance:

1. Misrepresentations and false advertising of policy

contracts. Making, issuing, circulating, or causing to be made,

issued or circulated, any estimate, illustration, circular or

statement misrepresenting the terms of any policy issued or to be

issued or the benefits or advantages promised thereby or the

dividends or share of the surplus to be received thereon, or making

any false or misleading statement as to the dividends or share of

surplus previously paid on similar policies, or making any

misleading representation or any misrepresentation as to the

financial condition of any insurer, or as to the legal reserve

system upon which any life insurer operates, or using any name or

title of any policy or class of policies misrepresenting the true

nature thereof, or making any misrepresentation to any policyholder

insured in any company for the purpose of inducing or tending to

induce such policyholder to lapse, forfeit, or surrender his or her

insurance;

2. False information and advertising generally. Making,

publishing, disseminating, circulating, or placing before the

public, or causing, directly or indirectly, to be made, published,

disseminated, circulated, or placed before the public, in a

newspaper, magazine, or other publication, or in the form of a

notice, circular, pamphlet, letter or poster, or over any radio or

television station, or in any other way an advertisement,

announcement or statement containing any assertion, representation

or statement with respect to the business of insurance or with

respect to any person in the conduct of his or her insurance

business which is untrue, deceptive or misleading. No insurance

company shall issue, or cause to be issued, any policy of insurance

of any type or description upon life, or property, real or personal,

whenever such policy of insurance is to be furnished or delivered to

the purchaser or bailee of any property, real or personal, as an

inducement to purchase or bail such property, real or personal, and

no other person shall advertise, offer or give free insurance,

insurance without cost or for less than the approved or customary

rate, in connection with the sale or bailment of real or personal

property, except as provided in Section 4101 of this title. No

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person that is not an insurer shall assume or use any name which

deceptively infers or suggests that it is an insurer;

3. Defamation. Making, publishing, disseminating, or

circulating, directly or indirectly, or aiding, abetting or

encouraging the making, publishing, disseminating or circulating of

any oral or written statement or any pamphlet, circular, article or

literature which is false, or maliciously critical of or derogatory

to the financial condition of an insurer, and which is calculated to

injure any person engaged in the business of insurance;

4. Boycott, coercion and intimidation. Entering into any

agreement to commit, or by any concerted action committing, any act

of boycott, coercion or intimidation resulting in or tending to

result in unreasonable restraint of, or monopoly in, the business of

insurance;

5. False financial statements. Filing with any supervisory or

other public official, or making, publishing, disseminating,

circulating or delivering to any person, or placing before the

public or causing directly or indirectly, to be made, published,

disseminated, circulated, delivered to any person or placed before

the public, any false statement of financial condition of an insurer

with intent to deceive.

Making any false entry in any book, report or statement of any

insurer with intent to deceive any agent or examiner lawfully

appointed to examine into its condition or into any of its affairs,
tly or indirectly, to be made, published,

disseminated, circulated, delivered to any person or placed before

the public, any false statement of financial condition of an insurer

with intent to deceive.

Making any false entry in any book, report or statement of any

insurer with intent to deceive any agent or examiner lawfully

appointed to examine into its condition or into any of its affairs,

or any public official to whom such insurer is required by law to

report, or who has authority by law to examine into its condition or

into any of its affairs, or, with like intent, willfully omitting to

make a true entry of any material fact pertaining to the business of

such insurer in any book, report or statement of such insurer;

6. Stock operations and advisory board contracts. Issuing or

delivering or permitting agents, officers, or employees to issue or

deliver agency company stock or other capital stock, or benefit

certificates or shares in any common-law corporation, or securities

or any special or advisory board contracts or other contracts of any

kind promising returns and profits as an inducement to insurance;

7. Unfair discrimination.

(a) Making or permitting any unfair discrimination between

individuals of the same class and equal expectation of

life in the rates charged for any contract of life

insurance or of life annuity or in the dividends or

other benefits payable thereon, or in any other of the

terms and conditions of such contract.

(b) Making or permitting any unfair discrimination between

individuals of the same class and of essentially the

same hazard in the amount of premium, policy fees, or

rates charged for any policy or contract of accident

or health insurance or in the benefits payable

Oklahoma Statutes - Title 36. Insurance Page 273

thereunder, or in any of the terms or conditions of

such contract, or in any other manner whatever.

(c) As to kinds of insurance other than life and accident

and health, no person shall make or permit any unfair

discrimination in favor of particular persons, or

between insureds or subjects of insurance having

substantially like insuring, risk, and exposure

factors, or expense elements, in the terms or

conditions of any insurance contract, or in the rate

or amount of premium charged therefor. This paragraph

shall not apply as to any premium rate in effect

pursuant to Article 9 of the Oklahoma Insurance Code;

8. Rebates.

(a) Except as otherwise expressly provided by law,

knowingly permitting or offering to make or making any

contract of insurance or agreement as to such contract

other than as plainly expressed in the contract issued

thereon; or paying or allowing, or giving or offering

to pay, allow or give, directly or indirectly, as

inducement to any contract of insurance, any rebate of

premiums payable on the contract, or any special favor

or advantage in the dividends or other benefits

thereon, or any valuable consideration or inducement

whatever not specified in the contract; except in

accordance with an applicable rate filing, rating plan

or rating system filed with and approved by the

Insurance Commissioner; or giving or selling or

purchasing or offering to give, sell, or purchase as

inducement to such insurance, or in connection

therewith, any stocks, bonds or other securities of

any company, or any dividends or profits accrued

thereon, or anything of value whatsoever not specified

in the contract or receiving or accepting as

inducement to contracts of insurance, any rebate of

premium payable on the contract, or any special favor

or advantage in the dividends or other benefit to

accrue thereon, or any valuable consideration or

inducement not specified in the contract.
y company, or any dividends or profits accrued

thereon, or anything of value whatsoever not specified

in the contract or receiving or accepting as

inducement to contracts of insurance, any rebate of

premium payable on the contract, or any special favor

or advantage in the dividends or other benefit to

accrue thereon, or any valuable consideration or

inducement not specified in the contract.

