{"data":{"id":"us-ok/okla.-stat.-tit.-36-36-1937","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 36, § 36-1937","heading":"Immunity or indemnity of receivers and employees","body":"A. For the purposes of this section the persons entitled to\n\nprotection under this section are:\n\n1. The receiver, assistant receiver, and retained counsel\n\nresponsible for the conduct of a delinquency proceeding under\n\nArticle 19 of the Insurance Code, including present and former\n\nreceivers; and\n\n2. Their employees meaning all present and former assistant\n\nreceivers and attorneys for the receiver appointed by the Insurance\n\nCommissioner and all persons whom the Commissioner, assistant\n\nreceiver or retained counsel have employed to assist in a\n\ndelinquency proceeding under Article 19 of the Insurance Code.\n\nAttorneys, accountants, auditors and other professional persons or\n\nfirms, who are retained by the receiver as independent contractors\n\nand their employees shall not be considered employees of the\n\nreceiver for purposes of this section.\n\nB. If any legal action is commenced against the receiver or any\n\nemployee, whether against him personally or in his official\n\ncapacity, alleging property damage, property loss, personal injury\n\nor other civil liability caused by or resulting from any alleged\n\nact, error or omission of the receiver or any employee arising out\n\nof or by reason of their duties or employment, the receiver and any\n\nemployee shall be indemnified from the assets of the insurer for all\n\nexpenses, attorneys' fees, judgments, settlements, decrees or\n\namounts due and owing or paid in satisfaction of or incurred in the\n\ndefense of such legal action unless it is determined upon a final\n\nadjudication on the merits that the alleged act, error or omission\n\nof the receiver or employee giving rise to the claim did not arise\n\nout of or by reason of his duties or employment, or was caused by\n\nintentional or willful and wanton misconduct.\n\n1. Attorneys' fees and any and all related expenses incurred in\n\ndefending a legal action for which immunity or indemnity is\n\navailable under this section shall be paid from the assets of the\n\ninsurer, as they are incurred, in advance of the final disposition\n\nof such action upon receipt of an undertaking by or on behalf of the\n\nreceiver or employee to repay the attorneys' fees and expenses if it\n\nshall ultimately be determined upon a final adjudication on the\n\nmerits that the receiver or employee is not entitled to immunity or\n\nindemnity under this section.\n\n2. Any indemnification for expense payments, judgments,\n\nsettlements, decrees, attorneys' fees, surety bond premiums or other\n\namounts paid or to be paid from the insurer's assets pursuant to\n\nthis section shall be an administrative expense of the insurer.\n\n3. In the event of any actual or threatened litigation against\n\na receiver or any employee for which immunity or indemnity may be\n\navailable under this section, a reasonable amount of funds which in\n\nthe judgment of the Insurance Commissioner may be needed to provide\n\nimmunity or indemnity shall be segregated and reserved from the\n\nassets of the insurer as security for the payment of indemnity until\n\nsuch time as all applicable statutes of limitation shall have run\n\nand all actual or threatened actions against the receiver or any\n\nemployee have been completely and finally resolved, and all\n\nobligations of the insurer and the Commissioner under this section\n\nshall have been satisfied.\n\n4. In lieu of segregation and reserving of funds, the Insurance\n\nCommissioner shall have the discretion to obtain a surety bond or\n\nmake other arrangements which shall enable the Commissioner to fully\n\nsecure the payment of all obligations under this section.\n\nC. If any legal action against an employee for which indemnity\n\nmay be available under this section is settled prior to final\n\nadjudication on the merits, the insurer must pay the settlement\n\namount on behalf of the employee, or indemnify the employee for the\n\nsettlement amount, unless the Insurance Commissioner determines:\nons under this section.\n\nC. If any legal action against an employee for which indemnity\n\nmay be available under this section is settled prior to final\n\nadjudication on the merits, the insurer must pay the settlement\n\namount on behalf of the employee, or indemnify the employee for the\n\nsettlement amount, unless the Insurance Commissioner determines:\n\n1. That the claim did not arise out of or by reason of the\n\nemployee's duties or employment; or\n\n2. That the claim was caused by the intentional or willful and\n\nwanton misconduct of the employee.\n\nD. In any legal action in which the receiver is a defendant,\n\nthat portion of any settlement relating to the alleged act, error or\n\nomission of the receiver shall be subject to the approval of the\n\ncourt before which the delinquency proceeding is pending. The court\n\nshall not approve that portion of the settlement if it determines:\n\n1. That the claim did not arise out of or by reason of the\n\nreceiver's duties or employment; or\n\n2. That the claim was caused by the intentional or willful and\n\nwanton misconduct of the receiver.\n\nE. Nothing contained or implied in this section shall operate,\n\nor be construed or applied to deprive the receiver or any employee\n\nof any immunity, indemnity, benefits of law, rights or any defense\n\notherwise available.\n\nF. 1. No legal action shall lie against the receiver or any\n\nemployee based in whole or in part on any alleged act, error or\n\nomission which took place prior to September 1, 1992, unless suit is\n\nfiled and valid service of process is obtained prior to September 1,\n\n1993.\n\n2. Subsections B, C, and D of this section shall apply to any\n\nsuit which is pending on or filed after September 1, 1992, without\n\nregard to when the alleged act, error or omission took place.","path":["OK Code","Title 36"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os36.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"16bd211ba4db8cc94ade336161776a065608d34413a4960613656145637b93a3","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-36-36-1936","next":"us-ok/okla.-stat.-tit.-36-36-1938"},"notice":"GroundRules: Original legal text. Not legal advice."}