S.C. Code Ann. § 38-71-785 — SC Code / Title 38 / Chapter 71 / Article 5 / Section 38-71-785
SECTION 38-71-785. Dependent child; medically necessary leave of absence.
Status: in_force

(A) As used in this section: (1) "Dependent child" means a beneficiary under a policy or certificate of coverage who: (a) is a dependent child, under the terms of the coverage, of a participant or beneficiary under the coverage; and (b) was enrolled in the coverage, on the basis of being a student at a postsecondary educational institution immediately before the first date of the medically necessary leave of absence involved. (2) "Health insurance coverage" means as defined in Section 38-71-840(14). (3) "Health insurance issuer" or "issuer" means an entity that provides health insurance coverage in this State as defined in Section 38-71-840(16). (4) "Medically necessary leave of absence" means a leave of absence of a dependent child from a postsecondary educational institution, including an institution of higher education as defined in Section 102 of the Higher Education Act of 1965, or any other change in enrollment of the child at such an institution, that: (a) commences while the child is suffering from a serious illness or injury; (b) is medically necessary; and (c) causes the child to lose student status for purposes of coverage under the terms of the policy or certificate of coverage. (5) "State health plan" means the employee and retiree insurance program provided for in Article 5, Chapter 11, Title 1. (B) This section applies to health insurance coverage offered by a health insurance issuer, including the state health plan, that is delivered, issued for delivery, or renewed in this State and which provides health insurance coverage in the group market. (C)(1) In the case of a dependent child, a health insurance issuer may not terminate health insurance coverage of the child due to a medically necessary leave of absence before the date that is the earlier of: (a) one year after the first day of the medically necessary leave of absence; or (b) the date on which the coverage would otherwise terminate under the terms of the policy or certificate of coverage. (2) The provisions of this subsection apply to health insurance coverage offered by a health insurance issuer only if the issuer has received written certification by a treating physician of the dependent child that states the child is suffering from a serious illness or injury and that the leave of absence or other change of enrollment is medically necessary. (D) Each health insurance issuer shall include with a notice regarding a requirement for certification of student status for coverage under the policy or coverage in a plain-language description of the terms of this section for continued coverage during medically necessary leaves of absence. (E) A dependent child whose benefits are continued under this section is entitled to the same benefits during the medically necessary leave of absence as if the child continued to be a covered student at the institution of higher education and was not on a medically necessary leave of absence. (F) Coverage of the dependent child shall continue for the remainder of the period of the medically necessary leave of absence under the changed coverage in the same manner as it would have under the previous coverage in the case where: (1) a dependent child is in a period of health insurance coverage pursuant to a medically necessary leave of absence; (2) the manner in which the participant or beneficiary is covered under the policy or certificate of coverage changes, whether through a change in health insurance coverage or health insurance issuer, a change from self-insured coverage to health insurance coverage, or otherwise; and (3) the coverage as changed continues to provide coverage of dependent children.
S.C. Code Ann. § 38-7-150 — SC Code / Title 38 / Chapter 7 / Section 38-7-150
SECTION 38-7-150. Waiver or reduction of penalties or interest.
Status: in_force

The director or his designee may, upon making a record of his reasons therefor, waive or reduce any of the penalties or interest imposed under the provisions of this title pertaining to fees and taxes.
S.C. Code Ann. § 38-61-25 — SC Code / Title 38 / Chapter 61 / Section 38-61-25
SECTION 38-61-25. Approval procedures to issue or sell exempt commercial policies.
Status: in_force

It is unlawful for an insurer doing business in this State to issue or sell in this State any exempt commercial policy, contract, or certificate until it has been filed with and approved by the director or his designee. A filing that is filed with the department is deemed to have met the requirements of this chapter unless it: (1) does not meet the requirements of law; (2) contains any provisions which are unfair, deceptive, ambiguous, misleading, or unfairly discriminatory; or (3) is going to be solicited by means of advertising, communication, or dissemination of information which is deceptive or misleading. If a filing is not in compliance with this chapter, the director or his designee shall issue an order specifying in detail the provisions with which the insurer has not complied and stating the time within which the insurer has to comply with the order before the filing is no longer valid. An order issued by the director pursuant to this section must be on a prospective basis only and may not affect a contract issued or made before the effective date of the order. However, this section does not apply to surety contracts or fidelity bonds, except as required in Section 38-15-10, or to insurance contracts, riders, or endorsements prepared to meet special, unusual, peculiar, or extraordinary conditions applying to an individual risk.
S.C. Code Ann. § 38-73-1240 — SC Code / Title 38 / Chapter 73 / Article 11 / Section 38-73-1240
SECTION 38-73-1240. Suspension or revocation of license.
Status: in_force

Licenses issued pursuant to Section 38-73-1230 may be suspended or revoked by the director or his designee, after hearing upon notice, in the event the rating organization ceases to meet the requirements of this article.
S.C. Code Ann. § 38-27-660 — SC Code / Title 38 / Chapter 27 / Article 5 / Section 38-27-660
SECTION 38-27-660. Reopening liquidation.
Status: in_force

After the liquidation proceeding has been terminated and the liquidator discharged, the director or his designee or other interested party may at any time petition the circuit court to reopen the proceedings for good cause, including the discovery of additional assets. If the court is satisfied that there is justification for reopening, it must so order.
S.C. Code Ann. § 38-79-30 — SC Code / Title 38 / Chapter 79 / Article 1 / Section 38-79-30
SECTION 38-79-30. Volunteer health care provider not liable for civil damages; agreements to provide voluntary noncompensated service; continuing education.
Status: in_force

(A) No licensed health care provider, as defined in Section 38-79-110, who renders medical services voluntarily and without compensation or the expectation or promise of compensation and seeks no reimbursement from charitable and governmental sources is liable for any civil damages for any act or omission resulting from the rendering of the services unless the act or omission was the result of the licensed health care provider's gross negligence or wilful misconduct. The agreement to provide a voluntary, noncompensated service must be made in writing, which may include use of an electronic medical record device, before rendering service in the case of a nonemergency and may be evidenced by the provider's giving notice in writing, which may include use of an electronic medical record device, to the patient or to the person responsible for the patient's care and acting for the patient that the service being rendered is voluntary and without compensation. (B) Any licensed health care provider who renders medical services voluntarily and without compensation or the expectation or promise of compensation and seeks no reimbursement from charitable and governmental sources may fulfill one hour of continuing education for each hour of volunteer medical services rendered, up to a maximum of twenty-five percent of the provider's required continuing education credits for the licensure period. (C) For purposes of this section, a health care provider includes a dentist maintaining a restricted volunteer license pursuant to Section 40-15-177, a practitioner maintaining a special volunteer license pursuant to Section 40-47-34, and a chiropractor maintaining a special volunteer license pursuant to Section 40-9-85. Code Commissioner's Note At the direction of the Code Commissioner, pursuant to the authority to codify permanent law, the provisions of Section 5 of 2016 Act No. 189 were codified as (B) of this Section, and former (B) was redesignated as (C). Effect of Amendment 2016 Act No. 189, SECTIONS 4, 5, in (A), added the paragraph identifier, and twice inserted "in writing, which may include use of an electronic medical record device,"; and added (B) and (C).
S.C. Code Ann. § 38-43-460 — SC Code / Title 38 / Chapter 43 / Article 3 / Section 38-43-460
SECTION 38-43-460. Conflict of interest prohibited.
Status: in_force

Insurance agencies owned, beneficially owned, or controlled, in whole or part, directly or indirectly, by an insurer, the management of an insurer, or related interests are not entitled to the provisions of this article. An insurer is not chargeable with knowledge that an insurance agency is owned, beneficially owned, or controlled by an insurer, the management of an insurer, or related interests unless it has actual knowledge of the fact.
S.C. Code Ann. § 38-43-640 — SC Code / Title 38 / Chapter 43 / Article 5 / Section 38-43-640
SECTION 38-43-640. Licensee must be owner or employee of facility; insurance that may be sold or offered for sale.
Status: in_force

(A) A licensee must be the owner of a self-service rental facility or his employee or agent. (B) A licensee only may sell or offer to sell insurance in connection with, and incidental to, the rental of a self-storage space in the owner's facility. This insurance only may provide coverage for: (1) casualty loss of the property contained in the self-storage space; (2) liability insurance for personal injuries, excluding injuries compensable by workers' compensation, arising on the premises of the individual self-storage space; or (3) both.
S.C. Code Ann. § 38-63-550 — SC Code / Title 38 / Chapter 63 / Article 5 / Section 38-63-550
SECTION 38-63-550. Calculation of cash surrender values and paid-up nonforfeiture benefits when default occurs not on anniversary date of policy.
Status: in_force

Any cash surrender value and any paid-up nonforfeiture benefit available under the policy in the event of default in a premium payment due at any time other than on the policy anniversary must be calculated with allowance for the lapse of time and the payment of fractional premiums beyond the last preceding policy anniversary.
S.C. Code Ann. § 38-27-920 — SC Code / Title 38 / Chapter 27 / Article 7 / Section 38-27-920
SECTION 38-27-920. Liquidation of property of alien or foreign insurers.
Status: in_force

(a) If no domiciliary receiver has been appointed, the director or his designee may apply to the circuit court by verified petition for an order directing him to liquidate the assets found in this State of a foreign insurer or an alien insurer not domiciled in this State, on any of the following grounds: (1) any of the grounds in Section 38-27-310 or 38-27-360; or (2) any of the grounds specified in items (2) through (4) of subsection (a) of Section 38-27-910. (b) When an order is sought under subsection (a) of this section, the court shall cause the insurer to be given reasonable notice and time to respond. (c) If it appears to the court that the best interests of creditors, policyholders, and the public require, the court may issue an order to liquidate in whatever terms it considers appropriate. The filing or recording of the order with the clerk of court or the register of deeds of the county in which the principal business of the company is located or the county in which its principal office or place of business is located imparts the same notice which a deed, bill of sale, or other evidence of title duly filed or recorded with that office would have imparted. (d) If a domiciliary liquidator is appointed in a reciprocal state while a liquidation is proceeding under this section, the liquidator under this section must thereafter act as ancillary receiver under Section 38-27-940. If a domiciliary liquidator is appointed in a nonreciprocal state while a liquidation is proceeding under this section, the liquidator under this section may petition the court for permission to act as ancillary receiver under Section 38-27-940. (e) On the same grounds as are specified in subsection (a) of this section, the director or his designee may petition any appropriate federal district court to be appointed receiver to liquidate that portion of the insurer's assets and business over which the court will exercise jurisdiction or any lesser part thereof that the director or his designee considers desirable for the protection of the policyholders and creditors in this State. (f) may order the director or his designee, when he has liquidated the assets of a foreign or alien insurer under this section, to pay claims of residents of this State against the insurer under such rules as to the liquidation of insurers under this chapter as are otherwise compatible with the provisions of this section.
S.C. Code Ann. § 38-5-130 — SC Code / Title 38 / Chapter 5 / Section 38-5-130
SECTION 38-5-130. Monetary penalty in lieu of license revocation or suspension.
Status: in_force

The director or his designee may, in lieu of license revocation or suspension as provided by Section 38-5-120, impose a monetary penalty as provided in Section 38-2-10 for each violation or failure of compliance or refusal to submit or perform as prescribed therein. Series of acts by an insurer which merely implement a basic violation and are not separate and distinct violations of an independent nature are considered to be part of the basic violation and only one penalty may be imposed thereon.
S.C. Code Ann. § 38-9-170 — SC Code / Title 38 / Chapter 9 / Article 1 / Section 38-9-170
SECTION 38-9-170. Unearned premium reserve.
Status: in_force

(A) An insurer authorized to transact business in this State, except as to risks or policies for which reserves are required under subsections (B) and (C) and Section 38-9-180 except for real estate title insurance policies, and subject to specific provisions of this title, shall maintain reserves equal to the unearned portions of the gross premiums charged on unexpired or unterminated risks and policies. Credit for reinsurance is allowed a ceding insurer as a deduction from reserves required by this section only as provided in Section 38-9-200 or 38-9-210. (B)(1) With reference to insurance against loss or damage to property except as provided in item (5) and with reference to all general casualty insurance and surety insurance every insurer shall maintain an unearned premium reserve on all policies in force. (2) The director or his designee may require that these reserves are equal to the unearned portions of the gross premiums in force as computed on each respective risk from the policy's date of issue. If the director or his designee does not so require, the portions of the gross premium in force to be held as premium reserve must be computed according to the following table: (3) All of these reserves may be computed, at the option of the insurer, on a yearly or more frequent pro rata basis. (4) After adopting a method for computing the reserve, an insurer may not change methods without the director's or his designee's approval. (5) With reference to marine insurance, premiums on trip risks not terminated are considered unearned, and the director or his designee may require the insurer to carry a reserve equal to one hundred percent on trip risks written during the month ended as of the date of statement. For all accident and health policies the insurer shall maintain an active life reserve which places a sound value on its liabilities under these policies and which is not less than the reserve according to standards set forth in regulations issued by the director and not less, in the aggregate, than the pro rata gross unearned premium reserves for these policies.
S.C. Code Ann. § 38-93-30 — SC Code / Title 38 / Chapter 93 / Section 38-93-30
SECTION 38-93-30. Medical coverage and health insurance; restrictions or discrimination on basis of genetic information prohibited.
Status: in_force

