Okla. Stat. tit. 36, § 36-4405

A. Required Provisions. Except as provided in subsection D of

this section, each such policy delivered or issued for delivery to

any person in this state shall contain the provisions specified in

this subsection in the words in which the same appear in this

section; provided, however, that the insurer may, at its option,

Oklahoma Statutes - Title 36. Insurance Page 940

substitute for one or more of such provisions corresponding

provisions of different wording approved by the Insurance

Commissioner which are in each instance not less favorable in any

respect to the insured or the beneficiary. Such provisions shall be

preceded individually by the caption appearing in this subsection

or, at the option of the insurer, by such appropriate individual or

group captions or subcaptions as the Insurance Commissioner may

approve.

1. A provision as follows: ENTIRE CONTRACT; CHANGES: This

policy, including the endorsements and the attached papers, if any,

constitutes the entire contract of insurance. No change in this

policy shall be valid until approved by an executive officer of the

insurer and unless such approval be endorsed hereon or attached

hereto. No agent has authority to change this policy or to waive

any of its provisions.

2. A provision as follows: TIME LIMIT ON CERTAIN DEFENSES:

(a) After two (2) years from the date of issue of this policy,

no misstatements, except fraudulent misstatements, made by the

applicant in the application for such policy shall be used to void

the policy or to deny a claim for loss incurred or disability (as

defined in the policy) commencing after the expiration of such two-

year period. The foregoing policy provision shall not be so

construed as to affect any legal requirement for avoidance of a

policy or denial of a claim during such initial two-year period, nor

limit the application of paragraphs 1, 2, 3, 4 and 5 of subsection B

of this section in the event of misstatement with respect to age or

occupation or other insurance. A policy which the insured has the

right to continue in force subject to its terms by the timely

payment of premium (i) until at least fifty (50) years of age or,

(ii) in the case of a policy issued to a person older than forty-

four (44) years of age, for at least five (5) years from its date of

issue, may contain in lieu of the foregoing the following provisions

(from which the clause in parentheses may be omitted at the

insurer's option) under the caption "Incontestable". After this

policy has been in force for a period of two (2) years during the

lifetime of the insured (excluding any period during which the

insured is disabled), it shall become incontestable as to the

statements contained in the application.

(b) No claim for loss incurred or disability (as defined in the

policy) commencing after two (2) years from the date of issue of

this policy shall be reduced or denied on the ground that a disease

or physical condition not excluded from coverage by name or specific

description effective on the date of loss had existed prior to the

effective date of coverage of this policy.

3. A provision as follows: GRACE PERIOD:

(a) A grace period of ______ (insert a number not less than "7"

for weekly premium policies, "10" for monthly premium policies and

Oklahoma Statutes - Title 36. Insurance Page 941

"31" for all other policies) days will be granted for the payment of

each premium falling due after the first premium, during which grace

period the policy shall continue in force.
ovision as follows: GRACE PERIOD:

(a) A grace period of ______ (insert a number not less than "7"

for weekly premium policies, "10" for monthly premium policies and

Oklahoma Statutes - Title 36. Insurance Page 941

"31" for all other policies) days will be granted for the payment of

each premium falling due after the first premium, during which grace

period the policy shall continue in force.

(b) A policy in which the insurer reserves the right to refuse

renewal shall have, at the beginning of the above provision, "Unless

not less than thirty (30) days prior to the premium due date the

insurer has delivered to the insured or has mailed to his last

address as shown by the records of the insurer written notice of its

intention not to renew this policy beyond the period for which the

premium has been accepted."

4. A provision as follows: REINSTATEMENT:

(a) If any renewal premium be not paid within the time granted

the insured for payment, a subsequent acceptance of premium by the

insurer or by any agent duly authorized by the insurer to accept

such premium, without requiring in connection therewith an

application for reinstatement, shall reinstate the policy; provided,

however, that if the insurer or such agent requires an application

for reinstatement and issues a conditional receipt for the premium

tendered, the policy will be reinstated upon approval of such

application by the insurer or, lacking such approval, upon the

forty-fifth day following the date of such conditional receipt,

unless the insurer has previously notified the insured in writing of

its disapproval of such application. The reinstated policy shall

cover only loss resulting from such accidental injury as may be

sustained after the date of reinstatement and loss due to such

sickness as may begin more than ten (10) days after such date. In

all other respects the insured and insurer shall have the same

rights thereunder as they had under the policy immediately before

the due date of the defaulted premium, subject to any provisions

endorsed hereon or attached hereto in connection with the

reinstatement. Any premium accepted in connection with a

reinstatement shall be applied to a period for which premium has not

been previously paid, but not to any period more than sixty (60)

days prior to the date of reinstatement.

