This bill establishes new requirements for insurers in Oklahoma regarding the reporting and management of underwriting profits. It defines key terms such as "anticipated underwriting profit" and "final compilation year," and mandates that insurers file specific financial data annually with the Insurance Commissioner. This data includes total earned premiums, incurred losses, administrative expenses, and policyholder dividends. The bill also sets criteria for determining excessive profits, stating that an insurer will be considered to have excessive profit if their underwriting gain exceeds the anticipated profit plus 5% of earned premiums over the last three calendar years.

If an insurer is found to have excessive profits, the Commissioner is required to order a return of those amounts, allowing the insurer an opportunity for a hearing. Refunds must be distributed to policyholders on a pro rata basis, either as cash or credits toward future insurance purchases, with specific timelines for completion. Additionally, any refunds are to be treated as policyholder dividends for reporting purposes. The bill grants the Commissioner authority to create necessary rules for implementation and is set to take effect on November 1, 2026.