Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB1252 Latest Draft

Bill / Enrolled Version Filed 05/02/2022

                             
 
 
An Act 
ENROLLED SENATE 
BILL NO. 1252 	By: Quinn of the Senate 
 
  and 
 
  Sneed of the House 
 
 
 
 
An Act relating to Oklahoma Producer Licensing ; 
amending 36 O.S. 2021, Sections 1435.2, 1435.3, 
1435.6, 1435.22, 1435.23, 1435.26, and 1435.29, which 
relate to the Oklahoma Producer Licensing Act; 
modifying definition s; requiring customer service 
representative and insurance consultant hold certain 
license; conforming language; updating statutory 
language; repealing 36 O.S. 2021, Sections 1435.24, 
1435.30, and 1435.31, which relate to insurance 
consultant licensure and customer service 
representative licens ure and appointment; and 
providing an effective date. 
 
 
 
 
SUBJECT:  Insurance producer licensing 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
 
SECTION 1.     AMENDATORY     36 O.S. 2021, Section 1435.2, is 
amended to read as follows: 
 
Section 1435.2.  As used in the Oklahoma Producer Licensing Act: 
 
1.  “Commissioner” means the Insurance C ommissioner; 
 
2.  “Business entity” means a corporation, association, 
partnership, limited liability company, limited partnership, or 
other legal entity; 
   
 
ENR. S. B. NO. 1252 	Page 2 
3.  “Customer service representative ” means an individual who is 
required to be licensed as an insur ance producer under the laws of 
this state appointed by an insurance producer, surp lus lines 
insurance broker, managing general agent, or insurance agency to 
assist and assists the insurance producer, broker, or agency in 
transacting the business of insurance from the office of the 
insurance producer, broker, or agency and whose salary may vary 
based on the production or volume of applications or premiums ; 
 
4.  “Home state” means the District of Columbia and any state or 
territory of the Unite d States in which an insurance producer 
maintains the producer’s principal place of residence or p rincipal 
place of business and is licensed to act as an insurance producer; 
 
5.  “Insurance” means any of the lines of authority in this 
title, including workers’ compensation insurance. Any insurer 
approved to offer workers’ compensation insurance may app oint 
insurance producers.  All producers appointed for workers ’ 
compensation insurance products must be licensed as insurance 
producers by the Oklahoma Insura nce Department; 
 
6. “Insurance consultant” means an individual or legal entity 
who is required to be licensed as an insurance producer und er the 
laws of this state and , for a fee, is held out to the public as 
engaged in the business of offering any advice, counsel, opinion or 
service with respect to the benefits, advantages, or disadvantages 
promised under any policy of insurance that could be issued or 
delivered in this state; 
 
7.  “Insurance producer” means a person required to be licensed 
under the laws of this state to se ll, solicit or negotiate insurance 
and includes a customer service represen tative and an insurance 
consultant.  Any person not duly licensed a s an insurance producer, 
surplus lines insurance broker, or limited lines producer who 
solicits a policy of insuranc e on behalf of an insurer shall be 
deemed to be acting as an insurance agent w ithin the meaning of the 
Oklahoma Producer Licensing Act, and shall thereby become liable for 
all the duties, requirements, liabilities, and penalties to which an 
insurance producer of the company is subject, and the company by 
issuing the policy of insura nce shall thereby accept and acknowledge 
the person as its age nt in the transaction.  For purposes of the 
laws of this state and the Oklahoma Insurance Code, the term   
 
ENR. S. B. NO. 1252 	Page 3 
“insurance agent” means an insurance producer pro perly appointed by 
an insurance carrier to act as an agent for that insurance carrier, 
pursuant to Section 1435.15 of this title; 
 
8.  “Insurer” has the meaning set out in Section 103 of this 
title; 
 
9.  “License” means a document issued by the Insurance 
Commissioner of this state authorizing a pe rson to act as an 
insurance producer for the lines of authorit y specified in the 
document.  The license itself does not create any authority, actual, 
apparent or inherent, in the holder to represent or commit an 
insurance carrier; 
 
