An Act
ENROLLED HOUSE
BILL NO. 3304 By: Bennett and Hefner of the
House
and
Coleman of the Senate
An Act relating to insurance; amending 36 O.S. 2021,
Section 123, as amended by Section 1 of Enrolled
House Bill No. 1505 of the 2nd Session of the 59th
Oklahoma Legislature, which relates to delivery and
storage of electronic documents; defining terms;
modifying definition; permitting plan sponsor of a
health benefit plan to take certain actions on behalf
of certain covered persons; requiring certa in actions
by plan sponsor; requiring certain actions by the
insurer for the health benefit plan; requiring
insurer to apprise certain parties of significance of
certain notice or documents; and providing an
effective date.
SUBJECT: Insurance
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 36 O.S. 2021, Section 123, as
amended by Section 1 of Enrolled House Bill No. 1505 of the 2nd
Session of the 59th Oklahoma Legisla ture, is amended to read as
follows:
Section 123. A. In this section, the following words shall
have the following meanings:
1. “Delivered by electronic means” includes:
ENR. H. B. NO. 3304 Page 2
a. delivery to an electronic mail address at which a
party has consented to rece ive notices or documents,
or
b. posting on an electronic network or site accessible
via the Internet, mobile application, computer, mobile
device, tablet or any other electronic device,
together with separate notice of the posting which
shall be provided by electronic mail to the address at
which the party has consented to receive notice, or by
any other delivery method that has been consented to
by the party.;
2. “Health benefit plan” means a health benefit plan as defined
pursuant to Section 6060.4 of this title;
3. “Party” means any re cipient of any notice or document
required as part of an insurance transaction, including but not
limited to an applicant, an insured, a policyholder , a covered
person, or an annuity contract holder .; and
4. “Plan sponsor” means a person, other than a re gulated
entity, who establishes, adopts, or maintains a health benefit plan
that covers residents of this stat e, including a plan established,
adopted, or maintained by an employer or jointly by an employer and
one or more employee organizations, an associ ation, a committee, a
joint board of trustees, or any similar group of representatives who
establish, adopt, or maintain a plan.
B. Subject to the requirements of this section, any notice to a
party or any other docum ent required under applicable law in an
insurance transaction, or that is to serve as evidence of insurance
coverage, may be delivered, stored and p resented by electronic
means, so long as it meets the requirements of the Uniform
Electronic Transactions Ac t pursuant to Section 15 -101, et seq. of
Title 12A of the Oklahoma Statutes.
C. Delivery of a notice or document in accordance with this
section shall be considered equivalent to any delivery method
required under applicable law, including delivery by fi rst class
mail; first class mail, pos tage prepaid; certified mail; certificate
of mail; or certificate of mailing.
D. A notice or document may be de livered by electronic means by
an insurer to a party under this section if: ENR. H. B. NO. 3304 Page 3
1. The party has affirmative ly consented to that method of
delivery and has not withdrawn the consent; or
2. The party, before giving consent, is provided with a clear
and conspicuous statement informing the party of:
a. the right of the party to withdraw consent to have a
notice or document delivered by electronic m eans, at
any time, and any conditions or consequences imposed
in the event consent is withdrawn,
b. the types of notices and documents to which the
party’s consent would apply,
c. the right of a party to have a notice or document
delivered in paper form, and
d. the procedures a party must follow to withdraw consent
to have a notice or document delivered by electronic
means and to update the party’s electronic mail
address;
3. The party:
a. before giving consent, is provided with a statement of
the hardware and software requirements for access to
and retention of a notice or document delivered by
electronic means, and
b. consents electronically, or confirms consent
electronically, in a manner that reasonably
demonstrates that the party can access infor mation in
the electronic form that will be used for notices or
documents delivered by electronic means as to which
the party has given consent;
4. The insurer takes measures reasonably calculated to ensure
that delivery by electronic means results in rec eipt of the notice
or document by the party; and
5. After consent of the party is given, the insurer, in the
event a change in the hardware or software requirements needed to
access or retain a notice or document deli vered by electronic means ENR. H. B. NO. 3304 Page 4
creates a material risk that the party will not be able to access or
retain a subsequent notice or document to which the consent applie s:
a. provides the party with a statement that describes:
(1) the revised hardware and softwa re requirements
for access to and ret ention of a notice or
document delivered by electronic means, and
(2) the right of the party to withdraw consent
without the imposition of any condition or
consequence that was not disclosed at the time of
initial consent, and
b. complies with paragraph 2 of this subsection.
E. 1. The plan sponsor of a health benefit plan may, on behalf
of covered persons enrolled in the plan, provide consent to the
mailing of all communications related to the plan by electronic
means otherwise required by paragraphs 1 and 2 of subsection D of
this section.
2. Before consenting on behalf of a covered person, a plan
sponsor must:
a. confirm that the covered person routinely uses
electronic communications during the normal course of
employment and is able to access and retain electronic
communications that may be delivered by the insurer,
and
b. inform the party in any manner the plan sponsor deem s
appropriate that such consent will be provided, and
that notices and documents relate d to the plan may be
delivered to the party’s work electronic mail address
unless the party affirmatively opts out of delivery by
electronic means or provides an alterna tive electronic
mail address.