(A) A health insurance issuer when issuing, renewing, or reissuing a policy or contract of health insurance coverage, on the basis of any genetic information obtained concerning an individual or a family member of the individual or on the individual's request for genetic services, with respect to the policy or contract, may not: (1) terminate, restrict, limit, or otherwise apply conditions to coverage of an individual or restrict the sale to an individual; (2) cancel or refuse to renew the coverage of an individual; (3) exclude an individual from coverage or establish rules for eligibility, including continued eligibility, of an individual to enroll for coverage; (4) impose a waiting period before commencement of coverage of an individual; (5) impose a preexisting condition exclusion; (6) require inclusion of a rider that excludes coverage for certain benefits or services; or (7) adjust premium or contribution amounts or establish a differential in premium rates for coverage. (B)(1) In the case of group health insurance coverage, a health insurance issuer is prohibited from adjusting premium or contribution amounts for the group covered under a policy or contract of group health insurance coverage on the basis of genetic information. (2) Nothing in item (1) may be construed to limit the ability of an issuer offering group health insurance coverage to increase the premium for an employer based on the manifestation of a disease or disorder in an individual who is enrolled in the policy or contract of coverage. In this case, the manifestation of a disease or disorder in one individual may not be used as genetic information about other group members and to further increase the premium for the employer. (C) In addition, discrimination must not be made in the fees or commissions of a producer or agency for an enrollment, application, or the renewal of coverage of an individual or group on the basis of an individual's genetic information. Editor's Note Prior laws:1998 Act No. 369, SECTION 1; 1976 Code SECTION 38-93-20.
S.C. Code Ann. § 38-90-430 — SC Code / Title 38 / Chapter 90 / Article 3 / Section 38-90-430
SECTION 38-90-430. Relation to other Title 38 provisions.
Status: in_force

(A) No provisions of Title 38, other than those specifically referenced in this article and regulations applicable to them, apply to a SPFC, and those provisions apply only as modified by this article. If a conflict occurs between a provision of Title 38 and a provision of this article, the latter controls. (B) Sections 38-3-110 through 38-3-240, 38-5-130, 38-55-510 through 38-55-590, 38-57-200, and 38-90-175 apply to SPFCs. (C) The director, by rule, regulation, or order, may exempt a SPFC or their protected cells, on a case-by-case basis, from provisions of this article that he determines to be inappropriate given the nature of the risks to be insured.
S.C. Code Ann. § 38-69-330 — SC Code / Title 38 / Chapter 69 / Article 5 / Section 38-69-330
SECTION 38-69-330. Promulgation of regulations.
Status: in_force

The Director of the Department of Insurance or his designee shall promulgate regulations to implement the provisions of this chapter.
S.C. Code Ann. § 38-55-60 — SC Code / Title 38 / Chapter 55 / Article 1 / Section 38-55-60
SECTION 38-55-60. Punishment and revocation of license for discrimination.
Status: in_force

Every officer or agent of an insurer doing business in this State who violates Section 38-55-50 is guilty of a misdemeanor. The director or his designee, upon being satisfied that the insurer, its agent, or an insurance broker has violated Section 38-55-50, shall impose the penalties provided in Section 38-2-10.
S.C. Code Ann. § 38-21-240 — SC Code / Title 38 / Chapter 21 / Section 38-21-240
SECTION 38-21-240. Exemptions from registration statement provisions.
Status: in_force

The provisions of Sections 38-21-130 to 38-21-240 do not apply to any insurer, information, or transaction if and to the extent that the department by regulation or the director or his designee by order exempts it from these sections.
S.C. Code Ann. § 38-27-670 — SC Code / Title 38 / Chapter 27 / Article 5 / Section 38-27-670
SECTION 38-27-670. Disposition of records during and after termination of liquidation.
Status: in_force

Whenever it appears to the director or his designee that the records of any insurer in process of liquidation or completely liquidated are no longer useful, he may recommend to the court, and the court shall direct, what records should be retained for future reference and what should be destroyed.
S.C. Code Ann. § 38-57-130 — SC Code / Title 38 / Chapter 57 / Section 38-57-130
SECTION 38-57-130. Misrepresentations, special inducements, and rebates prohibited on all insurance contracts; exceptions.
Status: in_force

(1) No person may make, issue, circulate, or cause to be made, issued, or circulated any estimate, illustration, circular statement misrepresenting the terms of any policy issued or to be issued, the benefits or advantages promised thereby, or the dividends or share of the surplus to be received thereon. (2) No person may make any false or misleading statement as to the dividends or share of surplus previously paid on similar policies. (3) No person may pay, allow, or give or offer to pay, allow, or give, directly or indirectly, as inducement to the purchase or the renewal of an insurance contract, any rebate of premiums payable on the contract, any special favor or advantage in any benefits payable thereon, or any valuable consideration or inducement that is not specified in the contract. (4) Nothing in this section may be construed to permit an unfair method of competition or an unfair or deceptive act or practice. (5) Nothing in this section may be construed to prohibit an insurer or producer, by or through employees, affiliates or third-party representatives of value-added products or services at no or reduced cost when such products or services are not specified in the policy of insurance if the product or service: (a) relates to the insurance coverage; and (b) is primarily designed to satisfy one or more of the following: (i) provide loss mitigation or loss control; (ii) reduce claim costs or claim settlement costs; (iii) provide education about liability risks or risk of loss to persons or property; (iv) monitor or assess risk, identify sources of risk, or develop strategies for eliminating or reducing risk; (v) enhance health; (vi) enhance financial wellness through items such as education or financial planning services; (vii) provide post-loss services; (viii) incentivize behavioral changes to improve the health or reduce the risk of death or disability of a customer (defined for purposes of this subsection as policyholder, potential policyholder, certificate holder, potential certificate holder, insured, potential insured or applicant); or (ix) assist in the administration of the employee or retiree benefit insurance coverage. (c) The cost to the insurer or producer offering the product or service to any given customer must be reasonable in comparison to that customer's premiums or insurance coverage for the policy class. (d) If the insurer or producer is providing the product or service offered, the insurer or producer must ensure that the customer is provided with contact information to assist the customer with questions regarding the product or service. (e) The director may adopt regulations when implementing the permitted practices set forth in this statute to ensure consumer protection. Such regulation, consistent with applicable law, may address, among other issues, consumer data protections and privacy, consumer disclosure, and unfair discrimination. (f) The availability of the value-added product or service must be based on documented objective criteria and offered in a manner that is not unfairly discriminatory. The documented criteria must be maintained by the insurer or producer and produced upon request by the department. (g) If an insurer or producer does not have sufficient evidence but has a good faith belief that the product or service meets the criteria in this subitem, the insurer or producer may provide the product or service in a manner that is not unfairly discriminatory as part of a pilot or testing program for no more than one year. An insurer or producer must notify the department of such a pilot or testing program offered to consumers in this State prior to launching and may proceed with the program unless the department objects within twenty-one days of notice. (h) Information derived from the product or service offered under this subsection may not be used in underwriting the risk or to discriminate against any insured or potential insured. Effect of Amendment 2019 Act No. 6, SECTION 8.A, added (4), clarifying that certain practices are prohibited. 2024 Act No. 180, SECTION 5, added (5). 2024 Act No. 180, SECTION 6, rewrote (4).
S.C. Code Ann. § 38-53-40 — SC Code / Title 38 / Chapter 53 / Section 38-53-40
SECTION 38-53-40. Qualifications of surety.
Status: in_force

Each surety for the release of a person on bail must be qualified as: (a) an insurer and represented by a surety bondsman; (b) a professional bondsman; or (c) an accommodation bondsman.
S.C. Code Ann. § 38-7-70 — SC Code / Title 38 / Chapter 7 / Section 38-7-70
SECTION 38-7-70. Annual reports of premiums of fire insurers; allocation.
Status: in_force

Each fire insurer carrying on business in this State shall annually return to the director or his designee by March first a just and true account, verified by oath, of all premiums received during the preceding year ending December thirty-first from all fire insurance on all property located or that may be located in this State and from all fire insurance business done in this State. In the report the insurer shall allocate the premiums on this business to the county in which the property is located, regardless of where the insurance is written or premiums collected.
S.C. Code Ann. § 38-71-335 — SC Code / Title 38 / Chapter 71 / Article 3 / Section 38-71-335
SECTION 38-71-335. Accident and/or health insurance cancellation provision prohibited; optionally renewable policies prohibited; notice of nonrenewal.
Status: in_force

(A) No individual or family accident, health, or accident and health insurance policy may contain a provision which gives the insurer the right to cancel the policy. "To cancel" means to terminate a policy at a date other than the policy anniversary date or the premium due date. (B) For individual or family accident, health, or accident and health insurance policies, excluding individual health insurance coverage as defined in Section 38-71-670, individual or family accident, health, or accident and health insurance policies may not be written on an optionally renewable basis. "Optionally renewable" means a contract of insurance in which the insurer reserves the right to terminate the coverage at the policy anniversary date. Optionally renewable does not include the following categories of policies as defined by the department by regulation: (1) "nonrenewable for stated reasons only"; and (2) "conditionally renewable". Term insurance is not considered insurance written on an optionally renewable basis. For individual health insurance coverage as defined in Section 38-71-670, Section 38-71-675 relating to guaranteed renewability of individual health insurance coverage shall apply. (C) An individual or family accident, health, or accident and health insurance policy which may be nonrenewed, may be nonrenewed at the policy anniversary date or premium due date. The insurer shall give the insured at least thirty-one days' written notice of nonrenewal. Nonrenewal by the insurer is without prejudice to any claims originating before the effective date of nonrenewal. No written notice shall be required for failure to pay premiums except as provided in Section 38-71-110. For individual health insurance coverage as defined in Section 38-71-670, the notification requirements of Section 38-71-675(C) shall apply.
S.C. Code Ann. § 38-71-380 — SC Code / Title 38 / Chapter 71 / Article 3 / Section 38-71-380
SECTION 38-71-380. Medical expense policy; optional intoxicants and narcotics exclusion inapplicable.
Status: in_force

(A) For purposes of this section, "medical expense policy" means an accident and sickness insurance policy that provides hospital, medical, and surgical expense coverage. (B) The provisions of Section 38-71-370(9) may not be used with respect to a medical expense policy. (C) This section applies to policies issued or renewed after December 31, 2017.
S.C. Code Ann. § 38-21-230 — SC Code / Title 38 / Chapter 21 / Section 38-21-230
SECTION 38-21-230. Failure to timely file registration statement.
Status: in_force

The failure to file a registration statement or any summary of such registration or enterprise risk filing as required by this chapter within the time specified for filing constitutes a violation of these sections. Effect of Amendment 2015 Act No. 2, SECTION 12, inserted "or enterprise risk filing".
S.C. Code Ann. § 38-51-80 — SC Code / Title 38 / Chapter 51 / Section 38-51-80
SECTION 38-51-80. Underwriting.
Status: in_force

The agreement shall make provision with respect to the underwriting or other standards pertaining to the business underwritten by the insurer.
S.C. Code Ann. § 38-9-40 — SC Code / Title 38 / Chapter 9 / Article 1 / Section 38-9-40
SECTION 38-9-40. Director to notify insurers of amounts required; annual schedule.
Status: in_force

The director or his designee shall notify each licensed insurer that does not comply with Section 38-9-10 or 38-9-20 of the amounts of capital and surplus if a stock insurer, or the amount of surplus if a mutual insurer, the insurer shall maintain in order to continue to remain licensed in this State. A schedule of the amounts required must be maintained by each insurer. This schedule must be revised annually as to those insurers whose minimum capital and surplus requirements are increased periodically as required by Section 38-9-30.
S.C. Code Ann. § 38-27-680 — SC Code / Title 38 / Chapter 27 / Article 5 / Section 38-27-680
SECTION 38-27-680. External audit of receiver's books.
Status: in_force

