Oklahoma Insurance Commissioner Glen Mulready exercised his new power this week to authorize Providence Washington Insurance Company (PWIC) to submit its Insurance Business Transfer (IBT) Plan to the Oklahoma County District Court for approval. PWIC wants to transfer business to Oklahoma based Yosemite Insurance Company.
Mulready claims he is the first insurance commissioner in the country to approve an IBT plan.
“This is a big accomplishment for us,” Mulready said. “We expect the IBT to bring tremendous opportunities to Oklahoma—more jobs to the state, more options for consumers and a more competitive environment for insurers. ”
The law passed by the Legislature in 2018 allows out of state insurance companies to submit a plan to the Oklahoma Insurance Department to transfer policies to an Oklahoma based insurance company. The plan must include details of financial health and how policyholders will be notified and affected by the possible change. The Oklahoma County District Court will hold a hearing for final approval after a comment period on the Insurance Commissioner approves the IBT.
PWIC’s transfer to Yosemite would include liabilities associated with the policies and $38.5 million for Yosemite for taking them on.
