A. Corporations governed by this article shall at all times have on deposit with the Insurance Commissioner sums as follows:
1. If newly formed under this article, the sum of Fifteen Thousand Dollars ($15,000.00); or
2. If formed under prior law, such sum as was so required under such prior law.
Every such corporation shall deposit with the Commissioner, not later than the first day of each February, an amount equal to two percent (2%) of the gross subscriptions collected during the preceding calendar year, until the deposit of such corporation reaches a total of Twenty-five Thousand Dollars ($25,000.00). All such deposits shall be held by the Commissioner in trust for the benefit and protection of the subscribers of the corporation making the deposit.
B. The deposit prescribed by this section shall be subject to withdrawal in whole or in part on the order of and as directed by the Insurance Commissioner, but may, with the approval of the Commissioner, be invested in bonds of the United States or of the State of Oklahoma, or any political subdivision thereof, or state warrants, which shall be assigned to the Commissioner and held by the Commissioner as provided for original deposits. The securities may, with the approval of the Commissioner, be exchanged for similar securities or cash of equal amount. Interest on securities so deposited shall be payable to the corporation depositing the same.
C. An unsettled final judgment, arising upon a certificate of participation against such a corporation, shall be a lien on the deposit prescribed by this section, subject to execution after thirty (30) days from the entry of final judgment. If the deposit is reduced thereby, it shall be replenished within ninety (90) days.
D. Upon the liquidation or dissolution of such corporation and the satisfaction of all its liabilities, any balance remaining in the deposit in the hands of the Commissioner and any other assets of the insurer shall be distributed to the holders of certificates of participation in good standing at the time proceedings for the liquidation or dissolution of the corporation were commenced, prorated according to the gross amount of subscriptions which have been paid on such certificates up to the time such proceedings were commenced.
Added by Laws 1957, p. 328, § 2604, operative July 1, 1957. Amended by Laws 2014, c. 275, § 12, eff. Nov. 1, 2014.
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