(b) The last sentence of the above provision may be omitted from

any policy which the insured has the right to continue in force

subject to its terms by the timely payment of premiums (i) until at

least fifty (50) years of age or, (ii) in the case of a policy

issued to a person older than forty-four (44) years of age, for at

least five (5) years from its date of issue.

5. A provision as follows: NOTICE OF CLAIM:

(a) Written notice of claim must be given to the insurer within

twenty (20) days after the occurrence or commencement of any loss

covered by the policy, or as soon thereafter as is reasonably

possible. Notice given by or on behalf of the insured or the

beneficiary to the insurer at ______ (insert the location of such

office as the insurer may designate for the purpose), or to any

Oklahoma Statutes - Title 36. Insurance Page 942

authorized agent of the insurer, with information sufficient to

identify the insured, shall be deemed notice to the insurer.
n thereafter as is reasonably

possible. Notice given by or on behalf of the insured or the

beneficiary to the insurer at ______ (insert the location of such

office as the insurer may designate for the purpose), or to any

Oklahoma Statutes - Title 36. Insurance Page 942

authorized agent of the insurer, with information sufficient to

identify the insured, shall be deemed notice to the insurer.

(b) In a policy providing a loss-of-time benefit which may be

payable for at least two (2) years, an insurer may, at its option,

insert the following between the first and second sentences of the

above provision: Subject to the qualifications set forth below, if

the insured suffers loss of time on account of disability for which

indemnity may be payable for at least two (2) years, he shall, at

least once in every six (6) months after having given notice of

claim, give to the insurer notice of continuance of said disability

except in the event of legal incapacity. The period of six (6)

months following any filing of proof by the insured or any payment

by the insurer on account of such claim or any denial of liability

in whole or in part by the insurer shall be excluded in applying

this provision. Delay in the giving of such notice shall not impair

the insured's right to any indemnity which would otherwise have

accrued during the period of six (6) months preceding the date on

which such notice is actually given.

6. A provision as follows: CLAIM FORMS: The insurer, upon

receipt of a notice of claim, will furnish to the claimant such

forms as are usually furnished by it for filing proofs of loss. If

such forms are not furnished within fifteen (15) days after the

giving of such notice, the claimant shall be deemed to have complied

with the requirements of this policy as to proof of loss upon

submitting, within the time fixed in the policy for filing proofs of

loss, written proof covering the occurrence, the character and the

extent of the loss for which claim is made.

7. A provision as follows: PROOFS OF LOSS: Written proof of

loss must be furnished to the insurer at its said office in case of

claim for loss for which the policy provides any periodic payment

contingent upon continuing loss within ninety (90) days after the

termination of the period for which the insurer is liable and in

case of claim for any other loss within ninety (90) days after the

date of such loss. Failure to furnish such proof within the time

required shall not invalidate nor reduce any claim if it was not

reasonably possible to give proof within such time, provided such

proof is furnished as soon as reasonably possible and in no event,

except in the absence of legal capacity, later than one (1) year

from the time proof is otherwise required.

8. A provision as follows: TIME OF PAYMENT OF CLAIMS:

Indemnities payable under this policy for any loss other than loss

for which this policy provides any periodic payment will be paid

immediately upon receipt of due written proof of such loss. Subject

to due written proof of loss, all accrued indemnities for loss for

which this policy provides periodic payment will be paid______

(insert period for payment which must not be less frequently than

monthly) and any balance remaining unpaid upon the termination of

Oklahoma Statutes - Title 36. Insurance Page 943

liability will be paid immediately upon receipt of due written

proof.

