{"data":{"id":"us-ok/okla.-stat.-tit.-36-36-311a.3","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 36, § 36-311A.3","heading":"Definitions","body":"As used in the Oklahoma Annual Financial Report Act:\n\n1. \"Accountant\" or \"independent certified public accountant\"\n\nmeans an independent certified public accountant or accounting firm\n\nin good standing with the American Institute of Certified Public\n\nAccounts (AICPA), and in all states in which the accountant is\n\nlicensed to practice and for Canadian and British companies, it\n\nmeans a Canadian-chartered or British-chartered accountant;\n\n2. An \"affiliate\" of, or person \"affiliated\" with, a specific\n\nperson, is a person that directly, or indirectly through one or more\n\nintermediaries, controls, or is controlled by, or is under common\n\ncontrol with, the person specified;\n\n3. \"Audit committee\" means a committee or equivalent body\n\nestablished by the board of directors of an entity for the purpose\n\nof overseeing the accounting and financial reporting processes of an\n\ninsurer or group of insurers, the internal audit function of an\n\ninsurer or group of insurers, if applicable, and external audits of\n\nfinancial statements of the insurer or group of insurers, and audits\n\nof financial statements of the insurer or group of insurers. The\n\naudit committee of any entity that controls a group of insurers may\n\nbe deemed to be the audit committee for one or more of these\n\ncontrolled insurers solely for the purposes of the Oklahoma Annual\n\nFinancial Report Act at the election of the controlling person. The\n\nexercise of this election shall be pursuant to subsection G of\n\nSection 311A.14 of this title. If an audit committee is not\n\ndesignated by the insurer, the entire board of directors of the\n\ninsurer shall constitute the audit committee;\n\n4. \"Audited financial report\" means and includes those items\n\nspecified in Section 311A.5 of this title;\n\n5. \"Indemnification\" means an agreement of indemnity or a\n\nrelease from liability where the intent or effect is to shift or\n\nlimit in any manner the potential liability of the person or firm\n\nfor failure to adhere to applicable auditing or professional\n\nstandards, whether or not resulting in part from knowing of other\n\nmisrepresentations made by the insurer or its representatives;\n\n6. \"Independent board member\" has the same meaning as described\n\nin subsection E of Section 311A.14 of this title;\n\n7. \"Insurer\" means a licensed insurer as defined in Section 103\n\nof this title. For purposes of the Oklahoma Annual Financial Report\n\nAct, insurer includes but is not limited to fraternal benefit\n\nsocieties, health maintenance organizations, multiple employer\n\nwelfare arrangements, title insurers, and similar organizations\n\nlicensed by the Insurance Commissioner;\n\n8. \"Group of insurers\" means those licensed insurers included\n\nin the reporting requirements of Article 16A of the Oklahoma\n\nInsurance Code, or a set of insurers as identified by management,\n\nfor the purpose of assessing the effectiveness of internal control\n\nover financial reporting;\n\n9. \"Internal audit function\" means a person or persons that\n\nprovide independent, objective and reasonable assurance designed to\n\nadd value and improve an organization's operations and accomplish\n\nits objectives by bringing a systematic, disciplined approach to\n\nevaluate and improve the effectiveness of risk management, control\n\nand governance processes;\n\n10. \"Internal control over financial reporting\" means a process\n\neffected by the board of directors, management, and other personnel\n\nof an entity designed to provide reasonable assurance regarding the\n\nreliability of the financial statements, i.e., those items specified\n\nin paragraphs 2 through 7 of subsection B of Section 311A.5 of this\n\ntitle and includes those policies and procedures that:\n\na. pertain to the maintenance of records that, in\n\nreasonable detail and accurately, fairly reflect the\n\ntransactions and dispositions of assets,\n\nb. provide reasonable assurance that transactions are\n\nrecorded as necessary to permit preparation of the\nthose items specified\n\nin paragraphs 2 through 7 of subsection B of Section 311A.5 of this\n\ntitle and includes those policies and procedures that:\n\na. pertain to the maintenance of records that, in\n\nreasonable detail and accurately, fairly reflect the\n\ntransactions and dispositions of assets,\n\nb. provide reasonable assurance that transactions are\n\nrecorded as necessary to permit preparation of the\n\nfinancial statements, i.e., those items specified in\n\nparagraphs 2 through 7 of subsection B of Section\n\n311A.5 of this title and that receipts and\n\nexpenditures are being made only in accordance with\n\nauthorizations of management and directors, and\n\nc. provide reasonable assurance regarding prevention or\n\ntimely detection of unauthorized acquisition, use, or\n\ndisposition of assets that could have a material\n\neffect on the financial statements, i.e., those items\n\nspecified in paragraphs 2 through 7 of subsection B of\n\nSection 311A.5 of this title;\n\n11. \"SEC\" means the United States Securities and Exchange\n\nCommission;\n\n12. \"Section 404\" means Section 404 of the Sarbanes-Oxley Act\n\nof 2002 and the rules and regulations of the SEC promulgated\n\nthereunder;\n\n13. \"Section 404 Report\" means the report on internal control\n\nover financial reporting of management as defined by the SEC and the\n\nrelated attestation report of the independent certified public\n\naccountant; and\n\n14. \"SOX Compliant Entity\" means an entity that either is\n\nrequired to be compliant with, or voluntarily is compliant with, all\n\nof the following provisions of the Sarbanes-Oxley Act of 2002:\n\na. the preapproval requirements of Section 201 (Section\n\n10A(i) of the Securities Exchange Act of 1934),\n\nb. the audit committee independence requirements of\n\nSection 301 (Section 10A(m)(3) of the Securities\n\nExchange Act of 1934), and\n\nc. the internal control over financial reporting\n\nrequirements of Section 404 (Item 308 of SEC\n\nRegulation S-K).","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":"8f77b27234ddf7dfaed9f204c7c3fea34794baabe7a862482f9e8129b6a745da","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-36-36-311a.2","next":"us-ok/okla.-stat.-tit.-36-36-311a.4"},"notice":"GroundRules: Original legal text. Not legal advice."}