3. Before providing delivery of a notice or document by
electronic means pursuant to this su bsection, the insurer for the
health benefit plan must:
ENR. H. B. NO. 3304 Page 5
a. provide the party with a clear and conspicuous
statement informing the per son of all of the
following:
(1) the types of notices and documents that may
be delivered to the covered person by
electronic means,
(2) the right of the party to withdraw consent
to have a notice or document delivered by
electronic means at any time witho ut charge,
(3) the procedures the party must follow to
withdraw consent to have a notice or
document delivered by elect ronic means and
to update the person’s electronic mail
address, and
(4) the right of the party to have any notice or
document delivered, upon request, in paper
form free of charge,
b. provide the party opportunity to opt out of delivery
by electronic means, and
c. document that the applicable provisions of the
conditions under the Uniform Electronic Transactions
Act, Section 15-101 et seq. of Title 12A of the
Oklahoma Statutes, are satisfied.
4. When a notice or document is provided electronic ally to a
party pursuant to this subsection, an insurer shall apprise the
party of the significance of the notice or document when it is not
otherwise reasonably evident and of the right to request and obtain
a paper version of such notice or document.
F. This section does not affect requirements related to content
or timing of any notice or document required under applicable law.
F. G. If a provision of this title or applicable law requiring
a notice or document to be provided to a party expressly requ ires
verification or acknowledgment of receipt of the notice or document,
the notice or document may be delivered by electronic means only if
the method used provides for verification or acknowledgment of
receipt. ENR. H. B. NO. 3304 Page 6
G. H. The legal effectiveness, validity or enforceability of
any contract or policy of insurance executed by a party may not be
denied solely because of the failure to obtain electroni c consent or
confirmation of consent of the party in accordance with subpar agraph
b of paragraph 3 of subsection D of this section.
H. I. 1. A withdrawal of consent by a party does not affect
the legal effectiveness, validity or enforceability of a notic e or
document delivered by electronic means to the party before the
withdrawal of consent is effective.
2. A withdrawal of consent by a party is effective within a
reasonable period of time after receipt of the withdrawal by the
insurer.
3. Failure by an insurer to comply with paragraph 5 of
subsection D and subsection J of this section may be treated, at the
election of the party, as a withdrawal of consent for purposes of
this section.
I. J. This section does not apply to a notice or document
delivered by an insurer in an electronic form before the effective
date of this act November 1, 2017, to a party who, before that date,
has consented to receive notice or document in an electronic form
otherwise allowed by law.
J. K. If the consent of a party to r eceive certain notices or
documents in an electronic form is on file w ith an insurer before
the effective date of this act November 1, 2017, and pursuant to
this section, an insurer intends to deliver additional notices or
documents to such party in an ele ctronic form, then prior to
delivering such additional notices or docu ments electronically, the
insurer shall:
1. Provide the party with a statement that describes:
a. the notices or documents that shall be delivered by
electronic means under this section that were not
previously delivered electronically, and
b. the party’s right to withdraw consent to have notices
or documents delivered by electronic means, without
the imposition of any condition or consequence that
was not disclosed at the time of initia l consent; and ENR. H. B. NO. 3304 Page 7
2. Comply with paragraph 2 of subsection D of this section.
K. L. An insurer shall deliver a notice or document by any
other delivery method permitted by law other than electronic means
if:
1. The insurer attempts to deliver the notice or document by
electronic means and has a reasonable basis for bel ieving that the
notice or document ha s not been received by the party; or
2. The insurer becomes aware that the electronic mail address
provided by the party is no longer valid.
L. M. Notwithstanding subsection A of this section or any other
law or regulation of this state requiring an in surer to provide,
send, or deliver an insurance policy or endorsement to an insured,
an insurer may elect to post a policy or endorsement that does not
contain personally identifiable information on its website provided
it complies with all of the followin g:
1. The policy or endorsement is easily accessible on the
website so long as it is in force;
2. The policy or endorsement is posted in a manner that enab les
the insured to print and save it using programs or appli cations
widely available on the Inter net and free of charge to use;
3. The insurer provides notice, in the manner it normally
communicates with the insured at the time of issuance or renewal of
the policy or endorsement, or at the time of any changes to the
policy or endorsement, of a metho d by which the insured may obtain,
upon request and without charge, at the choice of the insured, a
paper or electronic copy of the policy or endorsement, or an y
changes to them, and the Internet address where the polic y and
endorsement are posted;
4. The insurer provides all of the following information on
each declarations page, or similar document as appropriate to the
line of coverage, provided to the insure d at the time of issuance or
renewal:
a. a description of the exact policy and endorsement
forms purchased by the insured,
ENR. H. B. NO. 3304 Page 8
b. a method by which the insured may obtain, upon request
and without charge, a paper or electronic copy of the
policy or endorsement , or any changes to them,
c. the Internet address where the policy and endorsement
are posted; and
5. After expiration of the policy or endorsement, the insurer
archives the expired policies or endorsements in accordance with the
Oklahoma Insurance Depart ment's general record retention
requirements and makes them available upon request.
M. N. A producer shall not be subject to civil liability for
any harm or injury that occurs as a result of a party’s election to
receive any notice or document by electron ic means or by an
insurer’s failure to deliver a noti ce or document by electronic
means.
N. O. This section may not be construed to modify, limit or
supersede the provisions of the federal Electronic Signatures in
Global and National Commerce Act, Public Law 106-229, as amended.
SECTION 2. This act shall become effective Nov ember 1, 2024. ENR. H. B. NO. 3304 Page 9
Passed the House of Representatives the 9th day of May, 2024.
Presiding Officer of the House
of Representatives
Passed the Senate the 17th day of April, 2024.
Presiding Officer of the Sena te
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: _________________________________