Okla. Stat. tit. 36, § 36-3639.3: Homeowner coverage as condition of financing – Amount

not to exceed replacement value - Definitions.

A. No lender, as a condition of financing a residential

mortgage or providing other financing arrangements for residential

property, including a mobile or manufactured home, may require a

borrower to purchase homeowner insurance coverage, mobile or

manufactured home insurance coverage, dwelling fire coverage, or

other residential property coverage in an amount that exceeds the

replacement value of the dwelling and its contents, regardless of

the amount of the mortgage or other financing arrangement entered

into by the borrower. As used in this section, “replacement value”

shall not include the cleanup costs or the value of outbuildings if

the limits of coverage are separate from the dwelling limits

coverage.

B. A lender may not include the fair market value of the land

on which a dwelling is located in the replacement value of the

dwelling and its contents.

C. A lender may accept the value of the dwelling determined by

the insurer, or use the value placed on the dwelling that is

determined by an appraisal of the real property by the lender to

determine the replacement value.

D. As used in this section:

1. "Lender" means any person, partnership, corporation,

association, or other entity, or any agent, loan agent, servicing

agent, or any loan or mortgage broker, who lends money and receives

or otherwise acquires a mortgage, lien, deed of trust, or any other

security interest in or upon any real or personal property as

security for such loan; and

2. "Borrower" means any person, partnership, corporation,

association, or other entity, who has or acquires a legal or

equitable interest in real or personal property which is or becomes

subject to a mortgage, lien, security agreement, deed of trust, or

other security instrument.