{"data":{"id":"us-ok/okla.-stat.-tit.-36-36-3639","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 36, § 36-3639","heading":"Application of cancellation requirements to certain","body":"policies - Definitions - Notice and reasons for cancellation or\n\nnonrenewal - Notice of premium increases.\n\nA. The provisions of this section apply to commercial marine\n\npolicies, commercial automobile policies, commercial property\n\ninsurance policies, commercial casualty insurance policies, and\n\ncommercial fire insurance policies.\n\nB. As used in this section:\n\n1. “Renewal” or “to renew” means the issuance or offer of\n\nissuance by an insurer of a policy succeeding a policy previously\n\nissued and delivered by the same insurer or an insurer within the\n\nsame group of insurers, or the issuance of a certificate or notice\n\nextending the term of an existing policy for a specified period\n\nbeyond its expiration date;\n\n2. “Nonpayment of premium” means the failure or inability of\n\nthe named insured to discharge any obligation in connection with the\n\npayment of premiums on a policy of insurance subject to this\n\nsection, whether such payments are payable directly to the insurer\n\nor its agent or indirectly payable under a premium finance plan or\n\nextension of credit;\n\n3. “Cancellation” means termination of a policy at a date other\n\nthan its expiration date;\n\n4. “Expiration date” means the date upon which coverage under a\n\npolicy ends. It also means, for a policy written for a term longer\n\nthan one (1) year or with no fixed expiration date, each annual\n\nanniversary date of such policy; and\n\n5. “Nonrenewal” or “refusal to renew” means termination of a\n\npolicy at its expiration date.\n\nC. After coverage has been in effect for more than forty-five\n\n(45) business days or after the effective date of the renewal of a\n\ncommercial marine, commercial automobile, commercial property,\n\ncommercial casualty or commercial fire insurance policy, a notice of\n\ncancellation shall not be issued by any licensed insurer or surplus\n\nor excess lines insurer unless it is based on at least one of the\n\nfollowing reasons with at least ten (10) days’ notice to the\n\ninsured:\n\n1. Nonpayment of premium;\n\n2. Discovery of fraud or material misrepresentation in the\n\nprocurement of the insurance or with respect to any claims submitted\n\nthereunder;\n\n3. Discovery of willful or reckless acts or omissions on the\n\npart of the named insured which increase any hazard insured against;\n\n4. The occurrence of a change in the risk which substantially\n\nincreases any hazard insured against after insurance coverage has\n\nbeen issued or renewed;\n\n5. A violation of any local fire, health, safety, building, or\n\nconstruction regulation or ordinance with respect to any insured\n\nproperty or the occupancy thereof which substantially increases any\n\nhazard insured against;\n\n6. A determination by the Commissioner that the continuation of\n\nthe policy would place the insurer in violation of the insurance\n\nlaws of this state;\n\n7. Conviction of the named insured of a crime having as one of\n\nits necessary elements an act increasing any hazard insured against;\n\nor\n\n8. Loss of or substantial changes in applicable reinsurance.\n\nD. An insurer may refuse to renew a policy if the insurer gives\n\nto the first-named insured at the address shown on the policy\n\nwritten notice that the insurer will not renew the policy. Such\n\nnotice shall be given at least forty-five (45) days before the\n\nexpiration date. Notice may be sent by electronic means if the\n\nrecipient consents to such method of delivery and the insurer is in\n\ncompliance with the provisions of the Uniform Electronic\n\nTransactions Act. Electronic delivery is considered to be\n\nequivalent to any delivery method required by law, including first-\n\nclass mail, postage prepaid, certified mail, certificate of mail, or\n\ncertificate of mailing. If notice is given by mail or sent by\n\nelectronic means, such notice shall be deemed to have been given on\n\nthe day the notice is mailed or sent electronically. If the notice\n\nis mailed or sent electronically less than forty-five (45) days\nuivalent to any delivery method required by law, including first-\n\nclass mail, postage prepaid, certified mail, certificate of mail, or\n\ncertificate of mailing. If notice is given by mail or sent by\n\nelectronic means, such notice shall be deemed to have been given on\n\nthe day the notice is mailed or sent electronically. If the notice\n\nis mailed or sent electronically less than forty-five (45) days\n\nbefore expiration, coverage shall remain in effect until forty-five\n\n(45) days after notice is mailed or sent electronically. Earned\n\npremium for any period of coverage that extends beyond the\n\nexpiration date shall be considered pro rata based upon the previous\n\nyear’s rate. For purposes of this section, the transfer of a\n\npolicyholder between companies within the same insurance group is\n\nnot a refusal to renew. In addition, changing deductibles, changes\n\nin premium, changes in the amount of insurance, or reductions in\n\npolicy limits or coverage are not refusals to renew.\n\nNotice of nonrenewal shall not be required if the insurer or a\n\ncompany within the same insurance group has offered to issue a\n\nrenewal policy, or if the named insured has obtained replacement\n\ncoverage or has agreed in writing to obtain replacement coverage.\n\nIf an insurer provides the notice required by this subsection\n\nand thereafter the insurer extends the policy for ninety (90) days\n\nor less, an additional notice of nonrenewal is not required with\n\nrespect to the extension.\n\nE. An insurer shall give to the named insured at the mailing\n\naddress shown on the policy, written notice of premium increase,\n\nchange in deductible, reduction in limits or coverage at least\n\nforty-five (45) days prior to the expiration date of the policy. If\n\nthe insurer fails to provide such notice, the premium, deductible,\n\nlimits and coverage provided to the named insured prior to the\n\nchange shall remain in effect until notice is given or until the\n\neffective date of replacement coverage obtained by the named\n\ninsured, whichever first occurs. If notice is given by mail, such\n\nnotice shall be deemed to have been given on the day the notice is\n\nmailed. If the insured elects not to renew, any earned premium for\n\nthe period of extension of the terminated policy shall be calculated\n\npro rata at the lower of the current or previous year’s rate. If\n\nthe insured accepts the renewal, the premium increase, if any, and\n\nother changes shall be effective the day following the prior\n\npolicy’s expiration or anniversary date.\n\nThis subsection shall not apply to:\n\n1. Changes in a rate or plan filed with or approved by the\n\nInsurance Commissioner or filed pursuant to the Property and\n\nCasualty Competitive Loss Cost Rating Act and applicable to an\n\nentire class of business;\n\n2. Changes based upon the altered nature of extent of the risk\n\ninsured; or\n\n3. Changes in policy forms filed with or approved by the\n\nInsurance Commissioner and applicable to an entire class of\n\nbusiness.\n\nF. Proof of mailing of notice of cancellation, or of nonrenewal\n\nor of premium or coverage changes, to the named insured at the\n\naddress shown in the policy, shall be sufficient proof of notice.","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":"b10fc1c9fbaaa1a81d711fc59b9314c17e3b83ba058605f65388e50db937af9c","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-36-36-3637","next":"us-ok/okla.-stat.-tit.-36-36-3639.1"},"notice":"GroundRules: Original legal text. Not legal advice."}