9. A provision as follows: PAYMENT OF CLAIMS:
accrued indemnities for loss for

which this policy provides periodic payment will be paid______

(insert period for payment which must not be less frequently than

monthly) and any balance remaining unpaid upon the termination of

Oklahoma Statutes - Title 36. Insurance Page 943

liability will be paid immediately upon receipt of due written

proof.

9. A provision as follows: PAYMENT OF CLAIMS:

(a) Indemnity for loss of life will be payable in accordance

with the beneficiary designation and the provisions respecting such

payment which may be prescribed herein and effective at the time of

payment. If no such designation or provision is then effective,

such indemnity shall be payable to the estate of the insured. Any

other accrued indemnities unpaid at the insured's death may, at the

option of the insurer, be paid either to such beneficiary or to such

estate. All other indemnities will be payable to the insured.

(b) The following provisions, or either of them, may be included

with the foregoing provision at the option of the insurer: If any

indemnity of this policy shall be payable to the estate of the

insured, or to an insured or beneficiary who is a minor or otherwise

not competent to give a valid release, the insurer may pay such

indemnity, up to an amount not exceeding $______ (insert an amount

which shall not exceed One Thousand Dollars ($1,000.00)), to any

relative by blood or connection by marriage of the insured or

beneficiary who is deemed by the insurer to be equitably entitled

thereto. Any payment made by the insurer in good faith pursuant to

this provision shall fully discharge the insurer to the extent of

such payment.

Subject to any written direction of the insured in the

application or otherwise, all or a portion of any indemnities

provided by this policy on account of hospital, nursing, medical, or

surgical services may, at the insurer's option and unless the

insured requests otherwise in writing not later than the time of

filing proofs of such loss, be paid directly to the hospital or

person rendering such services; but it is not required that the

service be rendered by a particular hospital or person.

10. A provision as follows: PHYSICAL EXAMINATION, AUTOPSY:

The insurer at its own expense shall have the right and

opportunity to examine the person of the insured when and as often

as it may reasonably require during the pendency of a claim

hereunder and to make an autopsy in case of death where it is not

forbidden by law.

11. A provision as follows: LEGAL ACTIONS: No action at law

or in equity shall be brought to recover on this policy prior to the

expiration of sixty (60) days after written proof of loss has been

furnished in accordance with the requirements of this policy. No

such action shall be brought after the expiration of three (3) years

after the time written proof of loss is required to be furnished.

12. A provision as follows: CHANGE OF BENEFICIARY: Unless the

insured makes an irrevocable designation of beneficiary, the right

to change of beneficiary is reserved to the insured and the consent

of the beneficiary or beneficiaries shall not be requisite to

Oklahoma Statutes - Title 36. Insurance Page 944

surrender or assignment of this policy or to any change of

beneficiary or beneficiaries, or to any other changes in this

policy.

The first clause of this provision, relating to the irrevocable

designation of beneficiary, may be omitted at the insurer's option.

B. Other provisions. Except as provided in subsection D of

this section, no such policy delivered or issued for delivery to any

person in this state shall contain provisions respecting the matters

set forth below unless such provisions are in the words in which the

same appear in this section; provided, however, that the insurer

may, at its option, use in lieu of any such provision a

corresponding provision of different wording approved by the
D of

this section, no such policy delivered or issued for delivery to any

person in this state shall contain provisions respecting the matters

set forth below unless such provisions are in the words in which the

same appear in this section; provided, however, that the insurer

may, at its option, use in lieu of any such provision a

corresponding provision of different wording approved by the

Insurance Commissioner which is not less favorable in any respect to

the insured or the beneficiary. Any such provision contained in the

policy shall be preceded individually by the appropriate caption

appearing in this subsection or, at the option of the insurer, by

such appropriate individual or group captions or subcaptions as the

Insurance Commissioner may approve.

