OK SB606

Creates a voluntary restructuring mechanism for commercial run-off insurers in Oklahoma allowing them to implement commutation plans to extinguish outstanding liabilities through the Insurance Commissioner's oversight.

Establishes notice requirements for applicants to inform insurance regulators, guaranty associations, reinsurers, agents, policyholders, and government agencies within 10 days of triggering events.

Requires approval of commutation plans by at least 50% of each creditor class and holders of 75% in value of liabilities owed to each class before the Commissioner can enter an implementation order.

Imposes application fee of $10,000 and ongoing annual assessments on run-off insurers equal to the greater of $1,000 or their proportionate share of regulatory expenditure, with expenses calculated at 150% of Department personnel costs plus examination and technology costs.

Becomes effective November 1, 2017, and prohibits the Department from accepting applications until rules implementing the act have been promulgated.