10.  “Limited line credit insurance” includes credit life, 
credit disability, credit pr operty, credit unemployment, involuntary 
unemployment, mortgage life, mortgage guaranty, mortgage disability, 
guaranteed automobile protection insurance, known as “gap” 
insurance, and any other form of insurance offered in connection 
with an extension of c redit that is limited to partially or wholly 
extinguishing that credit obligation that the Insurance Commissioner 
determines should be designated a form of limited line credit 
insurance; 
 
11.  “Limited line credit insurance producer ” means a person who 
sells, solicits or negotiates one or more forms of limited line 
credit insurance coverage to individuals through a maste r, 
corporate, group or individual poli cy; 
 
12.  “Limited lines insurance ” means limited line credit and 
those lines of insurance defined in S ection 1435.20 of this title or 
any other line of insurance the Insurance Commissioner deems 
necessary to recognize for the purposes of complying with sub section 
E of Section 1435.9 of this titl e; 
 
13.  “Limited lines producer” means a person who is authori zed 
by the Commissioner to sell, solicit or negotiate limited lines 
insurance.  For purposes of the laws of this sta te and the Oklahoma 
Insurance Code, the term “limited insurance representative ” shall 
have the same meaning as the term “limited lines producer”; 
   
 
ENR. S. B. NO. 1252 	Page 4 
14.  “Managing general agent ” means an individual or legal 
entity appointed, as an independent contractor, by one or more 
insurers to exercise gener al supervision over the business of the 
insurer in this state, with authority to appoint insurance pro ducers 
for the insurer, and to terminate appointments for the insurer; 
 
15.  “Negotiate” means the act of conferring directly with or 
offering advice direc tly to a purchaser or prospective purcha ser of 
a particular contract of insurance concerning any of th e substantive 
benefits, terms or conditions of the contract, provided that the 
person engaged in that act either sel ls insurance or obtains 
insurance from insurers for purchaser; 
 
16.  “Person” means an individual or a business entity; 
 
17.  “Sell” means to exchange a contract of insurance, by any 
means, for money or its equivalent, on behalf of an insurance 
company; 
 
18.  “Solicit” means attempting to sell insurance or asking or 
urging a person to apply for a particular kind of insurance from a 
particular company; 
 
19.  “Surplus lines insurance broker ” means an individual or 
legal entity who solicits, negotiates, or procure s a policy of 
insurance in an insurance company not licensed to transact busin ess 
in this state which cannot be procured from insurers licen sed to do 
business in this state.  All transactions under such license shall 
be subject to Article 11 of the Oklahom a Insurance Code; 
 
20.  “Terminate” means the cancellation of the relationship 
between an insurance producer and the insurer or the terminati on of 
a producer’s authority to transact insurance; 
 
21.  “Uniform Business Entity Application ” means the current 
version of the National Association of Insurance Commissioners 
(NAIC) Uniform Business Entity Application for resident and 
nonresident business entities; and 
 
22.  “Uniform Application” means the current version of the NAIC 
Uniform Application for resident and nonresident producer licensing. 
   
 
ENR. S. B. NO. 1252 	Page 5 
SECTION 2.     AMENDATORY    36 O.S. 2021, Section 1435.3, is 
amended to read as f ollows: 
 
Section 1435.3. A.  Every insurance producer , customer service 
representative, as defined pursuant to paragra ph 7 of Section 1435.2 
of this title, or limited lines producer who solicits or ne gotiates 
an application for insurance of any kind shall, in any controversy 
between the insured or the insured ’s beneficiary and the insurer, be 
regarded as representing the insu rer and not the insured or the 
insured’s beneficiary.  This provision shall no t affect the apparent 
authority of an insurance producer. 
 
B.  Every surplus lin es insurance broker who solicits an 
application for insurance of any kind shall, in any controversy 
between the insured or the insured’s beneficiary and the insurer 
issuing any policy upon such application, be regarded as 
representing the insured or the in sured’s beneficiary and not the 
insurer.  Any company which directly or through its agents delivers 
in this state to any insurance broker, a policy of insurance 
pursuant to the application or request of such broker, acting for an 
insured other than himself or herself, shall be deemed to have 
authorized such broker to receive on its behalf, payment of an y 
premium which is due on such policy of insurance at the time of its 
issuance or delivery. 
 
