Oklahoma property and casualty insurers will face a more rigorous rate review process beginning in 2027 after Governor Kevin Stitt signed House Bill 3781, legislation that shifts the state from a "use-and-file" system to a "file-and-wait" framework for insurance rate filings.
The measure, authored by Rep. Stacy Jo Adams, R-Duncan, and Sen. Aaron Reinhardt, R-Jenks, requires insurers to submit proposed rate increases to the Oklahoma Insurance Department before they can take effect rather than implementing the increases first and notifying regulators afterward.
Under the new law, rate filings in competitive markets must be submitted at least 30 days before implementation, while filings in non-competitive markets require 60 days' notice. The bill also grants the insurance commissioner broader authority to request actuarial support and review filings that may be "excessive, inadequate or unfairly discriminatory," according to the bill text.
The legislation also creates new public disclosure requirements for personal lines business. Notices of rate increases affecting private-passenger automobile, homeowners multiperil and dwelling fire policies, including the overall percentage change, must be posted on the Oklahoma Insurance Department website.
Adams characterized the legislation as a significant change to Oklahoma's regulatory oversight structure.
"This is a win for Oklahoma and it will bring transparency to the rate filing system in Oklahoma," Adams said in a release announcing the bill's signing. "No longer will carriers be able to raise rates and notify the Insurance Department after the fact."
She said the law gives regulators additional authority to evaluate the actuarial basis for filings before consumers are affected.
"This new law requires insurance companies to file the new rate and give the insurance commissioner time to review them and request actuarial information," Adams said. "It also gives the commissioner a way to potentially challenge rates that are unreasonably high, discriminatory or unfair."
Supporters of the measure said the law will improve visibility into how personal lines rates are developed in a state that has experienced significant catastrophe-related insurance pressure in recent years.
"Oklahomans deserve to understand what is driving these insurance increases and to know that rates are based on real data, not just timing or process," Adams said.
HB 3781 takes effect July 1, 2027.
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