The circuit court may, as it considers desirable, cause audits to be made of the books of the director or his designee relating to any receivership established under this chapter, and a report of each audit must be filed with the department and with the court. The books, records, and other documents of the receivership must be made available to the auditor at any time without notice. The expense of each audit is considered a cost of administration of the receivership.
S.C. Code Ann. § 38-65-110 — SC Code / Title 38 / Chapter 65 / Article 1 / Section 38-65-110
SECTION 38-65-110. Extension of right to apply for individual policy.
Status: in_force

If an individual insured under a group life insurance policy delivered in this State becomes entitled under the terms of the policy to have an individual policy of life insurance issued without evidence of insurability, subject to making of application and payment of the first premium within the period specified in the policy, and if the individual is not given notice of the existence of this right at least fifteen days before the expiration date of the period, the individual has an additional period within which to exercise the right. Nothing contained in this section may be construed to continue any insurance beyond the period provided in the policy. This additional period expires fifteen days after the individual is given the notice but in no event may the additional period extend beyond sixty days after the expiration date of the period provided in the policy. Written notice presented to the individual or mailed by the policyholder to the last known address of the individual or mailed by the insurer to the last known address of the individual as furnished by the policyholder is notice for the purpose of this section.
S.C. Code Ann. § 38-38-580 — SC Code / Title 38 / Chapter 38 / Article 11 / Section 38-38-580
SECTION 38-38-580. Injunctions.
Status: in_force

Whenever the director or his designee believes, from evidence satisfactory to him, that a society is violating or about to violate this title, the director or his designee may, through the Attorney General or upon his own initiative, cause a complaint or petition for an injunction against a domestic, foreign, or alien society or lodge of a domestic, foreign, or alien society to be filed in the court of common pleas of Richland County to enjoin and restrain the society from continuing the violation, engaging in the violation, or doing any act in furtherance of the violation. The court has jurisdiction of the proceeding and has the power to make and enter an order or judgment awarding preliminary or final injunctive relief as in its judgment is proper.
S.C. Code Ann. § 38-73-710 — SC Code / Title 38 / Chapter 73 / Article 7 / Section 38-73-710
SECTION 38-73-710. State Rating and Statistical Division established; executive director.
Status: in_force

There is established within the department a State Rating and Statistical Division which is under the administrative direction of the Director of the Department of Insurance. Nothing precludes the appointment by the director of a deputy director of any person who is now or may hereafter be an employee of the department, in addition to or substitution for his other duties or responsibilities.
S.C. Code Ann. § 38-89-80 — SC Code / Title 38 / Chapter 89 / Section 38-89-80
SECTION 38-89-80. Filing of policy forms, classifications, rates, rating plans, and rating rules.
Status: in_force

Within a time that the director or his designee directs, the association shall submit, for the approval of the director or his designee, an initial filing, in proper form, of policy forms, classifications, rates, rating plans, and rating rules applicable to day care liability insurance to be written by the association. If the director or his designee disapproves the initial filing, in whole or in part, the association shall amend the filing, in whole or in part, in accordance with the direction of the director or his designee. If the director or his designee is unable to approve the filing or amended filing, within the time specified, he shall promulgate the policy forms, classifications, rates, rating plans, and rules to be used by the association in making rates for and writing the insurance.
S.C. Code Ann. § 38-73-515 — SC Code / Title 38 / Chapter 73 / Article 5 / Section 38-73-515
SECTION 38-73-515. Deductibles.
Status: in_force

(A) Each insurer issuing a policy of workers' compensation insurance shall offer, as a part of the policy or as an optional endorsement to the policy, deductibles optional to the policyholder for benefits payable under Title 42. Deductible amounts offered must be disclosed fully to the prospective policyholder in writing in the amount of one hundred dollars, two hundred dollars, three hundred dollars, four hundred dollars, five hundred dollars, or increments of five hundred dollars up to a maximum of two thousand five hundred dollars for each compensable claim. The policyholder exercising the deductible option shall choose only one deductible amount. (B) If the policyholder exercises the option and chooses a deductible, the insured employer is liable for the amount of the deductible for benefits paid for each compensable claim of work injury suffered by an employee. The insurer shall pay all or part of the deductible amount, whichever is applicable to a compensable claim, to the person or provider entitled to the benefits conferred by this chapter and then seek reimbursement from the insured employer for the applicable deductible amount. The payment or nonpayment of deductible amounts by the insured employer to the insurer must be treated under the policy insuring the liability for workers' compensation in the same manner as payment or nonpayment of premiums. (C) Optional deductibles must be offered in each policy insuring liability for workers' compensation which is issued, delivered, issued for delivery, or renewed after June 30, 1996, unless an insured employer and insurer agree to renegotiate a workers' compensation insurance policy in effect on July 1, 1996, so as to include a provision allowing for a deductible. (D) Premium reduction for deductibles must be determined before the application of any experience modification, premium surcharge, or premium discounts. To the extent that an employer's experience rating or safety record is based on benefits paid, money paid by the insured employer under a deductible as provided in this section must not be included as benefits paid so as to harm the experience rating of the employer. (E) This section does not apply to employers who are approved to self-insure against liability for workers' compensation or group self-insurance funds for workers' compensation established pursuant to the laws of this State.
S.C. Code Ann. § 38-47-40 — SC Code / Title 38 / Chapter 47 / Section 38-47-40
SECTION 38-47-40. Duration of license; nonpayment of fee; requirements for reinstatement.
Status: in_force

An adjuster's license is for an indefinite term unless sooner revoked or suspended if the biennial license fee is paid at the time and in the manner which the department provides by regulation. If the license fee for an adjuster is not received when due, the license must be canceled. If the license is to be reinstated, an original application must be filed and a reinstatement fee equal to the biennial license fee unpaid must be paid in addition to the regular biennial license fee.
S.C. Code Ann. § 38-71-105 — SC Code / Title 38 / Chapter 71 / Article 1 / Section 38-71-105
SECTION 38-71-105. Disability income insurance.
Status: in_force

(A) Notwithstanding another provision of law, a disability income insurance policy issued in this State, may not: (1) decline or limit coverage of a person under any disability income insurance policy solely due to the status of such person as a living organ donor; (2) preclude an insured from donating all or part of an organ as a condition of continuing to receive a disability income insurance policy; or (3) discriminate in the offering, issuance, cancellation, amount of such coverage, price, or any other condition of a disability income insurance policy for a person, based solely and without any additional actuarial risks upon the status of such person as a living organ donor. (B) The Department of Insurance may take actions to enforce subsection (A) as authorized under this title. (C) For purposes of this section: (1) "Disability income insurance policy" means a contract under which an entity promises to pay an insured a sum of money in the event that an illness or injury resulting in a disability prevents the insured from working. (2) "Living organ donor" means an individual who has donated all or part of an organ and is not deceased. Editor's Note 2024 Act No. 126, SECTION 1, provides as follows: "SECTION 1. This act may be cited as the 'Living Donor Protection Act'."
S.C. Code Ann. § 38-75-1240 — SC Code / Title 38 / Chapter 75 / Article 13 / Section 38-75-1240
SECTION 38-75-1240. Provision to director of underwriting restrictions.
Status: in_force

An insurer shall provide upon the request of the director a listing of underwriting restrictions. These restrictions do not require approval of the director or his designee and are not public information. Effect of Amendment 2021 Act No. 13, SECTION 9, in the first sentence, substituted "provide upon the request of the director a listing of underwriting restrictions" for "provide the director each year a listing of underwriting restrictions based upon geography and also provide notice of new changes to current underwriting restrictions".
S.C. Code Ann. § 38-19-270 — SC Code / Title 38 / Chapter 19 / Article 3 / Section 38-19-270
SECTION 38-19-270. Dividends.
Status: in_force

The directors of a domestic mutual insurer may apportion and pay dividends to its members as entitled thereto, but only out of that part of its surplus funds which is in excess of its required minimum surplus and which represents net realized savings and net realized earnings from its business. Any classification of its participating policies and of risks assumed thereunder which the insurer may make must be reasonable. No dividend may be paid which is inequitable or which unfairly discriminates as between the classifications or as between policies within the same classification. No dividend, otherwise earned, may be made contingent upon the payment of a renewal premium on any policy.
S.C. Code Ann. § 38-61-70 — SC Code / Title 38 / Chapter 61 / Section 38-61-70
SECTION 38-61-70. Commercial general liability policy; coverage for construction professional doing construction related work; definition of occurrence; application.
Status: in_force

(A) For purposes of this section: (1) "Commercial general liability insurance policy" means a contract of insurance that covers occurrences of damages or injury during the policy period and insures a construction professional for liability arising from construction related work. (2) "Construction professional" means a person, sole proprietorship, partnership, corporation, limited liability company, or other recognized legal entity that engages in the development, construction, installation, or repair of an improvement to real property. (3) "Construction related work" means activities by a construction professional involving the development, construction, installation, or repair of an improvement to real property. (B) Commercial general liability insurance policies shall contain or be deemed to contain a definition of "occurrence" that includes: (1) an accident, including continuous or repeated exposure to substantially the same general harmful conditions; and (2) property damage or bodily injury resulting from faulty workmanship, exclusive of the faulty workmanship itself. (C) This section is not intended to restrict or limit the nature or types of exclusions from coverage that an insurer, including a surplus lines insurer, may include in a commercial general liability insurance policy. (D) This section applies only to a commercial general liability insurance policy that insures a construction professional for liability arising from construction related work. (E) This section applies to any pending or future dispute over coverage that would otherwise be affected by this section as to all commercial general liability insurance policies issued in the past, currently in existence, or issued in the future. Validity For validity of this section, see Harleysville Mut. Ins. Co. v. State, 401 S.C. 15, 736 S.E.2d 651 (S.C. 2012). Editor's Note 2011 Act No. 26, SECTION 3, provides as follows: "This act takes effect upon approval by the Governor and applies to any pending or future dispute over coverage that would otherwise be affected by this section as to commercial general liability insurance policies issued in the past, currently in existence, or issued in the future."
S.C. Code Ann. § 38-57-250 — SC Code / Title 38 / Chapter 57 / Section 38-57-250
SECTION 38-57-250. Filing order with clerk of court.
Status: in_force

When the time for appeal has expired and no appeal has been perfected by the person fined, the director or his designee shall file with the clerk of court of the county in which the person fined resides and for any other county in which he may own personal or real property, or an interest therein, a copy of the order. The clerk shall enter in the judgment roll, in the column for judgment debtors, the name of the person fined and in appropriate columns the amount of the fine and costs for which the order calls and the date when the copy was filed and shall index the order upon the judgment roll index. The order has the full effect of a civil judgment including rights of the judgment creditor to issue execution and accrue interest at the legal rate until the time as it is satisfied.
S.C. Code Ann. § 38-46-20 — SC Code / Title 38 / Chapter 46 / Section 38-46-20
SECTION 38-46-20. Definitions.
Status: in_force

