{"data":{"id":"us-ok/okla.-stat.-tit.-36-36-6470.2","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 36, § 36-6470.2","heading":"Definitions","body":"As used in the Oklahoma Captive Insurance Company Act:\n\n1. \"Alien company\" means an insurance company formed and\n\nlicensed pursuant to the laws of a country or jurisdiction other\n\nthan the United States of America, or any of its states, districts,\n\ncommonwealths and possessions;\n\n2. \"Affiliated company\" means a company in the same corporate\n\nsystem as a parent, an industrial insured, or a member organization\n\nby virtue of common ownership, control, operation, or management;\n\n3. \"Association\" means a legal association of individuals,\n\ncorporations, partnerships, or associations that has been in\n\ncontinuous existence for at least one (1) year or such lesser period\n\nof time approved by the Commissioner:\n\na. the member organizations of which, or which does\n\nitself or either of them acting in concert directly or\n\nindirectly own, control, or hold with power to vote\n\nall of the outstanding voting securities or interests\n\nof, or have complete voting control over an\n\nassociation captive insurance company, or\n\nb. the member organizations of which collectively\n\nconstitute all of the subscribers of an association\n\ncaptive insurance company formed as a reciprocal\n\ninsurer;\n\n4. \"Association captive insurance company\" means a captive\n\ninsurance company that insures risks of the member organizations of\n\nthe association and their affiliated companies;\n\n5. \"Branch business\" means any insurance business transacted by\n\na branch captive insurance company in this state;\n\n6. \"Branch captive insurance company\" means an alien captive\n\ninsurance company licensed by the Insurance Commissioner to transact\n\nthe business of insurance in this state through a business unit with\n\na principal place of business in this state. A branch captive\n\ninsurance company must be a pure captive insurance company with\n\nrespect to operations in this state, unless otherwise permitted by\n\nthe Insurance Commissioner;\n\n7. \"Branch operations\" means any business operations of a\n\nbranch captive insurance company in this state;\n\n8. \"Capital and surplus\" means the amount by which the value of\n\nall of the assets of the captive insurance company exceeds all of\n\nthe liabilities of the captive insurance company, as determined\n\nunder the method of accounting utilized by the captive insurance\n\ncompany in accordance with the applicable provisions of this act;\n\n9. \"Captive insurance company\" means a pure captive insurance\n\ncompany, association captive insurance company, sponsored captive\n\ninsurance company, special purpose captive insurance company,\n\nindustrial insured captive insurance company, branch captive\n\ninsurance company, or series captive insurance company formed or\n\nlicensed under the Oklahoma Captive Insurance Company Act;\n\n10. \"Controlled unaffiliated business\" means a company:\n\na. that is not in the corporate system of a parent and\n\naffiliated companies,\n\nb. that has an existing contractual relationship with a\n\nparent or affiliated company, and\n\nc. whose risks are managed by a pure captive insurance\n\ncompany in accordance with Section 6470.27 of this\n\ntitle;\n\n11. \"Insurance Commissioner\" means the Insurance Commissioner\n\nof this state or designee of the Insurance Commissioner;\n\n12. \"Department\" means the Insurance Department;\n\n13. \"GAAP\" means generally accepted accounting principles;\n\n14. \"Industrial insured\" means an insured:\n\na. who procures the insurance of any risk or risks by use\n\nof the services of a full-time employee acting as an\n\ninsurance manager or buyer,\n\nb. whose aggregate annual premiums for insurance on all\n\nrisks total at least Twenty-five Thousand Dollars\n\n($25,000.00), and\n\nc. who has at least twenty-five full-time employees;\n\n15. \"Industrial insured captive insurance company\" means a\n\ncompany that insures risks of the industrial insureds that comprise\n\nthe industrial insured group and their affiliated companies;\n\n16. \"Industrial insured group\" means a group of industrial\niums for insurance on all\n\nrisks total at least Twenty-five Thousand Dollars\n\n($25,000.00), and\n\nc. who has at least twenty-five full-time employees;\n\n15. \"Industrial insured captive insurance company\" means a\n\ncompany that insures risks of the industrial insureds that comprise\n\nthe industrial insured group and their affiliated companies;\n\n16. \"Industrial insured group\" means a group of industrial\n\ninsureds that collectively directly or indirectly owns, controls, or\n\nholds with power to vote all of the outstanding voting securities or\n\nother voting interests or has complete control over an industrial\n\ninsured captive insurance company;\n\n17. \"Member organization\" means any