AIA HAILS SIGNING OF SELF-AUDIT PRIVILEGE BILL
WASHINGTON, D.C., June 18, 2012 – The American Insurance Association (AIA) today hailed the signing of the Oklahoma Self-Audit Privilege Bill by Governor Mary Fallin (R). S.B. 1474 will allow insurers to conduct an “insurance compliance audit” for the purposes of identifying and preventing non-compliance with Oklahoma state regulations.
“AIA commends Governor Fallin and the Oklahoma Legislature for enacting good public policy aimed at ensuring and facilitating insurer compliance with state regulation,” said Fred C. Bosse, AIA Southwest region vice president. “The Oklahoma Self-Audit Privilege Bill encourages insurers to self-regulate and self-police for the purpose of ensuring compliance with industry standards."
The Oklahoma Self-Audit Privilege Bill will allow insurers to complete self-audits, and confidentially report any relevant compliance-related matters to the Oklahoma Department of Insurance. Insurers could then work with the Oklahoma Department of Insurance to ensure compliance with state codes and regulations. The bill also guarantees that self-evaluation documents shall remain confidential and not be subject to the Oklahoma Open Records Act.
“AIA believes that insurers who perform self-audits to ensure compliance should not be penalized. The Oklahoma Self-Audit Privilege Bill allows insurers to work with the Oklahoma Department of Insurance when dealing with internal compliance matters,” said Bosse.
The Oklahoma Self-Audit Privilege Bill represents a culmination of more than a decade’s work for AIA in Oklahoma. Gov. Fallin has already signed the bill into law, and will hold a ceremonial bill signing later today.