HB3788

Oklahoma HB3788 prohibits first-party liability insurance claims for drivers unlawfully operating a motor vehicle.

Oklahoma HB3788 defines "unlawfully operating a motor vehicle" as driving without a valid license or with a suspended, revoked, or cancelled license. The bill prohibits first-party liability insurance claims for drivers in such situations. However, third-parties, passengers, and other nondrivers can still collect on claims. Insurers are allowed to use Department of Public Safety license status data to determine if a claimant was unlawfully operating a motor vehicle at the time of loss. The act will become effective November 1, 2026.