Oklahoma Commissioner Plans Regulatory Action After Towing Claim Bill Fails

A bill aimed at prevented insurance companies from cancelling, non-renewing or increasing consumers’ insurance premiums for filing a towing or roadside assistance claim failed to advance in Oklahoma’s legislative session, so the state’s insurance commissioner plans take regulatory action.

After House Bill 3236, authored by Rep. Lewis Moore and Sen. Bill Brown, failed in the final minutes of the legislative session, Oklahoma Insurance Commissioner John D. Doak said he plans to take regulatory action to protect consumers from having their policies cancelled by auto insurers.

“We are beginning to see a disturbing trend among insurance companies using towing claims to cancel or non-renew policyholders in Oklahoma,” Doak said in a media release. “Many consumers are unaware that this is taking place, which is why I will be focusing my efforts in the coming months on requiring more disclosure. Our office will begin to take regulatory steps to ensure consumers are fully aware of what is being done to them, especially those consumers who have had an adverse policy action due to the use of towing or road service.”

Rep. Moore, who chairs the House Insurance Committee, agrees that the Legislature missed a golden opportunity to protect consumers.

“As chairman, I fight to protect consumers. House Bill 3236 would have been a step in the right direction to ensure policyholders can keep their policy and keep their rates regardless of one towing or roadside assistance claim. I’m disappointed in the outcome but look forward to protecting consumers with this legislation next year,” Rep. Moore stated.

The Oklahoma Insurance Department will now begin to address the issue from a regulatory perspective on a state and national level, the agency said.

Source: Oklahoma Insurance Department

Topics Legislation Oklahoma