The bill amends the Oklahoma Statutes concerning insurance premium taxation, specifically targeting 36 O.S. 2021, Sections 624 and 625.1. It establishes a new tax rate for insurance companies at 2.25% until June 30, 2026, after which it will decrease to 1.96%. The bill also clarifies that considerations received for annuity contracts and certain payments from health maintenance organizations will not be taxed as premiums. Additionally, it introduces a new framework for tax credits for insurers with regional home offices in Oklahoma, based on the number of full-time employees, and updates statutory language for clarity.

Moreover, the bill modifies reporting requirements for medical professional liability trusts, requiring them to submit various financial statements to the Insurance Commissioner and establishing the same tax rates as for insurance companies. It includes penalties for both insurance companies and trusts that fail to meet filing and payment deadlines. The act is set to take effect on July 1, 2026, but includes an emergency clause for immediate implementation upon passage and approval.

Statutes affected:
Introduced: 36-624