Bill > HB3804

This bill mandates that property insurance policies in Oklahoma must include coverage for structural damage to residential homes caused by abandoned oil and gas wells, defining an "abandoned well" as one classified as such by the Oklahoma Corporation Commission and "structural loss" as physical damage like foundation movement or methane intrusion. Insurers are prohibited from denying, excluding, or limiting this coverage based on reasons such as earth movement, gas migration, or the well being pre-existing, and any policy provisions to the contrary will be considered void. The required coverage must include costs for structural repair, soil remediation, plugging the well, temporary relocation, loss of use, and necessary testing. Furthermore, if an insurer pays a claim related to an abandoned well, they gain the right of subrogation, meaning they can pursue recovery from responsible parties like prior operators or the Oklahoma Orphan Well Fund, though this does not prevent the homeowner from seeking damages independently. This new law will take effect on November 1, 2026.

http://www.oklegislature.gov/BillInfo.aspx?Bill=hb3804&Session=2600