C.  Every licensed insurance producer shall be entitled to 
commissions on all premiums collected for group insurance policies 
negotiated by the insurance producer o n behalf of an insurer and an 
insurer shall be required to pay such commission s to the insurance 
producer, except entitlement to commissions shall automatica lly 
terminate without notice, effective on the date of the occurrence of 
any of the following event s: 
 
1.  The insurance producer’s license to engage in accident and 
health insurance business is terminated or revoked by the State of 
Oklahoma this state or any other public authority for cause.  As 
used in this paragraph, “cause” shall be defined as perpetration by 
the insurance producer of fraud or embe zzlement; 
 
2.  Material breach of the insurance producer’s contract with 
the account or insurer, excluding production re quirements; 
   
 
ENR. S. B. NO. 1252 	Page 6 
3.  Termination of the insurance producer ’s “Agent of Record” 
relationship with the employer or account; or 
 
4.  Death of the insurance producer, unless th e contract between 
the insurer states otherwise or the right to the commission has 
vested. 
 
Recovery of such commissions shall be through civil action.  In any 
action brought pursuant to this subsection, the court may award 
reasonable attorneys attorney fees to the prevailing party. 
 
SECTION 3.     AMENDATORY     36 O.S. 2021, Section 1435.6, is 
amended to read as follows: 
 
Section 1435.6. A.  A resident individual applyi ng for an 
insurance producer license shall pass a w ritten examination u nless 
exempt pursuant to Section 1435.10 of this title.  The examination 
shall test the knowledge of the individual concernin g the lines of 
authority for which application is made, the duties and 
responsibilities of an insurance produce r and the insurance laws and 
regulations of this state.  Examinations required by this section 
shall be developed and conducted under rules and r egulations 
prescribed by the Insurance Commissioner. 
 
B.  The Commissioner may make arrangements, including 
contracting with an outs ide testing service, for administering 
examinations and collecting the nonrefundable fee set forth in 
Section 1435.23 of this title. 
 
C.  Each individual applying for an examination shal l remit a 
nonrefundable fee as prescribed by the In surance Commissioner as set 
forth in Section 1435.23 of this title. 
 
D.  Prior to completion and filing of the application, the 
Insurance Commissioner shall subject each applicant for license as 
an insurance producer, as defined pursuant to paragraph 7 of Section 
1435.2 of this title, insurance consultant, limited insurance 
representative, or customer service representative to an examination 
approved by the Commissioner as to competence to act as a licensee, 
which each applicant shall personally take and pas s to the 
satisfaction of the Commissioner except as provided in Section 
1435.10 of this title.  The Commissioner may accept examinations   
 
ENR. S. B. NO. 1252 	Page 7 
administered by a testing service as satisfying the examination 
requirements of persons seeking license as agents, soli citors, 
counselors, or adjusters under the Oklahoma Insurance Code.  The 
Commissioner may negotiate agreements with such testing services to 
include performance of examination development, test scheduling, 
examination site arrangements, test administration, grading, 
reporting, and analysis.  The Commissioner may require such testing 
services to correspond directly with the applicants with regard to 
the administration of such examinations and that such testi ng 
services collect fees for administering such exa minations directly 
from the applicants.  The Commissioner may stipulate that any 
agreements with such testing services provide for the administration 
of examinations in specific locales and at specified fr equencies.  
The Commissioner shall retain the autho rity to establish th e scope 
and type of all examinations. 
 
E.  If the applicant is a legal entity, the examination shall be 
taken by each individual who is to act for the entity as a licensee. 
 
F.  Each examination for a license shall be approved for use by 
the Commissioner and shall reasonably test the knowledge of the 
applicant as to the lines of insurance, policies, and transactions 
to be handled pursuant to the license applied for, the duties and 
responsibilities of the licensee, and the pertinent insuran ce laws 
of this state. 
 
