Okla. Stat. tit. 36 § 660.1

Current through Laws 2024, c. 453.

Section 660.1 - [Effective 11/1/2024]

As used in this act, unless the context otherwise requires:

1. "Board" means the board of directors of a converting mutual insurer;

2. "Conversion" means a process by which a domestic mutual insurer is converted to a domestic stock insurer as part of a reorganization;

3. "Converted stock insurer" means a domestic stock insurer into which a domestic mutual insurer is converted as part of a reorganization;

4. "Converting mutual insurer" means a domestic mutual insurer that is converting to a domestic stock insurer as part of a reorganization;

5. "Effective date" means, with respect to a plan, the date on which the plan or a part of the plan becomes effective as set forth in an order of the Oklahoma Insurance Commissioner;

6. "Eligible member" means a member of the converting mutual insurer whose insurance policy is in force as of the date on which the board adopts the plan of reorganization or on some other date that the plan specifies as the record date and that the Insurance Commissioner approves;

7. "Intermediate stock holding company" means a corporation that satisfies all of the following:

a. the corporation was incorporated under Title 18 of the Oklahoma Statutes,

b. a mutual holding company holds directly or indirectly at least a majority of the corporation's voting stock, and

c. the corporation holds directly or indirectly at least a majority of the voting stock of a converted stock insurer;

8. "Member" means:

a. with respect to a domestic mutual insurer, a member as described in Section 2115 of Title 36 of the Oklahoma Statutes, or

b. with respect to a mutual holding company, any holder of one or more policies of insurance, other than a policy of reinsurance, issued by the converted stock insurer resulting from a reorganization involving the organization of a mutual holding company and, if permitted under the articles of incorporation or bylaws of the mutual holding company, may include any holder of one or more policies of insurance, other than a policy of reinsurance, issued by any other insurer that is a direct or indirect subsidiary or affiliate of the mutual holding company;

9. "Membership interest" means:

a. with respect to a converting mutual insurer, a member of a domestic mutual insurer shall have the same character of rights and relationship as a stockholder has toward a domestic stock insurer, with respect to the management, records, and affairs of the insurer, or

b. with respect to a mutual holding company on and after the effective date of the plan, any right that a member of the mutual holding company may hold by virtue of membership in the mutual holding company arising under the articles of incorporation and bylaws of the mutual holding company, including the right to vote for the board;

10. "Mutual holding company" means a corporation that is formed and existing under the laws of this state and pursuant to the reorganization of a mutual insurance company;

11. "Plan" means a plan of reorganization;

12. "Reorganization" means a process by which a domestic mutual insurer is converted to a domestic stock insurer and a mutual holding company is organized; and

13. "Voting stock" means:

a. stock of any class or any percentage ownership interest having voting power for the election of directors, trustees or management, and

b. includes stock having voting power only by reason of the happening of a contingency.

Okla. Stat. tit. 36, § 660.1

Added by Laws 2024, c. 194,s. 1, eff. 11/1/2024.