1. A provision as follows: CHANGE OF OCCUPATION: If the

insured be injured or contract sickness after having changed his

occupation to one classified by the insurer as more hazardous than

that stated in this policy or while doing for compensation anything

pertaining to an occupation so classified, the insurer will pay only

such portion of the indemnities provided in this policy as the

premium paid would have purchased at the rates and within the limits

fixed by the insurer for such more hazardous occupation. If the

insured changes his occupation to one classified by the insurer as

less hazardous than that stated in this policy, the insurer, upon

receipt of proof of such change of occupation, will reduce the

premium rate accordingly, and will return the excess pro rata

unearned premium from the date of change of occupation or from the

policy anniversary date immediately preceding receipt of such proof,

whichever is the more recent. In applying this provision, the

classification of occupational risk and the premium rates shall be

such as have been last filed by the insurer prior to the occurrence

of the loss for which the insurer is liable or prior to date of

proof of change in occupation with the state official having

supervision of insurance in the state where the insured resided at

the time this policy was issued; but if such filing was not

required, then the classification of occupational risk and the

premium rates shall be those last made effective by the insurer in

such state prior to the occurrence of the loss or prior to the date

of proof of change of occupation.

2. A provision as follows: MISSTATEMENT OF AGE: If the age of

the insured has been misstated, all amounts payable under this

policy shall be such as the premium paid would have purchased at the

correct age.

Oklahoma Statutes - Title 36. Insurance Page 945

3. A provision as follows: OTHER INSURANCE IN THIS INSURER:

If an accident or health or accident and health policy or

policies previously issued by the insurer to the insured be in force

concurrently herewith, making the aggregate indemnity for______

(insert type of coverage or coverages) in excess of $______ (insert

maximum limit of indemnity or indemnities), the excess insurance

shall be void and all premiums paid for such excess shall be

returned to the insured or to his estate; or, in lieu thereof:

Insurance effective at any one time on the insured under a like

policy or policies in this insurer is limited to the one such policy

elected by the insured, his beneficiary or his estate, as the case

may be, and the insurer will return all premiums paid for all other

such policies.

4. A provision as follows: INSURANCE WITH OTHER INSURERS:
to the insured or to his estate; or, in lieu thereof:

Insurance effective at any one time on the insured under a like

policy or policies in this insurer is limited to the one such policy

elected by the insured, his beneficiary or his estate, as the case

may be, and the insurer will return all premiums paid for all other

such policies.

4. A provision as follows: INSURANCE WITH OTHER INSURERS:

(a) If there be other valid coverage, not with this insurer,

providing benefits for the same loss on a provision of service basis

or on an expense incurred basis and of which this insurer has not

been given written notice prior to the occurrence or commencement of

loss, the only liability under any expense incurred coverage of this

policy shall be for such proportion of the loss as the amount which

would otherwise have been payable hereunder plus the total of the

like amounts under all such other valid coverages for the same loss

of which this insurer had notice bears to the total like amounts

under all valid coverages for such loss, and for the return of such

portion of the premiums paid as shall exceed the pro rata portion

for the amount so determined. For the purpose of applying this

provision when other coverage is on a provision of service basis,

the "like amount" of such other coverage shall be taken as the

amount which the services rendered would have cost in the absence of

such coverage.

(b) If the foregoing policy provision is included in a policy

which also contains the next following policy provision, there shall

be added to the caption of the foregoing provision the phrase

"Expense Incurred Benefits". The insurer may, at its option,

include in this provision a definition of "other valid coverage",

approved as to form by the Insurance Commissioner, which definition

shall be limited in subject matter to coverage provided by

organizations subject to regulation by insurance law or by insurance

authorities of this or any other state of the United States or any

province of Canada, and by hospital or medical service

organizations, and to any other coverage the inclusion of which may

be approved by the Insurance Commissioner. In the absence of such

definition such term shall not include group insurance, automobile

medical payments insurance, or coverage provided by hospital or

medical service organizations or by union welfare plans or employer

or employee benefit organizations. For the purpose of applying the

foregoing policy provision with respect to any insured, any amount

Oklahoma Statutes - Title 36. Insurance Page 946

of benefit provided for such insured pursuant to any compulsory

benefit statute (including any workers' compensation or employer's

liability statute), whether provided by a governmental agency or

otherwise, shall in all cases be deemed to be "other valid coverage"

of which the insurer has had notice. In applying the foregoing

policy provision no third party liability coverage shall be included

as "other valid coverage".

