{"data":{"id":"us-ok/okla.-stat.-tit.-36-36-902","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 36, § 36-902","heading":"Excessive, inadequate or unfairly discriminatory rates","body":"A. The Insurance Commissioner shall not approve rates for\n\ninsurance which are excessive, inadequate, or unfairly\n\ndiscriminatory.\n\n1. An excessive rate is one which:\n\na. is unreasonably high for the insurance provided, or\n\nb. is unreasonable because (1) a reasonable degree of\n\ncompetition does not exist in the area with respect to\n\nthe classification to which such rate is applicable\n\nand (2) the rate is unreasonably high for the\n\ninsurance provided.\n\n2. An inadequate rate is one which:\n\na. is (1) unreasonably low for the insurance provided and\n\n(2) the continued use of such rate endangers, or if\n\ncontinued would endanger, the solvency of the insurer,\n\nor\n\nb. is (1) unreasonably low for the insurance provided and\n\n(2) the continued use of such rate by the insurer has,\n\nor if continued would have, the effect of destroying\n\ncompetition or creating a monopoly, or\n\nc. is insufficient to cover projected losses, expenses\n\nand a reasonable margin for profit for the line of\n\ninsurance coverage to be offered in this state by the\n\nfiler.\n\n3. A rate shall not be unfairly discriminatory.\n\na. A rate is not unfairly discriminatory because it is\n\nbased in part upon the establishment or modification\n\nof classifications of risks based upon:\n\n(1) the size of the risk,\n\n(2) the expense or difficulty in management of the\n\nrisk,\n\n(3) the individual experience of the risk,\n\n(4) the location or dispersion of the risk, or\n\n(5) any other reasonable consideration attributable\n\nto the risk.\n\nb. A rate is not unfairly discriminatory in relation to\n\nanother in the same class of business if it reflects\n\nequitably the differences in expected losses and\n\nexpenses. Rates are not unfairly discriminatory\n\nbecause different premiums result for policyholders\n\nwith like loss exposures but different expense\n\nfactors, or with like expense factors but different\n\nloss exposures, if the rates reflect the differences\n\nwith reasonable accuracy.\n\nc. A rate shall be deemed unfairly discriminatory as to a\n\nrisk or group of risks if the application of premium\n\ndiscounts, credits, or surcharges among such risks\n\ndoes not bear a reasonable relationship to the\n\nexpected loss and expense experience among the various\n\nrisks.\n\nd. A rate shall never be based upon race, color, creed or\n\nnational origin.\n\nB. The systems of expense provisions included in the rates for\n\nuse by any insurer or group of insurers may differ from those of\n\nother insurers or groups of insurers to reflect the requirements of\n\nthe operating methods of any such insurer or group with respect to\n\nany kind of insurance or subdivision or combination thereof for\n\nwhich subdivision or combination separate expense provisions are\n\napplicable.\n\nC. Nothing in this act shall be construed to require uniformity\n\nin insurance rates, classifications, rating plans, or practices.\n\nD. Nothing in this act shall abridge or restrict the freedom of\n\ncontract of insurers, agents, brokers or employees with reference to\n\nthe commissions, compensation, or salaries to be paid to such\n\nagents, brokers, or employees by insurers.","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":"64674e6b6625ec731eac0d9b50e3e5841af2725ebaf464011702052658717fc7","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-36-36-901.5","next":"us-ok/okla.-stat.-tit.-36-36-902.2"},"notice":"GroundRules: Original legal text. Not legal advice."}