Req. No. 1229 Page 1 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
STATE OF OKLAHOMA
1st Session of the 59th Legislature (2023)
SENATE BILL 195 By: Hicks
AS INTRODUCED
An Act relating to motor vehicle liability pol icies;
amending 47 O.S. 2021, Section 7-324, which relates
to policy contents and coverages; increasing minimum
amount of insurance to be held for injury to or
destruction of property of others; making language
gender neutral; updating statutory la nguage; and
providing an effective date .
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLA HOMA:
SECTION 1. AMENDATORY 47 O.S. 2021, Section 7 -324, is
amended to read as follows:
Section 7-324. (a) Certification. A “motor vehicle liability
policy” as the term is used in this article shall mean an “owner’s
policy” or an “operator’s policy” of liability insurance, certified
as provided in Section 7 -321 or Section 7-322 of this title as proof
of financial responsibility, and issued, except as otherwise
provided in Section 7-322 of this title, by an insurance carrier
duly authorized to transact business in this state, to or for the
benefit of the person named therein as insured.
(b) Owner’s policy. Such owner ’s policy of liability
insurance:
Req. No. 1229 Page 2 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1. Shall designate by explicit description or by appropr iate
reference all vehicles with respect to which coverage is thereby to
be granted; and
2. Shall insure the person named therein and any other person
except as herein provided, as insured, using any such the vehicle or
vehicles with the express or implie d permission of such the named
insured, against loss from the liability imposed by law fo r damages
arising out of the ownership, maintenance or use of such the vehicle
or vehicles within the United States of America or the Domi nion of
Canada, subject to li mits exclusive of inter est and costs, with
respect to each such vehicle, as follows: Twenty-five Thousand
Dollars ($25,000.00) because of bodily injury to or death of one
person in any one accident and, subject to said the limit for one
person, Fifty Thousand Dollars ($50,000.00) because of bodily injury
to or death of two or more persons in any one accident, and Twenty-
five Thousand Dollars ($25,000.00) Forty Thousand Dollars
($40,000.00) because of injury to or destruction of property of
others in any one ac cident.; and
3. May by agreement in a separate written endorsement between
any named insured and the insurer exclude as insured any p erson or
persons designated by name from coverage under the policy.
(c) Operator’s policy. Such operator’s policy of liability
insurance shall insure the person named as insured therein against
loss from the liability imposed upon him the person by law for
Req. No. 1229 Page 3 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
damages arising out of the use by him that person of any motor
vehicle not owned by him or her, within the same territo rial limits
and subject to the same limits of liability as are set forth above
with respect to an owner ’s policy of liability insurance.
(d) Required statements in policies. Such motor vehicle
liability policy shall state the name and address of the name d
insured, the coverage afforded by the policy, the premium charged
therefor, the policy period and the limits of liability, and shall
contain an agreement or be en dorsed that insurance is provided
thereunder in accordance w ith the coverage defined in this chapter
as respects bodily injury and death or property damage, or both, and
is subject to all the provisions of this title.
(e) Policy need not insure workmen ’s compensation. Such motor
vehicle liability policy need not insure any liability under any
workmen’s workers’ compensation law nor any liability on account of
bodily injury to or death of an employee of the insured while
engaged in the employment, other than domest ic, of the insured, or
while engaged in the operati on, maintenance or repair of any such
vehicle nor any liability for damage to property owned by, rented
to, in charge of or transported by the insured.
(f) Provisions incorporated in policy. Every motor vehicle
liability policy shall be subject to the fo llowing provisions which
need not be contained therein:
Req. No. 1229 Page 4 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1. The liability of the insurance carrier with respect to the
insurance required by this title shall become absolute whenever
injury or damage cover ed by said such motor vehicle liability policy
occurs; said such policy may not be canceled or annulled as to such
liability by any agreement between the insurance carrier and the
insured after the occurrence of the injury or damage; no statement
made by the insured or on his behalf and no violation of said such
policy shall defeat or void said the policy.
2. The satisfaction by the insured of a judgment for such
injury or damage shall not be a condition precedent to the right or
duty of the insurance carrier to make payment on account of such
injury or damage.
3. The insurance carrier shall have the righ t to settle any
claim covered by the policy, and if such settlement is made in good
faith, the amount thereof shall be deductible from the limits of
liability specified in p aragraph 2 of subsection (b) of this
section.
4. The policy, the written applicati on therefor, if any, and
any rider or endorsement which does not conflict with the provisions
of this title shall constitute the entire contract between the
parties.
(g) Excess or additional coverage. An y policy which grants t he
coverage required for a m otor vehicle liability policy may also
grant any lawful coverage in excess of or in addition to the
Req. No. 1229 Page 5 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
coverage specified for a motor vehicle liability policy and such
excess or additional coverage shall not be subject to the provi sions
of this title. With r espect to a policy which grants such excess or
additional coverage, the term “motor vehicle liability policy ” shall
apply only to that part of the coverage which is required by this
section.
(h) Reimbursement provision permitte d. Any motor vehicle
liability policy may provide that the insured shall reimburse the
insurance carrier for any payment the insurance carrier would not
have been obligated to make under the terms of the policy except for
the provisions of this title.
(i) Proration of insurance per mitted. Any motor vehicle
liability policy may provide for the prorating of the insurance
thereunder with other valid and collectible insurance.
(j) Multiple policies. Th e requirements for a motor vehic le
liability policy may be fulfilled by the policie s of one or more
insurance carriers which policies together meet such requirements.
(k) Binders. Any binder issued pending the issuance of a motor
vehicle liability policy shall be deemed to fulfill the requirements
for such a policy.
SECTION 2. This act shall become effective November 1, 2023.
59-1-1229 RD 1/9/2023 11:01:44 AM