HB 1430 Summary

• Amends the Service Warranty Act to require service warranty associations licensed in Oklahoma to preprint the association's identity and license number on service contracts issued on or after July 1, 2016.

• Authorizes the Insurance Commissioner to examine claim files of service warranty associations and requires associations to respond to Commissioner inquiries within 30 days and claimant communications within 30 days.

• Defines eight categories of unfair or deceptive practices in service warranty business, including misrepresentation, false advertising, defamation, unfair claim settlement practices, failure to maintain complaint records, discriminatory refusal to issue contracts, and failure to provide terms and conditions prior to sale.

• Establishes procedures for the Insurance Commissioner to issue cease and desist orders for violations, with hearing rights for affected parties within 30 days and appeal rights to judicial review under Oklahoma law.

• Imposes civil penalties of $100 to $5,000 for violations and allows recovery of reasonable attorney fees by the Commissioner if judicial action is necessary for enforcement; effective November 1, 2015.