G.  Examination for licensing shall be at such reasonable times 
and places as are designated by the Commissioner. 
 
H.  The Commissioner or testing service shall give, conduct, and 
grade all examinations in a fair and impartial manner and without 
discrimination among individuals examined. 
 
I.  The applicant shall pass the examination with a grade 
determined by the Commissioner to indicate satisfactory knowledge 
and understanding of the l ine or lines of insurance for which the 
applicant seeks qualification. Within ten (10) days after the 
examination, the Commissioner shall inform the applicant and the 
appointing insurer, when applicable, as to whether or not the 
applicant has passed.  An application for licensure shall be made 
within two (2) years after pass ing the examination. 
   
 
ENR. S. B. NO. 1252 	Page 8 
J.  An applicant who has failed to pass the examination for the 
license applied for may take the examination subsequent times.  
Examination fees for subsequent exam inations shall not be waived. 
 
K.  An applicant for a license as a resid ent surplus lines 
broker shall have passed the property and casualty insurance 
examination on the line or lines of insurance to be written to 
qualify for a surplus lines broker license. 
 
SECTION 4.    AMENDATORY     36 O.S. 2021, Section 1435.22, is 
amended to read as follows: 
 
Section 1435.22. A. Application for a customer service 
representative license or license renewal shall be accompanied by a 
written appointment, which shall remain in effect until expressly 
terminated in writing, si gned by the insurance agent or broker who 
will supervise the customer service representative, on forms 
prescribed by the Insurance Commissioner. 
 
B. 1.  Prior to issuance of a licen se as an insurance 
consultant or a surplus lines insuranc e broker, the applicant shall 
file with the Commissioner and thereafter, for as long as the 
license remains in effect, shall keep in force a bond in an amount 
of not less than Five Thousand Dollars ($5 ,000.00) and not more than 
Forty Thousand Dollars ($40, 000.00) with an authorized corporate 
surety approved by the Commissioner.  The exact amount of the bond 
shall be determined pursuant to the rules of the Commissioner and 
shall be based upon the actual or reasonably estimated premium for 
policies issued in connection with the services of the licensee.  
The surety shall notify the Commissioner of any changes in the bond 
of any licensee.  The aggregate liability of the surety for any and 
all claims on a bond required by the provisions of this subsection 
shall in no event exceed the amount of the bond.  No such bond shall 
be terminated unless at least thirty (30) days ’ prior written notice 
of the termination is given by the surety to the licensee and the 
Commissioner.  Upon termination of the license for which the bond 
was in effect, the licensee shall notify the surety within ten (10) 
working days. 
 
2.  The Commissioner may waive bonding requirements for 
nonresident surplus lines insurance brokers. 
   
 
ENR. S. B. NO. 1252 	Page 9 
3.  All surety protection required by the provisions of this 
section is to inure to the benefit of any party aggrieved by the 
acts of a consultant or broker arising pursuant to conduct as a 
licensed insurance consultant or surplus lines insurance broker. 
 
SECTION 5.    AMENDATORY    36 O.S. 2021, Section 1435.23, is 
amended to read as follows: 
 
Section 1435.23. A.  All applications shall be accompanied by 
the applicable fees.  An appointment may be deemed by the 
Commissioner to have terminated upo n failure by the insurer to pay 
the prescribed renewal f ee.  The Commissioner may also by order 
impose a civil penalty equal to double the amount of the unpaid 
renewal fee. 
 
The Insurance Commissioner shall collect in advance the 
following fees and license s: 
 
1.  For filing appointment of Insurance Commissioner 
as agent for service of process................... $ 20.00 
 
2.  Miscellaneous: 
 
a. Insurance producer’s study manual: 
 
(1) Life, Accident & Health .......... not to exceed 
 
 	$ 40.00 
 
(2) Property and Casualty ............ not to exceed 
 
 	$ 40.00 
 
b. For filing organizational documents of 
an entity applying for a license as an 
insurance producer.......................... $ 20.00 
 
3.  Examination for license: 
 
For each examination covering laws 
and one or more lines of insurance .... not to exceed 
   