5. A provision as follows: INSURANCE WITH OTHER INSURERS:

(a) If there be other valid coverage, not with this insurer,

providing benefits for the same loss on other than an expense

incurred basis and of which this insurer has not been given written

notice prior to the occurrence or commencement of loss, the only

liability for such benefits under this policy shall be for such

portion of the indemnities otherwise provided hereunder for such

loss as the like indemnities, of which the insurer had notice

(including the indemnities under this policy), bear to the total

amount of all like indemnities for such loss, and for the return of

such portion of the premium paid as shall exceed the pro rata

portion for the indemnities thus determined.
is policy shall be for such

portion of the indemnities otherwise provided hereunder for such

loss as the like indemnities, of which the insurer had notice

(including the indemnities under this policy), bear to the total

amount of all like indemnities for such loss, and for the return of

such portion of the premium paid as shall exceed the pro rata

portion for the indemnities thus determined.

(b) If the foregoing policy provision is included in a policy

which also contains the next preceding policy provision, there shall

be added to the caption of the foregoing provision the phrase "Other

Benefits". The insurer may, at its option, include in this

provision a definition of "other valid coverage", approved as to

form by the Insurance Commissioner, which definition shall be

limited in subject matter to coverage provided by organizations

subject to regulation by insurance law or by insurance authorities

of this or any other state of the United States or any province of

Canada, and to any other coverage the inclusion of which may be

approved by the Insurance Commissioner. In the absence of such

definition, such term shall not include group insurance or benefits

provided by union welfare plans or by employer or employee benefit

organizations. For the purpose of applying the foregoing policy

provision with respect to any insured, any amount of benefit

provided for such insured pursuant to any compulsory benefit statute

(including any workers' compensation or employer's liability

statute) whether provided by a governmental agency or otherwise,

shall in all cases be deemed to be "other valid coverage" of which

the insurer has had notice. In applying the foregoing policy

provision, no third party liability coverage shall be included as

"other valid coverage".

6. A provision as follows: RELATION OF EARNINGS TO INSURANCE:(a) If the total monthly amount of loss of time benefits promised for the same loss under all valid loss of time coverage upon the insured, whether

payable on a weekly or monthly basis, shall exceed the monthly

earnings of the insured at the time disability commenced or his

average monthly earnings for the period of two (2) years immediately

preceding a disability for which claim is made, whichever is the

greater, the insurer will be liable only for such proportionate

Oklahoma Statutes - Title 36. Insurance Page 947

amount of such benefits under this policy as the amount of such

monthly earnings or such average monthly earnings of the insured

bears to the total amount of monthly benefits for the same loss

under all such coverage upon the insured at the time such disability

commences and for the return of such part of the premiums paid

during such two (2) years as shall exceed the pro rata amount of the

premiums for the benefits actually paid hereunder; but this shall

not operate to reduce the total monthly benefits payable under all

such coverage upon the insured below the sum of Two Hundred Dollars

($200.00) or the sum of the monthly benefits specified in such

coverages, whichever is the lesser, nor shall it operate to reduce

benefits other than those payable for loss of time.
ount of the

premiums for the benefits actually paid hereunder; but this shall

not operate to reduce the total monthly benefits payable under all

such coverage upon the insured below the sum of Two Hundred Dollars

($200.00) or the sum of the monthly benefits specified in such

coverages, whichever is the lesser, nor shall it operate to reduce

benefits other than those payable for loss of time.

(b) The foregoing policy provision may be inserted only in a

policy which the insured has the right to continue in force subject

to its terms by the timely payment of premiums (i) until at least

fifty (50) years of age or, (ii) in the case of a policy issued to a

person older than forty-four (44) years of age, for at least five

(5) years from its date of issue. The insurer may, at its option,

include in this provision a definition of "valid loss of time

coverage", approved as to form by the Insurance Commissioner, which

definition shall be limited in subject matter to coverage provided

by governmental agencies or by organizations subject to regulation

by insurance law or by insurance authorities of this or any other

state of the United States or any province of Canada, or to any

other coverage the inclusion of which may be approved by the

Insurance Commissioner or any combination of such coverages. In the

absence of such definition, such term shall not include any coverage

provided for such insured pursuant to any compulsory benefit statute

(including any workers' compensation or employer's liability

statute), or benefits provided by union welfare plans or by employer

or employee benefit organizations.

7. A provision as follows: UNPAID PREMIUM: Upon the payment

of a claim under this policy, any premium then due and unpaid or

covered by any note or written order may be deducted therefrom.