As used in this chapter: (1) "Actuary" means a person who is a member in good standing of the American Academy of Actuaries. (2) "Controlling person" means a person, a firm, an association, or a corporation who directly or indirectly has power to direct or cause to be directed the management, control, or activities of the reinsurance intermediary. (3) "Insurer" means a corporation, a fraternal organization, a burial association, another association, a partnership, a society, an order, an individual, or an aggregation of individuals engaging or proposing or attempting to engage as principals in any kind of insurance or surety business, including the exchanging of reciprocal or interinsurance contracts between individuals, partnerships, and corporations. (4) "Licensed producer" means an agent, broker, or reinsurance intermediary licensed pursuant to the applicable provision of the insurance law. (5) "Reinsurance intermediary" means a reinsurance intermediary-broker or a reinsurance intermediary-manager defined in this section. (6) "Reinsurance intermediary-broker" means a person, other than an officer or employee of the ceding insurer, who solicits, negotiates, or places reinsurance cessions or retrocessions on behalf of a ceding insurer without the authority or power to bind reinsurance on behalf of the insurer. (7) "Reinsurance intermediary-manager" means a person who has authority to bind or manage all or part of the assumed reinsurance business of a reinsurer, including the management of a separate division, department, or underwriting office, and acts as an agent for the reinsurer whether known as a reinsurance intermediary-manager or other similar term. The following persons are not reinsurance intermediary-managers with respect to the reinsurer for the purposes of this chapter: (a) an employee of the reinsurer; (b) a United States reinsurance intermediary-manager of the United States branch of an alien reinsurer; (c) an underwriting reinsurance intermediary-manager which, pursuant to contract, manages all the reinsurance operations of the reinsurer, is under common control with the reinsurer, is subject to the Insurance Holding Company Regulatory Act, and whose compensation is not based on the volume of premiums written. (d) the reinsurance intermediary-manager of a group, association, pool, or organization of insurers which engage in joint underwriting or joint reinsurance and who are subject to examination by the insurance commissioner of the state in which the reinsurance intermediary-manager's principal business office is located. (8) "Reinsurer" means a person, a firm, an association, or a corporation licensed in this State pursuant to the applicable provisions of the insurance law as an insurer with the authority to assume reinsurance. (9) "To be in violation" means that the reinsurance intermediary, insurer, or reinsurer for whom the reinsurance intermediary was acting failed to comply substantially with this chapter. (10) "Qualified United States financial institution" means an institution that: (a) is organized or, for a United States office of a foreign banking organization, licensed under the laws of the United States or its states; (b) is regulated, supervised, and examined by United States federal or state authorities having regulatory authority over banks and trust companies; (c) has been determined by either the director or his designee or the Securities Valuation Office of the National Association of Insurance Commissioners to meet the standards of financial condition and standing considered necessary and appropriate to regulate the quality of financial institutions whose letters of credit are acceptable to the director or his designee.
S.C. Code Ann. § 38-5-110 — SC Code / Title 38 / Chapter 5 / Section 38-5-110
SECTION 38-5-110. Approval of charters or amendments of charter.
Status: in_force

It is unlawful for the Secretary of State to issue any charter or grant any amendments of charter to any insurer or permit any foreign or alien insurer to do business within this State without the written approval of the director or his designee.
S.C. Code Ann. § 38-51-110 — SC Code / Title 38 / Chapter 51 / Section 38-51-110
SECTION 38-51-110. Compensation to administrator.
Status: in_force

With respect to any policies where an administrator adjusts or settles claims, the compensation to the administrator with regard to these policies may in no way be contingent on claim experience. This section does not prevent the compensation of an administrator from being based on premiums or charges collected or number of claims paid or processed.
S.C. Code Ann. § 38-13-1010 — SC Code / Title 38 / Chapter 13 / Article 9 / Section 38-13-1010
SECTION 38-13-1010. Definitions.
Status: in_force

For the purposes of this article: (1) "Corporate Governance Annual Disclosure" or "CGAD" means a confidential report filed by an insurer or insurance group made in accordance with the requirements of this article. (2) "Director" means the Director of the Department of Insurance or his designee. (3) "Insurance group" means insurers and affiliates included within an insurance holding company system as defined in Section 38-21-10. (4) "Insurer" has the same meaning as set forth in Section 38-1-20, except the term does not include agencies, authorities, or instrumentalities of the United States, its possessions and territories, the Commonwealth of Puerto Rico, the District of Columbia, or a state or political subdivision of a state. (5) "NAIC" means the National Association of Insurance Commissioners. (6) "ORSA summary report" means the report filed in accordance with Article 8 of this chapter.
S.C. Code Ann. § 38-59-210 — SC Code / Title 38 / Chapter 59 / Article 2 / Section 38-59-210
SECTION 38-59-210. Definitions.
Status: in_force

As used in this article: (1) "Insurer" means an insurance company, a health maintenance organization, and any other entity providing health insurance coverage, as defined in Section 38-71-670(6), which is licensed to engage in the business of insurance in this State and which is subject to state insurance regulation. (2) "Health care services" means services included in furnishing an individual medical care or hospitalization, or services incident to the furnishing of medical care or hospitalization, and other services to prevent, alleviate, cure, or heal human illness, injury, or physical disability. (3) "Health maintenance organization" means an organization as defined in Section 38-33-20(8). (4) "Health insurance plan" means a health insurance policy or health benefit plan offered by a health insurer or a health maintenance organization that provides health insurance coverage, as defined in Section 38-71-670(6). (5) "Physician" means a doctor of medicine or doctor of osteopathic medicine licensed by the South Carolina Board of Medical Examiners. (6) "Provider" means a physician, hospital, or other person properly licensed, certified, or permitted, where required, to furnish health care services. (7) "Participating provider" means a provider who provides covered health care services to an insured or a member pursuant to a contract with an insurer or health insurance plan. (8) "Clean claim" means an eligible electronic or paper claim for reimbursement that: (a) is received by the insurer within one hundred twenty business days of the date the health care services at issue were performed; (b)(i) when submitted via paper has all the elements of the standardized CMS 1500 or UB 04 claim form, or the successor of each as either may be amended from time to time; or (ii) when submitted via an electronic transaction, uses only permitted standard code sets and has all the elements of the standard electronic formats as required by the Health Insurance Portability and Accountability Act of 1996 and other federal and state regulatory authority; (c) is for health care services covered by the health insurance plan and rendered to an insured person by a provider eligible for reimbursement under the health insurance plan; (d) has any corresponding referral that may be required for the applicable claim; (e) is a claim for which the insurer is the primary payor, or for which the insurer's responsibility as a secondary payor has been clearly established; (f) has no material defect, error, or impropriety that would affect the adjudication of the claim; (g) includes all required substantiating documentation or coding; (h) is not subject to any particular circumstance that the insurer reasonably believes, subject to review by the Department of Insurance, would prevent accurate or timely payment from being made on the claim under the terms of the health insurance plan, the participating provider agreement, or the insurer's published filing requirements; and (i) is under a health insurance plan for which the insurer has been timely paid all applicable premiums. (9) "Force majeure" means any act of God, governmental act, act of terrorism, war, fire, flood, earthquake, hurricane, or other natural disaster, explosion or civil commotion.
S.C. Code Ann. § 38-101-80 — SC Code / Title 38 / Chapter 101 / Section 38-101-80
SECTION 38-101-80. Additional requirements for admitted insurers providing private flood insurance coverage.
Status: in_force

(A) In addition to any other applicable requirements pursuant to this title, any admitted insurer providing private flood insurance coverage that is considered standard flood insurance coverage in this State shall: (1) notify the director or his designee at least thirty days before writing flood insurance in this State; and (2) file a plan of operation and financial projections or revisions to such plan, as applicable, with the director or his designee. (B) Admitted insurers writing private flood insurance shall comply with the requirements of Chapter 13 and are subject to examination in accordance with Chapter 13. Brokers placing flood insurance policies are subject to examination in accordance with Section 38-45-80. (C) Subsection (A) does not impose new requirements on any insurer currently writing private flood insurance coverage at the time of enactment of this chapter. (D) Admitted insurers exiting the private flood insurance market shall notify the director or his designee within forty-five days of the market exit. Editor's Note 2020 Act No. 166, SECTION 3, provides as follows: "SECTION 3. This act becomes effective sixty days following approval by the Governor. Insurers that are writing private flood insurance at the time of enactment have an additional one hundred twenty days to come into compliance with the requirements of this act."
S.C. Code Ann. § 38-45-90 — SC Code / Title 38 / Chapter 45 / Section 38-45-90
SECTION 38-45-90. Duties of brokers placing business with nonadmitted insurers; statements and reports; due diligence.
Status: in_force

(A) At the request of a licensed resident broker, the director or his designee may approve certain nonadmitted insurers as eligible surplus lines insurers to write business on risks located in this State that one or more insurers licensed in this State to write that line of business in this State have declined to write. The director or his designee may require the broker to submit, on behalf of the insurer, documents necessary to satisfy him that the insurer is licensed in his domiciliary state, that meets at least the minimum capital and surplus requirements of this State, and that its operation is not hazardous to the policyholders. The director or his designee may require the broker or the insurer to file additional documents at any time to maintain the insurer's status as an eligible surplus lines insurer. For the purposes of this section, "domiciliary state" means the state or jurisdiction in which an insurer is incorporated or organized. The director or his designee may withdraw his approval at any time the insurer fails to meet any of the requirements. While the insurer maintains his status as an eligible surplus lines insurer, a duly licensed broker, under the terms of this chapter, may place business with the insurer. An insurance broker shall exercise due care in the placing of insurance, except as provided in subsection (B). Each broker transacting business in the State during a calendar year shall file annually with the department within thirty days after December thirty-first a detailed report of this business. The report must be in the form the director or his designee prescribes. The broker's books, papers, and accounts must be open at all times to the inspection of the director or his designee. (B) A surplus lines broker is not required to search with due diligence to determine whether the full amount or type of insurance can be obtained from an admitted insurer when the broker is seeking to procure or place nonadmitted insurance for an exempt commercial purchaser provided the: (1) broker procuring or placing the surplus lines insurance has disclosed to the exempt commercial purchaser that the insurance may or may not be available from the admitted market and that insurance obtained from the admitted market may provide greater protection with more regulatory oversight; and (2) exempt commercial purchaser has subsequently requested in writing for the broker to procure or place such insurance from a nonadmitted insurer.
S.C. Code Ann. § 38-90-130 — SC Code / Title 38 / Chapter 90 / Article 1 / Section 38-90-130
SECTION 38-90-130. Participation in plan, pool, association, or guaranty or insolvency fund.
Status: in_force

A captive insurance company, including a captive insurance company organized as a reciprocal insurer under this chapter, may not join or contribute financially to a plan, pool, association, or guaranty or insolvency fund in this State, and a captive insurance company, or its insured or its parent or any affiliated company or any member organization of its association, or in the case of a captive insurance company organized as a reciprocal insurer, a subscriber of the company, may not receive a benefit from a plan, pool, association, or guaranty or insolvency fund for claims arising out of the operations of such captive insurance company. Subject to the approval of the director, participation by a captive insurance company, including a pure captive insurance company, in a pool for the purpose of risk sharing is not prohibited under this section. Effect of Amendment 2014 Act No. 282, SECTION 16, inserted "by a captive insurance company, including a pure captive insurance company," in the second sentence, and added the third sentence. 2018 Act No. 251, SECTION 1, in the second sentence, substituted "approval of the director" for "prior written approval of the director or his designee" and deleted "commercial" following "for the purpose of", and deleted the third sentence, which related to the writing of third-party risk by a captive insurance company outside or a commercial risk sharing agreement.
S.C. Code Ann. § 38-71-930 — SC Code / Title 38 / Chapter 71 / Article 5 / Section 38-71-930
SECTION 38-71-930. Application of this subarticle.
Status: in_force

(A) Except as provided in subsection (B), the provisions of this subarticle apply to any health insurance plan which provides coverage to one or more employees of a small employer. (B) The provisions of this subarticle do not apply to individual health insurance policies which are subject to policy form and premium rate approval as may be provided in Title 38.
S.C. Code Ann. § 38-59-230 — SC Code / Title 38 / Chapter 59 / Article 2 / Section 38-59-230
SECTION 38-59-230. Time frame for payment of clean claims; acknowledging receipt of claim; processing of electronic claims by billing service.
Status: in_force

(A) An insurer shall direct the issuance of a check or an electronic funds transfer in payment for a clean claim that is submitted via paper within forty business days following the later of the insurer's receipt of the claim or the date on which the insurer is in receipt of all information needed and in a format required for the claim to constitute a clean claim and is in receipt of all documentation which may be requested by an insurer which is reasonably needed by the insurer: (1) to determine that such claim does not contain any material defect, error, or impropriety; or (2) to make a payment determination. (B) An insurer shall direct the issuance of a check or an electronic funds transfer in payment for a clean claim that is submitted electronically within twenty business days following the later of the insurer's receipt of the claim or the date on which the insurer is in receipt of all information needed and in a format required for the claim to constitute a clean claim and is in receipt of all documentation which may be requested by an insurer which is reasonably needed by the insurer: (1) to determine that such claim does not contain any material defect, error, or impropriety; or (2) to make a payment determination. (C) An insurer shall affix to or on paper claims, or otherwise maintain a system for determining, the date claims are received by the insurer. An insurer shall send an electronic acknowledgement of claims submitted electronically either to the provider or the provider's designated vendor for the exchange of electronic health care transactions. The acknowledgement must identify the date claims are received by the insurer. If an insurer determines that there is any defect, error, or impropriety in a claim that prevents the claim from entering the insurer's adjudication system, the insurer shall provide notice of the defect or error either to the provider or the provider's designated vendor for the exchange of electronic health care transactions within twenty business days of the submission of the claim if it was submitted electronically or within forty business days of the claim if it was submitted via paper. Nothing contained in this section is intended or may be construed to alter an insurer's ability to request clinical information reasonably necessary for the proper adjudication of the claim or for the purpose of investigating fraudulent or abusive billing practices. (D) A clearinghouse, billing service, or any other vendor that contracts with a provider to deliver health care claims to an insurer on the provider's behalf is prohibited from converting electronic claims received from the provider into paper claims for submission to the insurer. A violation of this subsection constitutes an unfair trade practice under Chapter 5, Title 39, and individual providers and insurers injured by violations of this subsection have an action for damages as set forth in Section 39-5-140.
S.C. Code Ann. § 38-43-480 — SC Code / Title 38 / Chapter 43 / Article 3 / Section 38-43-480
SECTION 38-43-480. Promulgation of regulations; severability.
Status: in_force