 
ENR. S. B. NO. 1252 	Page 10 
 	$100.00 
 
4.  Licenses: 
 
a. Insurance producer’s biennial license....... $ 60.00 
 
b. Nonresident insurance producer’s 
biennial license............................ $100.00 
 
c. Insurance producer’s biennial license 
for sale or solicitation of variable 
insurance products.......................... $ 60.00 
 
d. Limited lines producer biennial li cense..... $ 40.00 
 
e. Nonresident limited lines producer 
biennial license............................ $100.00 
 
f. (1) Car rental limited lines biennial 
license, one or two locations, 
resident or nonresident ................ $ 40.00 
 
(2) Car rental limited lines biennial 
license, three or more locations, 
resident or nonresident ................ $500.00 
 
g. Temporary license as agent.................. $ 20.00 
 
h. Managing general agent’s biennial 
license................................ ..... $ 60.00 
 
i. Surplus lines broker ’s biennial license..... $100.00 
 
j. Insurance vending machine, each machine, 
biennial fee................................ $100.00 
 
k. Insurance consultant’s biennial license, 
resident or nonresident..................... $100.00 
 
l. Customer service representative biennial 
license................................ ..... $ 40.00 
   
 
ENR. S. B. NO. 1252 	Page 11 
5.  Annual fee for each appointed insurance 
producer, managing general agent, or limited 
lines producer by insurer, each license o f 
each insurance producer or r epresentative......... $30.00 
 
6.  Renewal fee for all licenses shall be the same as the 
current initial license fee. 
 
7.  The fee for a duplicate license shall be one -half (1/2) the 
fee of an original license. 
 
8.  The renewal of a li cense shall require a fee of doub le the 
current original license fee if the applicatio n for renewal is late, 
or incomplete on the renewal deadline. 
 
9.  The administrative fee for submission of a change of legal 
name or address more than thirty (30) days a fter the change occurred 
shall be Fifty Dollars ($50.00). 
 
B.  If for any reason an insu rance producer license or 
appointment is not issued or renewed by the Commissioner, all fees 
accompanying the appointment or application for the license shall be 
deemed earned and shall not be refundable except as provided in 
Section 352 of this title. 
 
C.  The Insurance Commissioner, by order, may waive licensing 
fees in extraordinary circumstances for a class of producers where 
the Commissioner deems that the public in terest will be best served. 
 
SECTION 6.     AMENDATORY     36 O.S. 2021, Section 1435.26, is 
amended to read as follows: 
 
Section 1435.26. A.  It shall be unlawful for any person whose 
license to act as an insurance producer, limited lin es producer, 
managing general agent, insurance consultant, or surplus lines 
insurance broker, or customer service representative has been 
suspended, revoked, surrendered, or refused to do or perform any of 
the acts of an insurance producer, limited lines p roducer, managing 
general agent, insurance consultant, or surplus lines insurance 
broker, or customer service representative.  Any person convicted of 
violating the provisions of this section shall be guilty of a felony 
and shall be punished by the imposit ion of a fine of not more than   
 
ENR. S. B. NO. 1252 	Page 12 
Five Thousand Dollars ($5,000.00) or shall be committed to t he 
custody of the Department of Corrections for not less than one (1) 
year nor more than five (5) years, or be punished by both said fine 
and commitment to custody. 
 
B.  It shall be unlawful for any insur ance producer, limited 
lines producer, managing gener al agent, insurance consultant, or 
surplus lines insurance broker , or customer service representative 
to assist, aid, or conspire with a person whose license as an 
insurance producer, limited lines produ cer, managing general agent, 
insurance consultant, or surplus lines insurance broker, or customer 
service representative has been suspended, revoked, surrendered, or 
refused to engage in any acts as an insurance produ cer, limited 
lines producer, managing g eneral agent, insurance consultant, or 
surplus lines insurance broker, or customer service representative.  
Any person convicted of violating the provisions of this section 
shall be guilty of a felony and shall be pun ished by the imposition 
of a fine of not more than Five Thousand Dollars ($5,000.00) or 
shall be committed to the custody of the Department of Corrections 
for not less than one (1) year nor more than five (5) years, or be 
punished by both said fine and com mitment to custody. 
 
