Okla. Stat. tit. 36, § 36-2128

This is the official text of Okla. Stat. tit. 36, § 36-2128, part of Oklahoma’s Stat. tit. 36, — part of the compiled statutory law of Oklahoma, published by the state as "Stat. tit. 36,." Browse the sections below, each linked to its official government source.

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Impairment of capital or assets

Official statutory text

A. If the capital stock or expendable surplus of a domestic

stock insurer is impaired to an extent of less than twenty percent

(20%) of the required capital stock or expendable surplus, or the

net surplus of a domestic mutual insurer is impaired to an extent of

less than twenty percent (20%) of the minimum amount of surplus

required of it by this Code for authority to transact the kinds of

insurance being transacted, the Commissioner shall serve notice upon

the insurer to make good the deficiency within sixty (60) days after

service of such notice.

B. The deficiency may be made good in cash or in assets

eligible under this code for the investment of the insurer's funds;

or if a stock insurer by reduction of the insurer's capital to an

amount not below the minimum required for the kinds of insurance

thereafter to be transacted; or if a mutual insurer, by amendment of

its certificate of authority to cover only such kind or kinds of

insurance for which the insurer has on deposit sufficient surplus.

C. If the deficiency is not made good and proof thereof filed

with the Commissioner within such sixty-day period, the insurer

shall be deemed insolvent and the Commissioner may institute

delinquency proceedings against it as authorized by this code. If

such deficiency exists because of increased loss reserves required

by the Insurance Commissioner, or because of disallowance by the

Commissioner of certain assets or reduction of the value at which

carried in the insurer's accounts, the Commissioner may in his

discretion and upon application and good cause shown, extend for not

more than an additional sixty (60) days the period within which such

deficiency may be so made good and such proof thereof so filed.

D. If the Commissioner finds that the capital stock or

expendable surplus of a domestic stock insurer is impaired to an

extent of more than twenty percent (20%) of the required capital

stock or expendable surplus, or that the net surplus of a domestic

mutual insurer is impaired to an extent of more than twenty percent

(20%) of the minimum amount of surplus required of it by this code

for authority to transact the kinds of insurance being transacted,

Oklahoma Statutes - Title 36. Insurance Page 652

the insurer shall be deemed insolvent and the Commissioner shall

forthwith institute delinquency proceedings.

Status: in_force · Read it on the official government site

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