The Oklahoma Insurance Commissioner, Glen Mulready, and the Oklahoma Insurance Department has issued a Special Notice directed to all Property & Casualty insurers authorized to do business in the state. The aim of the Special Notice is to aid insureds who are having delays in receiving claim payments.
The Department has learned that many mortgage companies will not endorse insureds' claim payments checks unless they provide specific documentation, which can include an Insurance Adjuster's Report, Claim Settlement Report, or claims statement or estimate. Many insureds are not receiving this needed documentation when receiving their claim settlement check, causing them delays in receiving claim payments.
The Notice refers to Oklahoma Statutes Title 36 Insurance 1250.5(4), which states that "Not attempting in good faith to effectuate prompt, fair and equitable settlement of claims submitted in which liability has become reasonably clear," constitutes as an unfair claim settlement practice. Insurers authorized to conduct business in Oklahoma should include the necessary documentation when issuing claim settlement checks.
The Special Notice can be found here.