C.  Except for those persons exempt from licensure, it shall be 
unlawful for any person to do or perform any of the acts of an 
insurance producer, limited lines producer, managing general agent, 
or surplus lines insurance broker , insurance consultant, or customer 
service representative without being duly licensed.  Any person 
convicted of violating the provisions of this section shall be 
guilty of a misdemeanor and shall be punished by the imposition of a 
fine of not more than Five Hund red Dollars ($500.00) or imprisonment 
in the county jail for not less than six (6) months no r more than 
one (1) year, or be punished by both said fine and imprisonment. 
 
SECTION 7.     AMENDATORY     36 O.S. 2021, Section 1435.29, is 
amended to read as follows: 
 
Section 1435.29.  A.  1.  Each insurance producer, with the 
exception of title producers and aircraft title producers or any 
other producer exempt by rule, shall, biennially, complete not less 
than twenty-one (21) clock hours of continuing insurance education.  
Such education may include a written or oral examination. 
   
 
ENR. S. B. NO. 1252 	Page 13 
2.  Each customer service representative shall, biennially, 
complete not less than ten (10) clock hours of continuing insurance 
education. 
 
3. Licensees, with the exception of title producers and 
aircraft title producers or any other producer exempt by rule, sh all 
complete, in addition to the foregoing, three (3) clock hours of 
ethics course work in this same period. 
 
4. 3. Each title producer and aircraft title producer shall, 
biennially, complete not less th an sixteen (16) clock hours of 
continuing insurance education, two (2) h ours of which shall be 
ethics course work, which shall cover the line for which the 
producer is licensed.  Such education may include a written or oral 
examination. 
 
B.  1.  The Insurance Commissioner shall approve courses and 
providers of continuing educat ion.  The Insurance Department may use 
one or more of the following to review and provide a nonbinding 
recommendation to the Insurance Commissioner on approval or 
disapproval of course s and providers of continuing education: 
 
a. employees of the Insurance C ommissioner, 
 
b. a continuing education advisory committee, or 
 
c. an independent service whose normal business 
activities include the re view and approval of 
continuing education courses and providers.  The 
Commissioner may negotiate agre ements with such 
independent service to review documents and other 
materials submitted for approval of courses and 
providers and provide the Commissioner w ith its 
nonbinding recommendation.  The Commissio ner may 
require such independent service to collect the fee 
charged by the independent service for reviewing 
materials provided for review directly from the course 
providers. 
 
The Insurance Commissioner has s ole authority to approve courses 
and providers of continuing education.  If the Insurance 
Commissioner uses one of the en tities listed above to provide a   
 
ENR. S. B. NO. 1252 	Page 14 
nonbinding recommendation, the Commissioner shall adopt or decline 
to adopt the recommendation within thirty (30) days of receipt of 
the recommendation.  In the event the Insurance Commissioner takes 
no action within said t hirty-day period, the recommendation made to 
the Commissioner will be deemed to have been adopted by the 
Commissioner. 
 
The Insurance Commissioner may certify providers and courses 
offered for license examination study.  The Insurance De partment 
shall use employees of the Insurance Commissioner to review and 
certify license examination study program providers and courses. 
 
2.  Each insurance company shall be allowed to provide 
continuing education to insurance producers and customer service 
representatives as required by this section; provided that such 
continuing education meets the general standards for education 
otherwise established by the Insurance Commissioner. 
 
3.  An insurance produ cer who, during the time period prior to 
renewal, participates in a prof essional designation program, 
approved by the Insurance Commissioner, shall be deemed to have met 
the biennial requirement for conti nuing education. 
 
The curriculum for the program shal l total a minimum of twenty-
four (24) hours within a twenty-four-month period.  Each approved 
professional designation program included in this section shall be 
reviewed for quality and compliance every three (3) years in 
accordance with standardized crite ria promulgated by rule.  
Continuation of approved s tatus is contingent upon the findings of 
the review.  The list of professional designation programs approved 
under this paragraph shall be made availab le to producers and 
providers annually. 
 