(A) The director or his designee may promulgate reasonable regulations that are necessary or proper to carry out the purposes of this chapter. (B) If any provisions of this chapter, or the application of a provision to any person or circumstance, shall be held invalid, the remainder of the chapter, and the application of the provision to persons or circumstances other than those to which it is held invalid, is not affected.
S.C. Code Ann. § 38-21-320 — SC Code / Title 38 / Chapter 21 / Section 38-21-320
SECTION 38-21-320. Voting of securities acquired in violation of chapter, regulations, or orders may be enjoined.
Status: in_force

No security which is the subject of an agreement or arrangement regarding acquisition, or which is acquired or to be acquired, in contravention of this chapter or of any regulation issued by the department or order issued by the director or his designee hereunder may be voted at any shareholders' meetings or may be counted for quorum purposes, and any action of shareholders requiring the affirmative vote of a percentage of shares may be taken as though these securities were not issued and outstanding. No action taken at a shareholders' meeting may be invalidated by the voting of these securities, unless the action would materially affect control of the insurer or unless the courts of this State have so ordered. If an insurer or the director or his designee has reason to believe that any security of the insurer has been or is about to be acquired in contravention of this chapter or of any regulation issued by the department or order issued by the director or his designee hereunder, the insurer or the director or his designee may apply to the Circuit Court for Richland County or to the circuit court for the county in which the insurer has its principal place of business to enjoin any offer, request, invitation, agreement, or acquisition made in contravention of Sections 38-21-60 through 38-21-120 or any regulation issued by the department or order issued by the director or his designee thereunder, to enjoin the voting of any security so acquired, to void any vote of the security already cast at any meeting of shareholders, and for any other equitable relief which the nature of the case and the interests of the insurer's policyholders, creditors, and shareholders or the public may require.
S.C. Code Ann. § 38-89-120 — SC Code / Title 38 / Chapter 89 / Section 38-89-120
SECTION 38-89-120. Basis for rates; insufficient funds for operation.
Status: in_force

After the initial year of operation, rates, rating plans, and rating rules, and any provision for recoupment through policyholder assessment or premium rate increase must be based upon the association's loss and expense experience and investment income, together with any other information based upon this experience and income as the director or his designee considers appropriate. The resultant premium rates must be on an actuarially sound basis and must be calculated to be self-supporting. If sufficient funds are not available for the sound financial operation of the association, pending recoupment as provided in Section 38-89-110, all members, on a temporary basis, shall contribute to the financial requirements of the association in the manner provided in Section 38-89-130. A contribution must be reimbursed to the members following recoupment as provided in Section 38-89-110.
S.C. Code Ann. § 38-5-60 — SC Code / Title 38 / Chapter 5 / Section 38-5-60
SECTION 38-5-60. Qualifications to become an approved reinsurer.
Status: in_force

For purposes of calculating deductions for reserves, insurers not licensed in this State may be approved as reinsurers by the director or his designee for an indefinite term only if: (1) Upon initial application a fee of four hundred dollars is enclosed, and, every two years after that time, a fee of four hundred dollars is paid by March first. (2) There is filed with the department a power of attorney approved as to form by the director or his designee and authorizing the director to accept service of process in behalf of the reinsurer. (3) There is filed with the department the reinsurer's annual statement and the reinsurer's most recent report of examination, and after that time each annual statement and report of examination is filed. (4) The reinsurer meets the capital and surplus requirements of South Carolina law with respect to the lines to be reinsured.
S.C. Code Ann. § 38-57-320 — SC Code / Title 38 / Chapter 57 / Section 38-57-320
SECTION 38-57-320. Revocation or suspension of license or certificate of authority to effect collection of fine.
Status: in_force

In all cases when it is necessary to file an order with a clerk of court to effect collection of a fine, the license or certificate of authority of the person fined may be summarily revoked or suspended.
S.C. Code Ann. § 38-65-10 — SC Code / Title 38 / Chapter 65 / Article 1 / Section 38-65-10
SECTION 38-65-10. Circulation of false or misleading information by life insurers.
Status: in_force

No life insurer doing business in this State and no officer, director, or agent of it may issue or circulate or cause or permit to be issued or circulated any estimate, illustration, circular, or statement of any sort misrepresenting the terms of any policy issued by it, the benefits or advantages promised thereby, or the dividends or shares of surplus to be received thereon or may use any name or title of any policy or class of policies misrepresenting the true nature thereof. Violation of this section by an agent or officer of an insurer is a misdemeanor. If an insurer violates or participates in the violation of this section, the insurer is subject to the penalty provisions of Section 38-2-10.
S.C. Code Ann. § 38-49-10 — SC Code / Title 38 / Chapter 49 / Section 38-49-10
SECTION 38-49-10. "Motor vehicle physical damage appraiser" defined.
Status: in_force

As used in this chapter, "motor vehicle physical damage appraiser" means a person, partnership, association, or corporation which practices as a business the appraising of damages to motor vehicles insured under automobile physical damage policies or on behalf of third party claimants.
S.C. Code Ann. § 38-31-110 — SC Code / Title 38 / Chapter 31 / Section 38-31-110
SECTION 38-31-110. Detection and prevention of insurer insolvencies.
Status: in_force

(A) The board of directors, upon majority vote, may make recommendations to the director, his designee, and the department for the detection and prevention of insurer insolvencies. (B) The board of directors, at the conclusion of any insurer insolvency in which the association was obligated to pay covered claims, may prepare a report on the history and causes of the insolvency, based on the information available to the association, and submit the report to the department. (C) The board of directors, upon majority vote, may respond to requests by the director or his designee to discuss and make recommendations regarding the status of any member insurer whose financial condition may be hazardous to policyholders or the public. These recommendations are not considered public documents.
S.C. Code Ann. § 38-101-20 — SC Code / Title 38 / Chapter 101 / Section 38-101-20
SECTION 38-101-20. Definitions.
Status: in_force

For the purposes of this section: (1) "Flood" means: (a) a general and temporary condition of partial or complete inundation of two or more acres of normally dry land area or of two or more properties, at least one of which is the policyholder's property, from: (i) overflow of inland or tidal waters; (ii) unusual and rapid accumulation or runoff of surface waters from any source; or (iii) mudflow; or (b) collapse or subsidence of land along the shore of a lake or similar body of water as a result of erosion or undermining caused by waves or currents of water exceeding anticipated cyclical levels that result in a flood as defined in this section. (2) "Mudflow" means a river of liquid and flowing mud on the surfaces of normally dry land areas, as when earth is carried by a current of water. Other earth movements, such as landslide, slope failure, or a saturated soil mass moving by liquidity down a slope, are not mudflows. (3) "Private flood insurance" means personal lines or commercial lines flood insurance policies or endorsements providing coverage for the named peril of flood issued directly by insurers. Editor's Note 2020 Act No. 166, SECTION 3, provides as follows: "SECTION 3. This act becomes effective sixty days following approval by the Governor. Insurers that are writing private flood insurance at the time of enactment have an additional one hundred twenty days to come into compliance with the requirements of this act." Effect of Amendment 2022 Act No. 195, SECTION 11, in (3), substituted "commercial lines" for "commercial" and "named peril" for "peril".
S.C. Code Ann. § 38-51-20 — SC Code / Title 38 / Chapter 51 / Section 38-51-20
SECTION 38-51-20. License required of administrator.
Status: in_force

No person may act as an administrator in this State without first being licensed by the director or his designee. Any person who acts as an administrator without a license is guilty of a misdemeanor and, upon conviction, must be fined not more than ten thousand dollars or imprisoned for not more than two years, or both, and is subject to revocation of any insurance licenses issued by the director or his designee. Application for a license must be upon forms prescribed by the director or his designee and must be accompanied by an initial license fee of one hundred dollars, annual financial statements or reports for the two preceding calendar years, and any other documents that the director or his designee may require to ensure that the administrator meets the requirements for licensure set forth in this section. Thereafter, the administrator shall pay to the department a license renewal fee of one hundred dollars by March first of each year. Before granting any license, the director or his designee must be satisfied that the administrator is competent, trustworthy, financially responsible, has a good personal and business reputation, has not had an insurance license revoked, suspended, or denied in any jurisdiction within the preceding five years, and has not been convicted of a crime involving fraud, dishonesty, or moral turpitude in any jurisdiction. For purposes of this section, "convicted" includes a plea of guilty or a plea of nolo contendere. The director or his designee may revoke or suspend any license issued to an administrator when he finds that any condition exists which would have prohibited issuance of the original license, that the administrator has violated any provision of this chapter, or that the administrator has deceived or dealt unjustly with the citizens of this State. In lieu of revocation or suspension of license, the director or his designee may impose an administrative monetary penalty not to exceed one thousand dollars for each offense. Effect of Amendment 2018 Act No. 219, SECTION 7, made nonsubstantive changes in the second undesignated paragraph, and in the third undesignated paragraph, in the first sentence, inserted ", annual financial statements or reports for the two preceding calendar years, and any other documents that the director or his designee may require to ensure that the administrator meets the requirements for licensure set forth in this section" following "one hundred dollars".
S.C. Code Ann. § 38-65-30 — SC Code / Title 38 / Chapter 65 / Article 1 / Section 38-65-30
SECTION 38-65-30. Assignment of rights and benefits under policies.
Status: in_force

(1) Notwithstanding any other provision of law, any person insured under a group insurance policy, pursuant to an arrangement among the insured, the group policyholder, and the insurer, may assign his rights and benefits under the policy, including, but not limited to, the right to have issued to him an individual policy as set forth in items (8), (9), and (10) of SECTION 38-65-210 and the right to name a beneficiary. The assignment entitles the insurer to deal with the assignee as the owner of all rights and benefits conferred on the insured under the policy in accordance with the terms of the assignment. (2) Subsection (1) of this section acknowledges, declares, and codifies the existing right of assignment of interest under group life insurance policies by persons insured under those policies.
S.C. Code Ann. § 38-7-140 — SC Code / Title 38 / Chapter 7 / Section 38-7-140
SECTION 38-7-140. Penalty for failure to pay money due or to supply information required.
Status: in_force

(A) It is unlawful for a person, officer or employee of an insurer, or other person, with intent to evade a requirement of this title or a lawful requirement of the director or his designee, to: (1) fail to pay any fees, taxes, penalties, or interest; (2) fail to make, sign, or verify a return; (3) fail to supply required information; or (4) make, render, sign, or verify false or fraudulent information. (B) A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not more than five thousand dollars or imprisoned not more than three years, or both.
S.C. Code Ann. § 38-71-260 — SC Code / Title 38 / Chapter 71 / Article 1 / Section 38-71-260
SECTION 38-71-260. Duties of health insurer of child to custodial parent.
Status: in_force

If a child has health coverage through the health insurer including a group health plan, as defined in Section 607(1) of the Employee Retirement Income Security Act of 1974 or health maintenance organization as defined in Section 38-33-20, of a noncustodial parent, the insurer shall: (1) provide information to the custodial parent as may be necessary for the child to obtain benefits through that coverage; (2) permit the custodial parent or the health care provider, with the custodial parent's approval, to submit claims for covered services without the approval of the noncustodial parent; and (3) make payments on claims submitted in accordance with item (2) directly to the custodial parent, the provider, or the state Medicaid agency.
S.C. Code Ann. § 38-71-220 — SC Code / Title 38 / Chapter 71 / Article 1 / Section 38-71-220
SECTION 38-71-220. Misrepresentations to induce termination or conversion of disability insurance policies.
Status: in_force

No insurer, or its employee or agent, may make any misleading representations or incomplete or fraudulent comparisons of any disability insurance policies or insurers for the purpose of inducing, or which may tend to induce, any person to lapse, forfeit, surrender, terminate, return, or convert any disability insurance policy.
S.C. Code Ann. § 38-9-70 — SC Code / Title 38 / Chapter 9 / Article 1 / Section 38-9-70
SECTION 38-9-70. Insurers may make deposits to do business in other states.
Status: in_force