8. A provision as follows: CONFORMITY WITH STATE STATUTES: Any

provision of this policy which, on its effective date, is in

conflict with the statutes of the state in which the insured resides

on such date is hereby amended to conform to the minimum

requirements of such states.

9. A provision as follows: ILLEGAL OCCUPATION: The insurer

shall not be liable for any loss to which a contributing cause was

the insured's commission of or attempt to commit a felony or to

which a contributing cause was the insured's being engaged in an

illegal occupation.

10. A provision as follows: NARCOTICS: The insurer shall not

be liable for any loss sustained or contracted in consequence of the

Oklahoma Statutes - Title 36. Insurance Page 948

insured's being under the influence of any narcotic unless

administered on the advice of a physician.

11. A provision as follows: CONTINUITY OF COVERAGE: If

coverage otherwise terminates as to covered family members, other

than for nonpayment of premium, nonrenewal of the policy or the

expiration of the term for which the policy is issued, a covered

person (other than one eligible for Medicare or any other similar

federal program), including the spouse and any covered dependent

child of the last-named insured or the representative of such child,

shall have the right to the continuation of coverage under

provisions which, at the option of the insurer, are consistent with

either the continuation of the policy with the person exercising the

right of continuation designated as the named insured; or the

issuance of a converted policy with the person exercising the

conversion right designated as the named insured. Where

continuation of coverage or conversion is made in the name of the

spouse of the named insured, such coverage may, at the option of

such spouse, include covered dependent children for whom such spouse

has responsibility for care and support. The person who accepts the

conversion policy shall become the insured and pay the premiums

direct to the insurer.
designated as the named insured. Where

continuation of coverage or conversion is made in the name of the

spouse of the named insured, such coverage may, at the option of

such spouse, include covered dependent children for whom such spouse

has responsibility for care and support. The person who accepts the

conversion policy shall become the insured and pay the premiums

direct to the insurer.

(a) Coverage continued through the issuance of a converted

policy shall consist of a form of coverage then being offered by the

insurer as a conversion policy in the jurisdiction where the person

exercising the conversion right resides. Continued and converted

coverages, other than those provided through the exercise of

continuation or conversion rights contained in optionally renewable

or limited right of renewal contracts, shall contain provisions

under which the person exercising the continuation or conversion

shall have the right to renew the coverage until the attainment of

the age of eligibility for Medicare or any other similar federal or

state health insurance program subject to the right of the insurer

to nonrenew all such policies in this state as a class, or, other

renewal provisions that are not less favorable to the insured than

those contained in the policy from which conversion is exercised.

(b) Coverage provided through continuation or conversion shall

be without additional evidence of insurability except as to

overinsurance, and shall not impose any preexisting condition

limitations or other contractual time limitations other than those

remaining unexpired under the policy or contract from which

continuation or conversion is exercised.

(c) Benefits otherwise payable under a converted policy may be

reduced so they are not, during the first policy year of the

converted policy, in excess of those that would have been payable

had the coverage under the policy from which conversion is exercised

not terminated, and by the amount of benefits, if any, payable as to

the same loss under the policy from which conversion is exercised.

Oklahoma Statutes - Title 36. Insurance Page 949

(d) The insurer shall not be required to issue a converted

policy if at the time of application therefor other coverage exists

under other health insurance policies, hospital or medical service

plan corporation contracts, health maintenance organization plans or

self-insured health benefit plans providing similar benefits, or if

the applicant for the converted policy is eligible for coverage

under a group policy or contract providing similar benefits, or is

provided with similar benefits required by any statute, or is

covered under any national, state or governmental plan, which

together with the converted policy would result in overinsurance

according to the insurer's underwriting standards.

The provisions of this paragraph shall apply to individual

family health insurance policies providing hospital, surgical and

medical expense benefits or hospital confinement indemnity benefits,

individual family hospital and medical service plan corporation

contracts, and family health maintenance organization contracts,

delivered or issued for delivery in the State of Oklahoma but shall

not apply to disability income policies, accidental death or

dismemberment policies nor to single-term, nonrenewable policies.