4.  The Insurance Department may promulgate rules providing that 
courses or programs offered by professional associations shall 
qualify for presumptive continuing education credit approval.  The 
rules shall include standardized criteria for reviewing the 
professional associations’ mission, membership, and other relevant 
information, and shall provide a procedure for the Department to 
disallow all or part of a presumptively approved course.  
Professional association c ourses approved in accordance with this   
 
ENR. S. B. NO. 1252 	Page 15 
paragraph shall be reviewed every three (3) years to determine 
whether they continue t o qualify for continuing education credit. 
 
5.  Subject to approval by the Commissioner, the active 
membership of the licensed pro ducer or broker in local, regional, 
state, or national professional insurance organizations or 
associations may be approved for up to one (1) annual hour of 
instruction.  The hour shall be credited upon timely filing with the 
Commissioner, or designee of t he Commissioner, and appropriate 
written evidence accep table to the Commissioner of such active 
membership in the organization or association. 
 
6.  The active service of a licensed producer as a member of a 
continuing education advisory committee, as descr ibed in paragraph 1 
of this subsection, shall be deemed to qualify for continuing 
education credit on an hou r-for-hour basis. 
 
C. 1.  Annual fees and course submission fees shall be set 
forth as a rule by the Commissioner.  The fees are payable to the 
Insurance Commissioner.  Provided, public -funded educational 
institutions, federal agencies, nonprofit organizations, not-for-
profit organizations, and Oklahoma state agencies shall be exempt 
from this subsection. 
 
2.  The Commissioner may assess a civil pena lty, after notice 
and opportunity for hearing, against a c ontinuing education provider 
who fails to comply with the requirements o f the Oklahoma Producer 
Licensing Act, of not less than One Hundred Dollars ($100.00) nor 
more than Five Hundred Dollars ($500 .00), for each occurrence.  The 
civil penalty may be enfor ced in the same manner in which civil 
judgments may be enforced. 
 
D.  Failure of an insurance producer or customer service 
representative to comply with the requirements of the Oklahoma 
Producer Licensing Act may, after notice and opportunity for 
hearing, result in censure, suspension, nonrenewal of license or a 
civil penalty of up to Five Hundred Dollars ($500.00) or by both 
such penalty and civil penalty.  Said civil penalty may be enforced 
in the same manner in which civil judgments may be enforced. 
   
 
ENR. S. B. NO. 1252 	Page 16 
E.  Limited lines producers and nonresident agents who ha ve 
successfully completed an equivalent or greater requirement shall be 
exempt from the provisions of this section. 
 
F.  Members of the Legislat ure shall be exempt from this 
section. 
 
G.  The Commissioner s hall adopt and promulgate such rules as 
are necessary for effective admi nistration of this section. 
 
SECTION 8.     REPEALER     36 O.S. 2021, Section 1435.24, is 
hereby repealed. 
 
SECTION 9.     REPEALER     36 O.S. 2021, Section 1435.30, is 
hereby repealed. 
 
SECTION 10.     REPEALER     36 O.S. 2021, Section 1435.31, is 
hereby repealed. 
 
SECTION 11.  This act shall become effective N ovember 1, 2022. 
   
 
ENR. S. B. NO. 1252 	Page 17 
Passed the Senate the 7th day of March, 2022. 
 
 
  
 	Presiding Officer of the Senate 
 
 
Passed the House of Representatives the 28th day of April, 2022. 
 
 
  
 	Presiding Officer of the House 
 	of Representatives 
 
OFFICE OF THE GOVERNOR 
Received by the Office of the Governor this _______ _____________ 
day of _________________ __, 20_______, at _______ o'clock _______ M. 
By: _______________________________ __ 
Approved by the Governor of the State of Oklahoma this _____ ____ 
day of _________________ __, 20_______, at _______ o'clock _______ M. 
 
 	_________________________________ 
 	Governor of the State of Oklahoma 
 
 
OFFICE OF THE SECRETARY OF STATE 
Received by the Office of the Secretary of State this _______ ___ 
day of __________________, 20 _______, at _______ o'clock _______ M. 
By: _______________________________ __