Oklahoma § 36-1435.21 - Licensure for purposes of writing controlled business

§ 36-1435.21. Licensure for purposes of writing controlled business

prohibited.

A. The Commissioner shall not grant, renew, continue, or permit

to continue any license if the Commissioner finds that the license

is being or will be used by the applicant or licensee for the

purpose of writing controlled business. "Controlled business"

means:

a.

insurance written on the interests of the licensee or

those of his or her relatives to the second degree or

of his or her employer, or

b.

insurance covering the licensee or relatives of the

licensee to the second degree or a corporation,

association, or partnership of which the licensee or a

member of the licensee’s immediate family is an

officer, director, substantial stockholder, partner,

associate, or employee, or the officers, directors,

substantial stockholders, partners, or employees of

such a corporation, association, or partnership. A

vendor's or lender's interest in property sold or

being sold pursuant to contract or which is security

for any loan shall not be deemed for the purpose of

this provision to constitute property or an interest

of the vendor or lender.

B. A license shall be deemed to have been or intended to be

used for the purpose of writing controlled business if the

Commissioner finds that during any twelve-month period the aggregate

commissions earned from controlled business has exceeded twenty-five

percent (25%) of the aggregate commissions earned on all business

written by the applicant or licensee during the same period.

C. The prohibitions contained in this section concerning

licensing for the writing of controlled business shall not apply to

title insurance producers and limited lines producers.

Added by Laws 1997, c. 418, § 63, eff. Nov. 1, 1997. Amended by

Laws 2001, c. 156, § 21, eff. Nov. 1, 2001. Renumbered from §

1424.14 of this title by Laws 2001, c. 156, § 35, eff. Nov. 1, 2001.

Oklahoma Statutes - Title 36. Insurance