(b) Nothing in paragraph 7 or subparagraph (a) of this

paragraph shall be construed as including within the

definition of discrimination or rebates any of the

following practices:

(1) in the case of any contract of life insurance or

life annuity, paying bonuses to policyholders or

otherwise abating their premiums in whole or in

part out of surplus accumulated from

nonparticipating insurance, provided that any

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such bonuses or abatement of premiums shall be

fair and equitable to policyholders and for the

best interest of the company and its

policyholders,

(2) in the case of life or accident and health

insurance policies issued on the industrial debit

or weekly premium plan, making allowance to

policyholders who have continuously for a

specified period made premium payments directly

to an office of the insurer in an amount which

fairly represents the saving in collection

expense,

(3) making a readjustment of the rate of premium for

a policy based on the loss or expense experience

thereunder, at the end of the first or any

subsequent policy year of insurance thereunder,

which may be made retroactive only for such

policy year,

(4) in the case of life insurance companies, allowing

its bona fide employees to receive a commission

on the premiums paid by them on policies on their

own lives,

(5) issuing life or accident and health policies on a

salary saving or payroll deduction plan at a

reduced rate commensurate with the savings made

by the use of such plan, and

(6) paying commissions or other compensation to duly

licensed agents or brokers, or allowing or

returning to participating policyholders, members

or subscribers, dividends, savings or unabsorbed

premium deposits.

(c) As used in this section, the word “insurance” includes

suretyship and the word “policy” includes bond;

9. Coercion prohibited. Requiring as a condition precedent to

the purchase of, or the lending of money upon the security of, real

or personal property, that any insurance covering such property, or

liability arising from the ownership, maintenance or use thereof, be

procured by or on behalf of the vendee or by the borrower in

connection with such purchase or loan through any particular person

or agent or in any particular insurer, or requiring the payment of a

reasonable fee as a condition precedent to the replacement of

insurance coverage on mortgaged property at the anniversary date of

the policy; provided, however, that this provision shall not prevent

the exercise by any such vendor or lender of the right to approve or

disapprove any insurer selected to underwrite the insurance, but any

disapproval of any insurer shall be on reasonable grounds;

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10. Inducements. No insurer, agent, broker, solicitor, or

other person shall, as an inducement to insurance or in connection

with any insurance transaction, provide in any policy for or offer,

sell, buy, or offer or promise to buy, sell, give, promise, or allow

to the insured or prospective insured or to any other person in his

or her behalf in any manner whatsoever:

(a) any employment,

(b) any shares of stock or other securities issued or at

any time to be issued or any interest therein or

rights thereto,

(c) any advisory board contract, or any similar contract,

agreement or understanding, offering, providing for,

or promising any special profits,
the insured or prospective insured or to any other person in his

or her behalf in any manner whatsoever:

(a) any employment,

(b) any shares of stock or other securities issued or at

any time to be issued or any interest therein or

rights thereto,

(c) any advisory board contract, or any similar contract,

agreement or understanding, offering, providing for,

or promising any special profits,

(d) any prizes, goods, wares, merchandise, or tangible

property of an aggregate value in excess of One

Hundred Dollars ($100.00), or

(e) any special favor, advantage or other benefit in the

payment, method of payment or credit for payment of

the premium through the use of credit cards, credit

card facilities, credit card lists, or wholesale or

retail credit accounts of another person. The

provisions of this paragraph shall not apply to

individual policies insuring against loss resulting

from bodily injury or death by accident as defined by

Article 44 of the Oklahoma Insurance Code;

11. Premature disposal of premium notes prohibited. No insurer

or agent thereof shall hypothecate, sell, or dispose of a promissory

note received in payment of any part of a premium on a policy of

insurance applied for prior to the delivery of the policy;

12. Fraudulent statement in application. Any insurance agent,

examining physician, or other person who knowingly or willfully

makes a false or fraudulent statement or representation in or

relative to an application for insurance, or who makes any such

statement to obtain a fee, commission, money, or benefit, shall be

guilty of a misdemeanor;

13. Deceptive use of financial institution’s name in

notification or solicitation. Verbally or by any other means

notifying or soliciting any person in a manner that:

(a) mentions the name of an unrelated and unaffiliated

financial institution,

(b) mentions an insurance product or the possible lack of

insurance coverage,

(c) does not mention the actual or trade name of the

insurance agency or company on whose behalf the

notification or solicitation is provided, and

(d) thereby creates an impression or implication,

including by omission, that the financial institution

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or a financial-institution-authorized entity is or may

be the one making the notification or solicitation.

Nothing in this paragraph shall be interpreted to prohibit the

reference to or use of the name of a financial institution made

pursuant to a contractual agreement between the insurer and the

financial institution; and

14. No insurer or prepaid vision plan organization as defined

in Section 1 of this act which offers multiple prepaid vision plans

may require as a condition of participation in any one prepaid

vision plan that a vision care provider participate in any of the

other prepaid vision plans offered by the insurer or prepaid vision

plan organization.