C. 1. The terms "noncancelable" and "guaranteed renewable" may

be used only in a policy which the insured has the right to continue

in force by the timely payment of premiums set forth in the policy

until a person is at least fifty (50) years of age, or in the case

of a policy issued to a person older than forty-four (44) years of

age, for at least five (5) years from its date of issue, during

which period the insurer has no right to make unilaterally any

change in any provision of the policy while the policy is in force.

2. Except as provided in paragraph 1 of this subsection, the
licy

until a person is at least fifty (50) years of age, or in the case

of a policy issued to a person older than forty-four (44) years of

age, for at least five (5) years from its date of issue, during

which period the insurer has no right to make unilaterally any

change in any provision of the policy while the policy is in force.

2. Except as provided in paragraph 1 of this subsection, the

term "guaranteed renewable" may be used only in a policy which the

insured has the right to continue in force by the timely payment of

premiums by the insured until fifty (50) years of age, or in the

case of a policy issued to an insured who is older than forty-four

(44) years of age, for at least five (5) years from its date of

issue, during which period the insurer has no right to make

unilaterally any change in any provision of the policy while the

policy is in force, except that the insurer may make changes in

premium rates by classes.

The foregoing limitation on the use of the term "noncancelable"

shall also apply to any synonymous term such as "guaranteed

continuable".

Nothing contained in this subsection is intended to restrict the

development of policies having other guarantees of renewability, or

to prevent the accurate description of their terms of renewability

or the classification of such policies as guaranteed renewable or

noncancelable for any period during which they may actually be such,

provided the terms used to describe them in policy contracts and

Oklahoma Statutes - Title 36. Insurance Page 950

advertising are not such as may readily be confused with the above

terms.

D. Inapplicable or Inconsistent Provisions. If any provision

of this section is in whole or in part inapplicable to or

inconsistent with the coverage provided by a particular form of

policy, the insurer, with the approval of the Insurance

Commissioner, shall omit from such policy any inapplicable provision

or part of a provision, and shall modify any inconsistent provision

or part of the provision in such manner as to make the provision as

contained in the policy consistent with the coverage provided by the

policy.

E. Order of Certain Policy Provisions. The provisions which

are the subject of subsections A and B of this section, or any

corresponding provisions which are used in lieu thereof in

accordance with such subsections, shall be printed in the

consecutive order of the provisions in such subsections or, at the

option of the insurer, any such provision may appear as a unit in

any part of the policy, with other provisions to which it may be

logically related, provided the resulting policy shall not be in

whole or in part unintelligible, uncertain, ambiguous, abstruse, or

likely to mislead a person to whom the policy is offered, delivered

or issued.

F. Third Party Ownership. The word "insured", as used in this

article, shall not be construed as preventing a person other than

the insured with a proper insurable interest from making application

for and owning a policy covering the insured or from being entitled

under such a policy to any indemnities, benefits and rights provided

therein.

G. Employer Designated as Beneficiary. No employer shall be

designated or appointed as beneficiary of an employee or receive any

benefits under an individual or group accident and health policy

solely by reason of the employer-employee relationship; provided,

however, this subsection shall not prevent the designation or

appointment of an employer as beneficiary under a policy of accident

and health insurance on any valuable or key employee of such

employer.

H. Requirements of Other Jurisdictions. 1. Any policy of a

foreign or alien insurer, when delivered or issued for delivery to

any person in this state, may contain any provision which is not

less favorable to the insured or the beneficiary than the provisions

of this article and which is prescribed or required by the law of
d health insurance on any valuable or key employee of such

employer.

H. Requirements of Other Jurisdictions. 1. Any policy of a

foreign or alien insurer, when delivered or issued for delivery to

any person in this state, may contain any provision which is not

less favorable to the insured or the beneficiary than the provisions

of this article and which is prescribed or required by the law of

the state under which the insurer is organized.

2. Any policy of a domestic insurer may, when issued for

delivery in any other state or country, contain any provision

permitted or required by the laws of such other state or country.

I. Filing Procedure. The Insurance Commissioner may make such

reasonable rules and regulations concerning the procedure for the

Oklahoma Statutes - Title 36. Insurance Page 951

filing or submission of policies subject to this article as are

necessary, proper or advisable to the administration of this

article. This provision shall not abridge any other authority

granted the Insurance Commissioner by law.