A bill converting the nonprofit CompSource Oklahoma into an independent mutual company was passed by the House and Senate and sent to the governor for her signature. CompSource writes about one-third of Oklahoma’s workers’ compensation policies.
Under House Bill 2201, CompSource Oklahoma would be converted into a domestic mutual insurer beginning Jan. 1, 2015.
The measure establishes the CompSource Mutual Insurance Co. (CompSource Co.), which will be organized under state law, but independent of the state of Oklahoma. It will be considered a private insurer and will be required to pay premium taxes.
CompSource Co. will be required to provide worker’s comp insurance to any employer in the state, including volunteer firefighters, and dissolution of the company is prohibited.
The bill also provides that CompSource Co. will be a member of the Oklahoma Property and Casualty Insurance Guaranty Association and have the protections afforded to the members of the association.
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