Oklahoma § 36-2127 - Management and exclusive agency contracts

§ 36-2127. Management and exclusive agency contracts

A. No domestic stock or mutual insurer shall make any contract

whereby any person or persons is granted or is to enjoy in fact the

management of the insurer, or to have the controlling or preemptive

right to produce substantially all insurance business for the

insurer for an amount which will equal or exceed five percent (5%)

of the insurer's net written premium, unless such contract is filed

with the Commissioner and be subject to his approval. The contract

shall be deemed approved unless disapproved by the Commissioner

within twenty (20) days after date of filing, subject to such

reasonable extension of time as the Commissioner may require by

notice given within such twenty (20) days. Any disapproval shall be

delivered to the insurer in writing, stating the grounds therefor.

Oklahoma Statutes - Title 36. Insurance

B. The Commissioner shall disapprove any such contract if he

finds that it:

1. Subjects the insurer to excessive charges; or

2. Is to extend for an unreasonable length of time; or

3. Does not contain fair and adequate standards of performance;

or

4. Contains other inequitable provisions or provisions which

impair the proper interests of stockholders or members of the

insurer.

Amended by Laws 1983, c. 99, § 5, emerg. eff. May 9, 1983; Laws

1986, c. 251, § 36, eff. Nov. 1, 1986.