An order signed last week by Oklahoma Insurance Commissioner Carroll Fisher will ease regulatory restrictions on an insurer’s ability to develop and introduce new commercial lines insurance products in the state, according to the American Insurance Association. The AIA added that this regulatory reform order will encourage innovation and increase competition among insurers.
“This initiative has been in development for some time and is based closely on model recommendations from the National Association of Insurance Commissioners (NAIC),” John Marlow, AIA assistant vice president for the southwest region, said. “AIA has supported similar actions in other states and we fully expect the final order to have a very positive impact on the Oklahoma commercial insurance market as well as the state’s overall economy.
“From his first day in office, Commissioner Fisher has worked very hard to make the regulatory process in Oklahoma more efficient and responsive to the needs of consumers and insurers alike. This order will provide customers with greater value by allowing insurers to tailor policies more closely to their individual needs.”
The order (02-0765-PRJ) signed by Commissioner Fisher establishes a “file and use” system which allows an insurer to use a policy form in the market 30 days after filing it with the department of insurance. The order also allows a form filing exemption for certain lines, including large commercial risks with an aggregate annual premium of more than $10,000.