The director or his designee in his official capacity shall take and hold, in trust, deposits made by domestic insurers for the purpose of complying with the laws of any other state to enable the insurer to do business in that state. The insurer making the deposit is entitled to the income and may with the consent of the director or his designee and when not forbidden by the law under which the deposit is made, change, in whole or in part, the securities which compose the deposit for other solvent securities of equal par value approved by the director or his designee.
S.C. Code Ann. § 38-17-140 — SC Code / Title 38 / Chapter 17 / Section 38-17-140
SECTION 38-17-140. Exchanges subject to examinations.
Status: in_force

The business affairs and assets of reciprocal or interinsurance exchanges, as shown at the office of its attorney, are subject to examination by the director or his designee as often as he sees fit. The cost of the examination must be paid by the exchange examined.
S.C. Code Ann. § 38-87-120 — SC Code / Title 38 / Chapter 87 / Section 38-87-120
SECTION 38-87-120. License required to solicit, negotiate or procure liability insurance; notice to insured.
Status: in_force

(A) Risk retention group. No person may act or aid in any manner in soliciting, negotiating, or procuring liability insurance in this State from a risk retention group unless such person is licensed as an insurance agent for the risk retention group in accordance with Chapter 43 of this title or is licensed as a broker in accordance with Chapter 45. (B) Purchasing groups. (1) No person may act or aid in any manner in soliciting, negotiating, or procuring liability insurance in this State for a purchasing group from an authorized insurer or a risk retention group chartered in a state unless such person is licensed as an insurance agent for the insurer or risk retention group in accordance with Chapter 43 of this title or is licensed as a broker in accordance with Chapter 45 of this title. (2) No person may act or aid in any manner in soliciting, negotiating, or procuring liability insurance coverage in this State for any member of a purchasing group under a purchasing group's policy unless such person is licensed as an insurance agent for the insurer in accordance with Chapter 43 of this title or is licensed as a broker in accordance with Chapter 45 of this title. (3) No person may act or aid in any manner in soliciting, negotiating, or procuring liability insurance from an approved nonadmitted surplus lines insurer on behalf of a purchasing group located in this State unless such person is licensed as a broker in accordance with Chapter 45 of this title. (C) For purposes of acting as an agent or broker for a risk retention group or purchasing group pursuant to Subsections (A) and (B) of this section, the requirement of residence in this State does not apply. (D) Every person licensed as an agent or broker as required in this section, on business placed with risk retention groups or written through a purchasing group, shall inform each prospective insured of the provisions of the notice required by Section 38-87-40(7) in the case of a risk retention group and Section 38-87-90(A) in the case of a purchasing group.
S.C. Code Ann. § 38-75-50 — SC Code / Title 38 / Chapter 75 / Article 1 / Section 38-75-50
SECTION 38-75-50. Clause limiting or invalidating policies if property is encumbered is void.
Status: in_force

Any clause in any policy of insurance purporting or undertaking to limit or invalidate the force of the policy in case of encumbrance by real estate mortgage of the property insured by the policy is void.
S.C. Code Ann. § 38-47-50 — SC Code / Title 38 / Chapter 47 / Section 38-47-50
SECTION 38-47-50. Adjusters represent the companies.
Status: in_force

Adjusters are declared to be acting as the agents for the company or companies represented by them in the adjustment of any loss.
S.C. Code Ann. § 38-19-640 — SC Code / Title 38 / Chapter 19 / Article 7 / Section 38-19-640
SECTION 38-19-640. Repayment of more than one loan or by multiple agreement.
Status: in_force

If there is more than one such loan or if any such loan is represented by multiple agreements, the loan agreement shall provide, in addition to any other time of repayment specified in it, that any part of the loan may be repaid at any time by selection by lot, under supervision of the director or his designee, of those loan agreements, out of all similar agreements then outstanding, to be then repaid in part or in whole.
S.C. Code Ann. § 38-75-330 — SC Code / Title 38 / Chapter 75 / Article 5 / Section 38-75-330
SECTION 38-75-330. South Carolina Wind and Hail Underwriting Association created; members.
Status: in_force

(A) There is created the South Carolina Wind and Hail Underwriting Association, an unincorporated association whose responsibilities, liability, and regulations are governed and defined by this article. The association shall function as a residual market mechanism to provide wind and hail insurance for residential and commercial property to applicants who are unable to procure this insurance in the coastal area. (B) The association consists of all private insurers authorized to write and engage in writing property insurance within this State on a direct and statewide basis, but excluding insurers whose writings are limited to property wholly owned by parent, subsidiary, or allied organizations, or insurers whose writings are limited to property wholly owned by religious organizations. However, as a condition of exemption from membership these insurers providing property insurance for insurable property in the coastal area as defined by this article also shall provide essential property insurance for these risks. Each insurer must be a member of the association and shall remain a member of the association so long as the association is in existence as a condition of its authority to continue to transact the business of insurance in this State.
S.C. Code Ann. § 38-27-430 — SC Code / Title 38 / Chapter 27 / Article 5 / Section 38-27-430
SECTION 38-27-430. Actions by and against liquidator.
Status: in_force

(a) Upon issuance of an order appointing a liquidator of a domestic insurer or of an alien insurer domiciled in this State, no action at law or equity may be brought against the insurer or liquidator, whether in this State or elsewhere; nor may any existing actions be maintained or further presented after issuance of the order. The courts of this State shall give full faith and credit to injunctions against the liquidator or the company or the continuation of existing actions against the liquidator or the company, when the injunctions are included in an order to liquidate an insurer issued pursuant to corresponding provisions in other states. Whenever, in the liquidator's judgment, protection of the estate of the insurer necessitates intervention in an action against the insurer that is pending outside this State, he may intervene in the action. The liquidator may defend any action in which he intervenes under this section at the expense of the estate of the insurer. (b) The liquidator may, upon or after an order for liquidation, within two years or such time in addition to two years as applicable law may permit, institute an action or proceeding on behalf of the estate of the insurer upon any cause of action against which the period of limitation fixed by applicable law has not expired at the time of the filing of the petition upon which the order is entered. Where, by any agreement, a period of limitation is fixed for instituting a suit or proceeding upon any claim, or for filing any claim, proof of claim, proof of loss, demand, notice, or the like, or where in any proceeding, judicial or otherwise, a period of limitation is fixed, either in the proceeding or by applicable law, for taking any action, filing any claim or pleading, or doing any act, and where in the case the period had not expired at the date of the filing of the petition, the liquidator may, for the benefit of the estate, take any action or do any act, required of or permitted to the insurer, within a period of one hundred eighty days after the entry of an order for liquidation, or within a further period that is shown to the satisfaction of the court not to be unfairly prejudicial to the other party. (c) No statute of limitations or defense of laches runs with respect to any action against an insurer between the filing of a petition for liquidation against an insurer and the denial of the petition. Any action against the insurer that might have been commenced when the petition was filed may be commenced for at least sixty days after the petition is denied. (d) Any guaranty association or foreign guaranty association has standing to appear in any court proceeding concerning the liquidation of an insurer if the association is or may become liable to act as a result of the liquidation.
S.C. Code Ann. § 38-3-170 — SC Code / Title 38 / Chapter 3 / Article 1 / Section 38-3-170
SECTION 38-3-170. Notice of hearings.
Status: in_force

All hearings, unless otherwise specifically provided, must be held at the time and place designated in a written notice given by the director or his designee to the person cited to appear at least thirty days before the designated date. The notice shall state the subject of the inquiry and specific charges, if any. It is sufficient to give notice either by delivering it to the person or by depositing it in the United States mail, postage prepaid, addressed to the last known address of the person and registered with return receipt requested.
S.C. Code Ann. § 38-27-50 — SC Code / Title 38 / Chapter 27 / Article 1 / Section 38-27-50
SECTION 38-27-50. Definitions.
Status: in_force

For purposes of this chapter: (1) "Ancillary state" means any state other than a domiciliary state. (2) "Creditor" is a person having any claim, whether matured or unmatured, liquidated or unliquidated, secured or unsecured, absolute, fixed, or contingent. (3)(a) "Delinquency proceeding" means a proceeding instituted against an insurer to liquidate, rehabilitate, reorganize, or conserve the insurer and a summary proceeding under Section 38-27-220. (b) "Formal delinquency proceeding" means a liquidation or rehabilitation proceeding. (4) "Doing business" includes any of the following acts, whether effected by mail or otherwise: (a) the issuance or delivery of contracts of insurance to persons resident in this State; (b) the solicitation of applications for such contracts or other negotiations preliminary to the execution of such contracts; (c) the collection of premiums, membership fees, assessments, or other consideration for such contracts; (d) the transaction of matters subsequent to execution of such contracts and arising out of them; or (e) operating under a license or certificate of authority, as an insurer, issued by the director or his designee. (5) "Domiciliary state" means the state in which an insurer is incorporated or organized, or, in the case of an alien insurer, its state of entry. (6) "Fair consideration" is given for property or obligation: (a) when in exchange for the property or obligation, as a fair equivalent therefor and in good faith, property is conveyed or services are rendered or an obligation is incurred or an antecedent debt is satisfied; or (b) when the property or obligation is received in good faith to secure a present advance or antecedent debt in amount not disproportionately small as compared to the value of the property or obligation obtained. (7) "Federal home loan bank" or "FHLB" means a federal home loan bank established pursuant to the Federal Home Loan Bank Act, 12 U.S.C. Section 1421, et seq. (8) "Foreign country" means any other jurisdiction not in any state. (9) "General assets" means all property, real, personal, or otherwise, not specifically mortgaged, pledged, deposited, or otherwise encumbered for the security or benefit of specified persons or classes of persons. As to specifically encumbered property, "general assets" includes all such property or its proceeds in excess of the amount necessary to discharge the sum or sums secured thereby. Assets held in trust and on deposit for the security or benefit of all policyholders or all policyholders and creditors, in more than a single state, are treated as general assets. (10) "Guaranty association" means the South Carolina Property and Casualty Insurance Guaranty Association, the South Carolina Life and Accident and Health Insurance Guaranty Association, and any other similar entity created by the legislature of this State for the payment of claims of insolvent insurers. "Foreign guaranty association" means any similar entity created by the legislature of any other state. (11) "Insolvency" or "insolvent" means: (a) For an insurer issuing only assessable fire insurance policies: (i) the inability to pay any obligation within thirty days after it becomes payable; or (ii) if an assessment is made within thirty days after that date, the inability to pay the obligation thirty days following the date specified in the first assessment notice issued after the date of loss. (b) For any other insurer, that it is unable to pay its obligations when they are due, or when its admitted assets do not exceed its liabilities plus the greater of: (i) any capital and surplus required by law for its organization; or (ii) the total par or stated value of its authorized and issued capital stock. (c) For purposes of this item, "liabilities" includes, but is not limited to, reserves required by statute, regulations, or specific requirements imposed by the director or his designee upon a subject company at the time of admission or subsequent thereto. (12) "Insurer" means any person who has done, purports to do, is doing, or is licensed to do an insurance business and is or has been subject to the authority of, or to liquidation, rehabilitation, reorganization, supervision, or conservation by, the commissioner of insurance, or similar entity, of any state. For purposes of this chapter, any other persons included under Section 38-27-40 are considered insurers. (13) "Insurer-member" means an insurer who is a member of a federal home loan bank. (14) "Person" means natural persons, corporations, partnerships, trusts, associations, societies, orders, special purpose reinsurance vehicles, or any other organizations or entities. (15) "Preferred claim" means any claim with respect to which the terms of this chapter accord priority of payment from the general assets of the insurer. (16) "Receiver" means receiver, liquidator, rehabilitator, or conservator as the context requires. (17) "Reciprocal state" means any state other than this State in which in substance and effect subsection (a) of Section 38-27-370, Section 38-27-930, Section 38-27-940, and Sections 38-27-960 through 38-27-980 are in force, and in which provisions are in force requiring that the director, his designee, or equivalent official be the receiver of a delinquent insurer, and in which some provision exists for the avoidance of fraudulent conveyances and preferential transfers. (18) "Secured claim" means any claim secured by mortgage, trust deed, pledge, deposit as security, escrow, or otherwise, but not including special deposit claims or claims against general assets. The term also includes claims which have become liens upon specific assets by reason of judicial process. (19) "Special deposit claim" means any claim secured by a deposit made pursuant to statute for the security or benefit of a limited class or classes of persons, but not including any claim secured by general assets. (20) "State" means any state, district, or territory of the United States and the Panama Canal Zone. (21) "Transfer" includes the sale and every other and different mode, direct or indirect, of disposing of or of parting with property or with an interest therein or with the possession thereof or of fixing a lien upon property or upon an interest therein, absolutely or conditionally, voluntarily, by or without judicial proceedings. The retention of a security title to property delivered to a debtor is considered a transfer suffered by the debtor. Effect of Amendment 2016 Act No. 190, SECTION 2, in (3), added designators (a) and (b); added (7) and (13), definitions for "federal home loan bank" and "insurer-member"; and redesignated the paragraphs accordingly.
S.C. Code Ann. § 38-38-710 — SC Code / Title 38 / Chapter 38 / Article 13 / Section 38-38-710
SECTION 38-38-710. Appointment of director as legal attorney for service of process.
Status: in_force

