Oklahoma § 36-2010 - Payment of covered claims - Recovery from certain persons

§ 36-2010. Payment of covered claims - Recovery from certain persons

- Priority of claims.

A. Any person recovering under the Oklahoma Property and

Casualty Insurance Guaranty Association Act shall be deemed to have

assigned the rights of the person under the policy to the Oklahoma

Property and Casualty Insurance Guaranty Association to the extent

of the recovery of the person from the Association. Every insurer

or claimant seeking the protection of this act shall cooperate with

the Association to the same extent as the person would have been

required to cooperate with the insolvent insurer. In the case of an

insolvent insurer operating on a plan with assessment liability,

payment of covered claims by the Association shall not operate to

reduce the liability of insureds to the receiver, liquidator or

statutory successor for unpaid assessments.

B. The Association shall have the right to recover from any

person who is an affiliate of the insolvent insurer all amounts paid

by the Association on behalf of that person pursuant to the

provisions of the Oklahoma Property and Casualty Insurance Guaranty

Association Act, whether for indemnity, defense or otherwise.

C. The receiver, liquidator or statutory successor of an

insolvent insurer shall be bound by settlements of covered claims by

the Association or a similar organization in another state. The

Association shall have a priority over general creditors of the

insolvent insurer against the assets of the insolvent insurer equal

to the amount of covered claims paid by the Association pursuant to

the Oklahoma Property and Casualty Insurance Guaranty Association

Act. No other priority under the provisions of this section unless

the laws of such other state grant a similar priority to the

Association, in which case such other association or similar

organization of another state shall have a priority against the

assets of the insolvent insurer equal to that given to the

Association by such other state.

D. The Association shall periodically file with the receiver or

liquidator of the insolvent insurer statements of the covered claims

paid by the Association and estimates of anticipated claims on the

Association which shall preserve the rights of the Association

against the assets of the insolvent insurer.

Oklahoma Statutes - Title 36. Insurance

Added by Laws 1980, c. 362, § 10, emerg. eff. June 27, 1980.

Amended by Laws 1986, c. 251, § 33, eff. Nov. 1, 1986; Laws 2010, c.

159, § 9, eff. Nov. 1, 2010.