Bill No. 2144, known as the "Insurance Consumers Protection Act," aims to enhance protections for insurance consumers in Oklahoma by establishing a statutory cause of action for bad faith claims against insurers. The bill defines key terms such as "bad faith," "first-party claimant," and "insurer," and clarifies that the duty of good faith and fair dealing is a nondelegable obligation of insurers. It allows both first-party claimants and third-party beneficiaries to bring actions in district court without the need to exhaust administrative remedies. Additionally, the bill stipulates that any provisions in insurance contracts that reserve discretion to the insurer regarding the interpretation of terms or eligibility for benefits are void.

The legislation also outlines the criteria for establishing a cause of action for bad faith, including unreasonable refusal to pay claims and the insurer's lack of a reasonable basis for such refusal. It provides for jury trials and specifies the types of damages that may be awarded, including compensatory and punitive damages, with detailed categories and limits for punitive damages based on the insurer's conduct. The act emphasizes that these statutory causes of action do not limit other legal remedies available under common law for breaches of good faith and fair dealing. The act is set to take effect on November 1, 2025.