Okla. Stat. tit. 36, § 36-624

A. Every insurance company, copartnership, insurance

association, interinsurance exchange, person, insurer, nonprofit

hospital service and medical indemnity corporation, or health

maintenance organization doing business in this state in the

execution or exchange of contracts of insurance, indemnity or health

maintenance services, or as an insurance company of any nature or

character whatsoever, hereinafter referred to in this article as an

insurance company or company, shall annually, on or before the first

day of March, report under oath of the president or secretary or

other chief officer of such company to the Insurance Commissioner

Oklahoma Statutes - Title 36. Insurance Page 138

the total amount of direct written premiums, membership,

application, policy and/or registration fees charged during the

preceding calendar year, or since the last return of such direct

written premiums, membership, application, policy and/or

registration fees was made by such company, from insurance of every

kind upon persons or on the lives of persons resident in this state,

or upon real and personal property located within this state, and/or

upon any other risks insured within this state; provided, that with

respect to the tax payable annually, considerations received for

annuity contracts and payments received by a health maintenance

organization from the Secretary of Health and Human Services

pursuant to a contract issued under the provisions of 42 U.S.C.,

Section 1395mm(g) shall no longer be deemed to be premiums for

insurance and shall no longer be subject to the tax imposed by this

section. Every such company shall, at the same time, pay to the

Insurance Commissioner:

1. An annual license fee as prescribed by Section 321 of this

title; and

2. An annual tax on all of the direct written premiums after

all returned premiums are deducted, and on all membership,

application, policy and/or registration fees, installment and/or

finance fees or charges collected thereby, for the privileges of

having written, continued and/or serviced insurance on lives,

property and/or other risks in this state and of having made and

serviced investments therein during the then expiring license year

except premiums or fees paid by any county, city, town or school

district funds or by their duly constituted authorities performing a

public service organized pursuant to Sections 1001 through 1008 of

Title 74 of the Oklahoma Statutes, or Sections 176 through 180.4 of

Title 60 of the Oklahoma Statutes. Provided, no deduction shall be

made from premiums for dividends paid to policyholders. Except as

set forth in this paragraph, the rate of taxation for all entities

subject to the tax shall be two and twenty-five one-hundredths

percent (2.25%). If any insurance company or other entity liable

for the taxes levied pursuant to the provisions of this section

fails to remit such taxes in a timely manner, it shall remain liable

therefor together with interest thereon at an annual rate equal to

the average United States Treasury Bill rate of the preceding

calendar year as certified by the State Treasurer on the first

regular business day in January of each year, plus four percentage

points.

a. The rate of taxation for all life insurance policies

insuring the life of an employee or director for the

benefit of the employer or a trust sponsored by the

employer, which is purchased by the employer or trust

sponsored by the employer for the benefit of its

Oklahoma Statutes - Title 36. Insurance Page 139

employees, shall be computed for each policy at the

rate of:

(1) two and twenty-five one-hundredths percent

(2.25%) of policy year premium up to One Hundred

Thousand Dollars ($100,000.00), and
fit of the employer or a trust sponsored by the

employer, which is purchased by the employer or trust

sponsored by the employer for the benefit of its

Oklahoma Statutes - Title 36. Insurance Page 139

employees, shall be computed for each policy at the

rate of:

(1) two and twenty-five one-hundredths percent

(2.25%) of policy year premium up to One Hundred

Thousand Dollars ($100,000.00), and

(2) one-tenth of one percent (1/10 of 1%) of policy

year premium exceeding One Hundred Thousand

Dollars ($100,000.00).

b. Premiums on which taxes are paid under division (2) of

subparagraph a of this paragraph are not subject to

Section 628 of this title. The Commissioner shall

promulgate rules regarding the sale of life insurance

policies subject to division (2) of subparagraph a of

this paragraph.

c. Proceeds from the premium tax collected under this

paragraph from contracted entities under the Ensuring

Access to Medicaid Act shall be deposited in the

Medicaid Health Improvement Revolving Fund created in

Section 1010.8A of Title 56 of the Oklahoma Statutes.

Notwithstanding any other provision of law to the

contrary, the premium taxes to be deposited in the

Medicaid Health Improvement Revolving Fund for the

calendar year ending December 31, 2024, and for each

calendar year thereafter, shall not be subject to the

apportionments provided in Section 312.1 of this

title.

B. For all insurance companies or other entities taxed pursuant

to this section, the annual license fee and tax and all required

membership, application, policy, registration, and agent appointment

fees shall be in lieu of all other state taxes or fees, except those

taxes and fees provided for in the Oklahoma Insurance Code, and the

taxes and fees of any subdivision or municipality of the state,

except ad valorem taxes and the tax required to be paid pursuant to

Section 50001 of Title 68 of the Oklahoma Statutes. Provided, such

license fee, tax and membership, application, policy, registration,

and appointment fees shall be in lieu of any and all ad valorem

taxes levied on intangible personal property. Any company, except

health maintenance organizations, failing to make such returns and

payments promptly and correctly shall forfeit and pay to the

Insurance Commissioner, in addition to the amount of the taxes and

fees and interest, the sum of Five Hundred Dollars ($500.00) or an

amount equal to one percent (1%) of the unpaid amount, whichever is

greater; and the company so failing or neglecting for sixty (60)

days shall thereafter be debarred from transacting any business of

insurance in this state until the taxes, fees and penalties are

fully paid, and the Insurance Commissioner shall revoke the license

or certificate of authority granted to the agent or agents of that

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company to transact business in this state. Provided, that when any

such insurance company, copartnership, insurance association,

interinsurance exchange, person, insurer, or nonprofit hospital

service and indemnity corporation applies for the first time for a

license to do business in this state, it shall, at the time of

making such application, pay a license fee as prescribed by Section

1435.23 of this title, and, on or before the first day of March,

following, pay the premium tax, membership, application, policy,

registration, and agent appointment fees, as hereinbefore provided.

Such license fee, tax and membership, application, policy,

registration, and appointment fees shall be in lieu of all other

state taxes or fees, except those taxes and fees provided for in the

Oklahoma Insurance Code, and the taxes and fees of any subdivision

or municipality of the state, except ad valorem taxes and the tax

required to be paid pursuant to Section 50001 of Title 68 of the

Oklahoma Statutes.

C. Any health maintenance organization failing to file premium
ppointment fees shall be in lieu of all other

state taxes or fees, except those taxes and fees provided for in the

Oklahoma Insurance Code, and the taxes and fees of any subdivision

or municipality of the state, except ad valorem taxes and the tax

required to be paid pursuant to Section 50001 of Title 68 of the

Oklahoma Statutes.

C. Any health maintenance organization failing to file premium

tax returns and payments promptly and correctly shall forfeit and

pay to the Insurance Commissioner, in addition to the amount of the

taxes, the sum of Five Hundred Dollars ($500.00) or an amount equal

to one percent (1%) of the unpaid amount, whichever is greater. Any

health maintenance organization failing or neglecting to pay the tax

and penalty shall be debarred from operating in this state and the

Insurance Commissioner shall revoke the license of the health

maintenance organization, until such taxes and penalties are fully

paid.