Every society shall, before being licensed, appoint in writing the director and his successors in office to be its true and lawful attorney upon whom all legal process in any action or proceeding against it must be served and in this writing shall agree that lawful process against it which is served upon this attorney is of the same legal force and validity as if served upon the society and that the authority continues in force so long as any liability remains outstanding in the State. Copies of the appointment, certified by the director, are sufficient evidence of the appointment and must be admitted in evidence with the same force and effect as the original might be admitted. Service upon a society must also comply with the requirements of Section 15-9-270 and any other applicable provisions of Title 15.
S.C. Code Ann. § 38-19-610 — SC Code / Title 38 / Chapter 19 / Article 7 / Section 38-19-610
SECTION 38-19-610. Borrowed surplus.
Status: in_force

A domestic mutual insurer, with the advance approval of the director or his designee and without the pledge of any of its assets, may borrow money to defray the expenses of its organization or for any purpose required by its business upon an agreement that the money and the interest as agreed upon must be repaid only out of the insurer's earned surplus in excess of its required minimum surplus. If the money is to be borrowed upon multiple agreements, the agreements must be serially numbered. No loan agreement or series of agreements may have or be given any preferential rights over any other such loan agreement or series. No commission or promotional expense may be paid to a director, officer, or employee of the insurer on account of this loan. The director's or his designee's approval of the loan, if granted, shall specify the amount to be borrowed, the purpose for which the money is to be used, the terms and forms of the loan agreement, the date by which the loan must be completed, and other related matters the director or his designee considers proper. This article does not apply to loans obtained by the insurer in the ordinary course of business from banks and other financial institutions, nor to loans secured by pledge or mortgage of assets.
S.C. Code Ann. § 38-83-80 — SC Code / Title 38 / Chapter 83 / Section 38-83-80
SECTION 38-83-80. Approval of initial filing of forms, classifications, rates, rating plans, and rating rules.
Status: in_force

Within a time that the director or his designee directs, the association shall submit, for the approval of the director or his designee, an initial filing, in proper form, of policy forms, classifications, rates, rating plans, and rating rules applicable to professional liability insurance to be written by the association. If the director or his designee disapproves the initial filing, in whole or in part, the association shall amend the filing, in whole or in part, in accordance with the direction of the director or his designee. If the director or his designee is unable to approve the filing or amended filing, within the time specified, he shall promulgate the policy forms, classifications, rates, rating plans, and rules to be used by the association in making rates for and writing the insurance.
S.C. Code Ann. § 38-71-130 — SC Code / Title 38 / Chapter 71 / Article 1 / Section 38-71-130
SECTION 38-71-130. Breast reconstruction and prosthetic devices; coverage following mastectomy surgery.
Status: in_force

All individual and group health insurance policies and health maintenance organizations providing coverage for mastectomy surgery must provide coverage for prosthetic devices and reconstruction of the breast on which surgery for breast cancer has been performed and surgery and reconstruction of the non-diseased breast, if determined medically necessary by the patient's attending physician with the approval of the insurer or HMO. The provisions of this section shall not require supplemental health insurance policies to provide coverage for reconstruction of the nondiseased breast.
S.C. Code Ann. § 38-73-480 — SC Code / Title 38 / Chapter 73 / Article 5 / Section 38-73-480
SECTION 38-73-480. Rate for group automobile insurance.
Status: in_force

An automobile insurance contract sold on the basis of a group plan or contract pursuant to Section 38-77-130 shall have a rate not less than five percent less than the individual rate for which the insurer markets a substantially similar policy.
S.C. Code Ann. § 38-48-50 — SC Code / Title 38 / Chapter 48 / Section 38-48-50
SECTION 38-48-50. License fees.
Status: in_force

The biennial fee for a public adjuster's license is eighty dollars payable in advance and fully earned when received, not refundable, transferable, nor proratable. However, when the laws of another state of the United States required in this State of nonresident public adjusters, the nonresident public adjusters shall pay an amount equal to the amount of charges imposed by the laws of this State upon public adjusters of this State.
S.C. Code Ann. § 38-71-143 — SC Code / Title 38 / Chapter 71 / Article 1 / Section 38-71-143
SECTION 38-71-143. Health plans must provide same coverage for children placed for adoption.
Status: in_force

(A) If an individual or group health plan provides coverage for dependent children of participants or beneficiaries, the plan shall provide benefits to dependent children placed with participants or beneficiaries for adoption under the same terms and conditions as apply to the natural, dependent children of the participants and beneficiaries, irrespective of whether the adoption has become final. (B) A group health plan may not restrict coverage under the plan of a dependent child adopted by a participant or beneficiary or placed with a participant or beneficiary for adoption solely on the basis of a preexisting condition of the child at the time that the child would otherwise become eligible for coverage under the plan, if the adoption or placement for adoption occurs while the participant or beneficiary is eligible for coverage under the plan. (C) For the purposes of this section: (1) "child" means, in connection with an adoption or placement for adoption of the child, an individual who has not attained age eighteen as of the date of the adoption or placement for adoption; (2) "placement for adoption" means the assumption and retention by a person of a legal obligation for total or partial support of a child in anticipation of the adoption of the child. The child's placement with a person terminates upon the termination of the legal obligations.
S.C. Code Ann. § 38-89-150 — SC Code / Title 38 / Chapter 89 / Section 38-89-150
SECTION 38-89-150. Effect of termination of association member's authority; merger; insolvency.
Status: in_force

(A) If the authority of an insurer to transact bodily injury liability insurance, other than automobile, homeowners, or farmowners, in this State terminates for any reason, its obligations as a member of the association continue until all its obligations are fulfilled and the director or his designee has so found and certified to the board of directors. (B) If a member insurer merges into or consolidates with another insurer authorized to transact insurance in this State or another insurer authorized to transact insurance in this State has reinsured the insurer's entire general liability business in this State, both the insurer and its successor or assuming reinsurer, as the case may be, are liable for the insurer's obligations to the association. (C) An unsatisfied net liability of an insolvent member of the association must be assumed by and apportioned among the remaining members in the same manner in which assessments or gain and loss are apportioned and the association shall acquire and have all rights and remedies allowed by law in behalf of the remaining members against the estate or funds of the insolvent insurer for funds due the association.
S.C. Code Ann. § 38-38-220 — SC Code / Title 38 / Chapter 38 / Article 5 / Section 38-38-220
SECTION 38-38-220. Amendment of bylaws; notice to director.
Status: in_force

(A) A domestic society may amend its bylaws, in accordance with the provisions of its bylaws, by action of its supreme governing body at a regular or special meeting or, if its bylaws provide, by referendum. The referendum may be held in accordance with the provisions of its bylaws by the vote of the voting members of the society, by the vote of delegates or representatives of voting members, or by the vote of local lodges. A society may provide for voting by mail. An amendment submitted for adoption by referendum may not be adopted unless, within six months from the date of submission, a majority of the members voting have signified their consent to the amendment by one of the methods specified. (B) An amendment to the bylaws of a domestic society may not take effect unless approved by the director or his designee who shall approve the amendment if he finds that it has been adopted and is not inconsistent with any requirement of the laws of this State or with the character, objects, and purposes of the society. The approval or disapproval of the director or his designee must be forwarded in writing and mailed to the secretary or corresponding officer of the society at its principal office. If the director or his designee disapproves the amendment, the reasons for the disapproval must be stated in the written notice. (C) Within ninety days from approval by the director or his designee, all amendments, or a synopsis of the amendments, must be furnished to all members of the society either by mail or by publication in full in the official publication of the society. The affidavit of an officer of the society or of anyone authorized by it to mail amendments or synopses, stating facts which show that the amendments or synopses have been addressed and mailed, is prima facie evidence that the amendments or synopses have been furnished the addressee. (D) Every foreign or alien society authorized to do business in this State must file with the director or his designee a certified copy of all amendments of, or additions to, its bylaws within ninety days after the enactment of the bylaws or additions to the bylaws. (E) Printed copies of the bylaws as amended, certified by the secretary or corresponding officer of the society, are prima facie evidence of the legal adoption of the amended bylaws.
S.C. Code Ann. § 38-79-150 — SC Code / Title 38 / Chapter 79 / Article 3 / Section 38-79-150
SECTION 38-79-150. Application for coverage.
Status: in_force

Any licensed health care provider is entitled to apply to the association for coverage. The application may be made on behalf of the applicant by a licensed agent or broker authorized in writing by the applicant. If the association determines that the applicant meets the underwriting standards of the association as set forth in the approved plan of operation and there is no unpaid, uncontested premium due from the applicant for any prior insurance of the same kind, the association, upon receipt of the premium, or a portion thereof as prescribed by the plan of operation, shall cause to be issued a policy of medical malpractice liability insurance for a term of one year. The rates, rating plans, rating rules, rating classifications, territories, and policy forms applicable to insurance written by the association and the statistical and experience data relating thereto are subject to this article and to those provisions of Chapter 73 of this title which are not inconsistent with the purposes and provisions of this article. Effect of Amendment 2019 Act No. 67, SECTION 1, in the first undesignated paragraph, in the first sentence, deleted "in a category in which the department has declared an emergency exists" following "Any licensed health care provider".
S.C. Code Ann. § 38-83-60 — SC Code / Title 38 / Chapter 83 / Section 38-83-60
SECTION 38-83-60. Costs of professional liability insurance.
Status: in_force

The director or his designee shall obtain complete statistical data in respect to professional liability losses and reparation costs as well as all other costs or expenses which underlie or are related to professional liability insurance. The Department of Insurance shall promulgate any statistical plan he considers necessary for the purpose of gathering data referable to loss and loss adjustment expense experience and other expense experience. When the statistical plan is promulgated all members of the association shall adopt and use it. The director or his designee also shall obtain statistical data in respect to the costs of compensating victims of professional liability. The director or his designee may require from any person obtaining insurance through the association loss, claim, or expense data.
S.C. Code Ann. § 38-81-300 — SC Code / Title 38 / Chapter 81 / Article 3 / Section 38-81-300
SECTION 38-81-300. Specification of coverage basis.
Status: in_force

(A) The director or his designee shall specify whether policy forms and the rate structure must be on a "claims-made" or "occurrence" basis and coverage may be provided by the association only on the basis specified by the director or his designee. The director or his designee shall specify the claims-made basis only if the contract makes provision for residual occurrence coverage upon the retirement, death, disability, or removal from the State of the insured. Provision may be made for a premium charge allocable to any residual occurrence coverage and the premium charges for the residual coverage must be segregated and separately maintained for such purpose which may include the reinsurance of all or part of that portion of the risk. (B) The policy may not contain any limitation in relation to the existing law in tort as provided by the statute of limitations of this State. (C) The policy form whether on a claims-made or occurrence basis may not require as a condition precedent to settlement or compromise of any claim the consent or acquiescence of the insured. However, such settlement or compromise is not considered an admission of fault or wrongdoing by the insured. (D) The premium rate charged for either or both claims-made or occurrence coverage must be at rates established on an actuarially sound basis, including consideration of trends in the frequency and severity of losses and must be calculated to be self-supporting.
S.C. Code Ann. § 38-44-20 — SC Code / Title 38 / Chapter 44 / Section 38-44-20
SECTION 38-44-20. Definitions.
Status: in_force