individual, corporation,\n\npartnership, or association that belongs to an association;\n\n18. \"Parent\" means any corporation, partnership, or individual\n\nthat directly or indirectly owns, controls, or holds with power to\n\nvote more than fifty percent (50%) of the outstanding voting\n\nsecurities of a pure captive insurance company;\n\n19. \"Participant\" means an entity as defined in Section 6470.31\n\nof this title, and any affiliates of that entity, that are insured\n\nby a sponsored captive insurance company, where the losses of the\n\nparticipant are limited through a participant contract to the\n\nparticipant's pro rata share of the assets of one or more protected\n\ncells identified in the participant contract;\n\n20. \"Participant contract\" means a contract by which a\n\nsponsored captive insurance company insures the risks of one or more\n\nparticipants and limits the losses of each participant to its pro\n\nrata share of the assets of one or more protected cells identified\n\nin the participant contract;\n\n21. \"Protected cell\" means a separate and distinct account\n\nestablished and maintained by or on behalf of a sponsored captive\n\ninsurance company in which assets are accounted for and recorded for\n\none or more participants in accordance with the terms of one or more\n\nparticipant contracts to fund the liability of the sponsored captive\n\ninsurance company assumed on behalf of the participants as set forth\n\nin the participant contracts;\n\n22. \"Pure captive insurance company\" means a company that\n\ninsures risks of its parent, affiliated companies of its parent, and\n\nany controlled unaffiliated business, or a combination thereof. For\n\npurposes of this paragraph, \"controlled unaffiliated business\" means\n\nan entity insured by a pure captive insurance company:\n\na. that is not in the corporate system of a parent and\n\naffiliated companies,\n\nb. that has an existing contractual relationship with a\n\nparent or affiliated company, and\n\nc. whose risks are managed by a pure captive insurance\n\ncompany;\n\n23. \"Reciprocal insurer\" has the meaning given that term in\n\nArticle 29 of the Oklahoma Insurance Code;\n\n24. \"Risk retention group\" means a risk retention group formed\n\npursuant to the Liability Risk Retention Act of 1986 under Section\n\n3901 of Title 15 of the United States Code;\n\n25. \"Series\" means a series of members, managers, membership\n\ninterests or assets under the Oklahoma Limited Liability Company Act\n\npursuant to Section 2054.4 of Title 18 of the Oklahoma Statutes, or\n\nthe corresponding law of another state;\n\n26. \"Series captive insurance company\" means a series which has\n\nreceived a certificate of authority pursuant to this act;\n\n27. \"Special purpose captive insurance company\" means a captive\n\ninsurance company that is formed or licensed under the Oklahoma\n\nCaptive Insurance Company Act that does not meet the definition of\n\nany other type of captive insurance company defined in this section\n\nand is designated as a special purpose captive insurance company by\n\nthe Commissioner;\n\n28. \"Sponsor\" means an entity that meets the requirements of\n\nSection 6470.30 of this title and is approved by the Insurance\n\nCommissioner to provide all or part of the capital and surplus\nof\n\nany other type of captive insurance company defined in this section\n\nand is designated as a special purpose captive insurance company by\n\nthe Commissioner;\n\n28. \"Sponsor\" means an entity that meets the requirements of\n\nSection 6470.30 of this title and is approved by the Insurance\n\nCommissioner to provide all or part of the capital and surplus\n\nrequired by applicable law and to organize and operate a sponsored\n\ncaptive insurance company;\n\n29. \"Sponsored captive insurance company\" means a captive\n\ninsurance company:\n\na. in which the minimum capital and surplus required by\n\napplicable law is provided by one or more sponsors,\n\nb. that is formed or licensed under the Oklahoma Captive\n\nInsurance Company Act,\n\nc. that insures the risks of its participants only\n\nthrough separate participant contracts, and\n\nd. that funds its liability to each participant through\n\none or more protected cells and segregates the assets\n\nof each protected cell from the assets of other\n\nprotected cells and from the assets of the sponsored\n\ncaptive insurance company's general account; and\n\n30. \"Workers' compensation insurance\" means insurance provided\n\nin satisfaction of an employer's responsibility as set forth in the\n\nAdministrative Workers' Compensation Act and the Oklahoma Employee\n\nInjury Benefit Act.","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":"3aeab0876bb90b5dad01e9c3a03a724c178c30624a3409d213001547f84387ff","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-36-36-6470.19","next":"us-ok/okla.-stat.-tit.-36-36-6470.20"},"notice":"GroundRules: Original legal text. Not legal advice."}