As used in this chapter: (1) "Actuary" means a person who is a member in good standing of the American Academy of Actuaries. (2) "Insurer" means a domestic insurer as defined in Section 38-1-20(17). (3)(a) "Managing general agent", MGA, means a person who: (i) manages all or part of the insurance business of an insurer, including the management of a separate division, department, or underwriting office; and (ii) acts as an agent for the insurer whether known as a MGA, a manager, or another similar term, who with or without the authority, either separately or together with affiliates, produces, directly or indirectly, and underwrites an amount of gross direct written premium equal to or more than five percent of the policyholder surplus as reported in the last annual statement of the insurer in one quarter or year with one or both of the following activities related to the business produced: a. adjusts or pays claims in excess of five thousand dollars; b. negotiates ceding reinsurance contracts on behalf of the insurer. (b) Notwithstanding subitem (a), the following are not considered as MGAs for the purposes of this chapter: (i) an employee of the insurer; (ii) a United States manager of the United States branch of an alien insurer; (iii) an underwriting manager which, pursuant to contract, manages all or part of the insurance operations of the insurer, is under common control with the insurer, and is subject to the Insurance Holding Company Regulatory Act and whose compensation is not based on the volume of premiums written; (iv) the attorney-in-fact authorized by and acting for the subscribers of a reciprocal insurer or interinsurance exchange under powers of attorney; (4) "Underwrite" means the authority to accept or reject risk on behalf of the insurer.
S.C. Code Ann. § 38-13-70 — SC Code / Title 38 / Chapter 13 / Article 1 / Section 38-13-70
SECTION 38-13-70. Investigation of charges; liability for expenses.
Status: in_force

(A) Upon his own motion or upon written complaint filed by a citizen of this State that an insurer, health maintenance organization, or other person licensed or authorized to transact business in this State has violated this title, the director or his designee shall investigate the matter and, if necessary, examine under oath the president and other officers or agents of the insurer, health maintenance organization, or other person and all books, records, and papers of the insurer, health maintenance organization, or other person. The insurer, health maintenance organization, or other person and its representatives shall respond to the department's inquiries, requests for information, or investigations within seven calendar days or within a larger timeframe granted by the director or his designee. If the director or his designee finds upon substantial evidence that a complaint is justified, the insurer, health maintenance organization, or other person, in addition to the penalties imposed for violation of this title, is liable for the expenses of the investigation, and the director or his designee shall promptly present the insurer with a statement of the expenses. If the insurer, health maintenance organization, or other person refuses or neglects to pay, the director or his designee is authorized to revoke its license and to bring civil action for the collection of the expenses. (B) The director or any of his duly authorized assistants or employees may investigate allegations that the insurance laws have been violated. Investigations conducted pursuant to this title are confidential and all work papers and regulatory communications are privileged and confidential. Nothing in this article may be construed as prohibiting the respondent from normal access to the charges and evidence filed against the respondent once the investigation is complete. The final order disciplining a licensee is public information as provided under applicable South Carolina law. Effect of Amendment 2018 Act No. 219, SECTION 2, rewrote the section, authorizing the department to respond to motions and complaints against health maintenance organizations and persons licensed to transact the business of insurance in the State. 2024 Act No. 180, SECTION 4, inserted the (A) designator, and added (B).
S.C. Code Ann. § 38-14-30 — SC Code / Title 38 / Chapter 14 / Section 38-14-30
SECTION 38-14-30. Definitions.
Status: in_force

For purposes of this chapter, the following terms have the indicated meanings: (1) "Aggregate limit" means the maximum sum payable to the ceding insurer under a SPRV contract. (2) "Ceding insurer" means one or more insurers or reinsurers under common control that enters into a SPRV contract with a SPRV. (3) "Control", including the terms " controlling", "controlled by" and " under common control with", means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a person, whether through the ownership of voting securities, by contract other than a commercial contract for goods or nonmanagement services, or otherwise, unless the power is the result of an official position with or corporate office held by the person. Control must be presumed to exist if any person, directly or indirectly, owns, controls, holds with the power to vote, or holds proxies representing ten percent or more of the voting securities of any other person. This presumption may be rebutted by a showing that control does not, in fact, exist. Notwithstanding the foregoing, for purposes of this chapter, the fact that a SPRV exclusively provides reinsurance to a ceding insurer under a SPRV contract must not by itself be sufficient grounds for a finding that the SPRV or the SPRV organizer or owner is controlled by or under common control with the ceding insurer. (4) "Fair value" means: (a) as to cash, the amount of it; and (b) as to an asset other than cash: (1) the amount at which that asset could be bought or sold in a current transaction between arms-length, willing parties; (2) the quoted market price for the asset in active markets should be used if available; and (3) if quoted market prices are not available, a value determined using the best information available considering values of like assets and other valuation methods, such as present value of future cash flows, historical value of the same or similar assets or comparison to values of other asset classes, the value of which have been historically related to the subject asset. (5) "Fully funded" means that, with respect to a SPRV contract, the fair value of the assets held in trust by or on behalf of the SPRV under the SPRV contract on the date on which the SPRV contract is effected, equals or exceeds the aggregate limit as defined in this chapter. (6) "Indemnity trigger" means a transaction term by which the SPRV's obligation to pay the ceding insurer for losses covered by a SPRV contract is triggered by the ceding insurer incurring a specified level of losses. (7) "Insolvency" or "insolvent" means that the SPRV is unable to pay its obligations when they are due, unless those obligations are the subject of a bona fide dispute. (8) "Nonindemnity trigger" means a transaction term by which the SPRV's obligation to pay the ceding insurer under a SPRV contract arises from the occurrence or existence of some event or condition other than the ceding insurer incurring a specified level of losses under its insurance or reinsurance contracts. (9) "Permitted investments" means those investments that meet the qualifications pursuant to Section 38-14-170 of this chapter. (10) "Qualified United States financial institution" means, for purposes of meeting the requirements of a trustee as specified in Section 38-12-60, a financial institution that is eligible to act as a fiduciary of a trust, and is: (a) organized, or, in the case of a United States branch or agency office of a foreign banking organization, is licensed under the laws of the United States or any state of the United States; and (b) regulated, supervised, and examined by federal or state authorities having regulatory authority over banks and trust companies. (11) "SPRV" or "Special Purpose Reinsurance Vehicle" means an entity domiciled in and organized under the laws of South Carolina, which has received a Limited Certificate of Authority from the director, or his designee, under this chapter exclusively for the limited purpose of entering into and effectuating SPRV insurance securitizations, SPRV contracts, and other related transactions permitted by this chapter. (12) "SPRV contract" means a contract between the SPRV and the ceding insurer pursuant to which the SPRV agrees to pay the ceding insurer an agreed amount upon the occurrence of a triggering event. (13) "SPRV insurance securitization" means a package of related risk transfer instruments and facilitating administrative agreements by which proceeds are obtained by a SPRV through the issuance of securities, which proceeds are held in trust pursuant to the requirements of this chapter to secure the obligations of the SPRV under a SPRV contract with one or more ceding insurers, wherein the SPRV's obligation to return the full initial investment to the holders of such securities, pursuant to the transaction terms, is contingent upon the funds not being used to pay the obligations of the SPRV to the ceding insurers under the SPRV contract. (14) "SPRV organizer" means one or more persons who have organized or intend to organize a SPRV, under authority obtained pursuant to Section 38-14-40 of this chapter. (15) "SPRV securities" means the securities issued by a SPRV. (16) "Triggering event" means an event or condition that, if and when it occurs or exists, obligates the SPRV to make a payment to the ceding insurer under the provisions of a SPRV contract.
S.C. Code Ann. § 38-75-920 — SC Code / Title 38 / Chapter 75 / Article 11 / Section 38-75-920
SECTION 38-75-920. Title insurers to maintain reinsurance reserve.
Status: in_force

(A) A domestic title insurer shall establish and maintain a reinsurance reserve computed in accordance with this section, and all sums attributed to the reserve are at all times and for all purposes considered unearned portions of the original premiums. This reserve must be reported as a liability of the title insurer in its financial statements. (B) The reinsurance reserve must be maintained by the title insurer for the protection of holders of title insurance policies. Except as provided in this section, assets equal in value to the reinsurance reserve are not subject to distribution among creditors or stockholders of the title insurer until all claims of policyholders or claims under reinsurance contracts have been paid in full, and all liability on the policies or reinsurance contracts has been paid in full and discharged or lawfully reinsured. (C) A foreign or alien title insurer licensed to transact title insurance business in this State shall maintain at least the same reserves on title insurance policies issued on properties located in this State as are required of domestic title insurers, unless the laws of jurisdiction of domicile of the foreign or alien title insurer require a higher amount. (D) The reinsurance reserve consists of: (1) the amount of the reinsurance reserve on the effective date of this act; and (2) one dollar and fifty cents a policy and, in addition, a sum equal to twelve and one-half cents for each one thousand dollars of net retained liability under each title insurance policy on a single risk written on properties located in this State written after the effective date of this act. (E) Amounts placed in the reinsurance reserve in any year in accordance with subsection (D)(2) of this section must be deducted in determining the net profit of the title insurer for that year. (F) A title insurer shall release from the reinsurance reserve a sum equal to ten percent of the amount added to the reserve during a calendar year on July first of each of the five years following the year in which the sum was added and shall release from the reinsurance reserve a sum equal to three and one-third percent of the amount added to the reserve during that year on each succeeding July first until the entire amount for that year has been released. The amount of the reinsurance reserve or similar unearned premium reserve maintained before the effective date of this act must be released in accordance with the law in effect before the effective date of this act.
S.C. Code Ann. § 38-41-60 — SC Code / Title 38 / Chapter 41 / Section 38-41-60
SECTION 38-41-60. Funds must be held in trust.
Status: in_force

Funds collected from the participating employers under multiple employer self-insured health plans must be held in trust subject to the following requirements: (a) A board of trustees elected by participating employers must serve as fund managers on behalf of participants. Trustees must be plan participants. No participating employer may be represented by more than one trustee. A minimum of three and a maximum of seven trustees may be elected. Trustees may not receive remuneration but they may be reimbursed for actual and reasonable expenses incurred in connection with duties as trustee. (b) Trustees must be bonded in an amount not less than one hundred fifty thousand dollars from a licensed surety company. (c) Investment of plan funds is subject to the same restrictions which are applicable to insurers pursuant to Sections 38-12-10 through 38-12-320. All investments must be managed by a bank or other investment organization licensed to operate in South Carolina. (d) Trustees, on behalf of the plan, shall file an annual report with the department by March first showing the condition and affairs of the plan as of the preceding thirty-first day of December. The report must be made on forms prescribed by the director or his designee. The report shall summarize the financial condition of the fund, itemize collections from participating employers, detail all fund expenditures, and provide any additional information which the director or his designee requires.
S.C. Code Ann. § 38-1-10 — SC Code / Title 38 / Chapter 1 / Section 38-1-10
SECTION 38-1-10. Short title.
Status: in_force

This title may be cited and is known as "The Insurance Law".
S.C. Code Ann. § 38-48-160 — SC Code / Title 38 / Chapter 48 / Section 38-48-160
SECTION 38-48-160. Regulations.
Status: in_force

The Department of Insurance shall promulgate regulations necessary to carry out the provisions of this chapter.
S.C. Code Ann. § 38-9-60 — SC Code / Title 38 / Chapter 9 / Article 1 / Section 38-9-60
SECTION 38-9-60. No limitation on certain license provisions.
Status: in_force

Sections 38-9-30 to 38-9-50 may not be construed as a limitation of any authority conferred elsewhere by this title upon the director or his designee to deny or revoke or suspend a license of an insurer.
S.C. Code Ann. § 38-70-30 — SC Code / Title 38 / Chapter 70 / Section 38-70-30
SECTION 38-70-30. Renewal of certificate.
Status: in_force

A certificate must be renewed on the second anniversary of its effective date and is considered to be approved upon payment of the fee unless the director or his designee takes action to withdraw or cancel the certificate.
S.C. Code Ann. § 38-71-800 — SC Code / Title 38 / Chapter 71 / Article 5 / Section 38-71-800
SECTION 38-71-800. Hospital and medical expenses.
Status: in_force

Any policy or contract of group accident, group health, or group accident and health insurance may include provisions for the payment by the insurer of benefits to the employee or other member of the insured group on account of hospitalization or medical or surgical aid for himself, his spouse, his child or children, or other individuals chiefly dependent upon him for support and maintenance.
S.C. Code Ann. § 38-59-240 — SC Code / Title 38 / Chapter 59 / Article 2 / Section 38-59-240
SECTION 38-59-240. Interest on payments later than applicable period; exceptions.
Status: in_force

(A) For each clean claim with respect to which an insurer has directed the issuance of a check or the electronic funds transfer later than the applicable period specified in Section 38-59-230, the insurer shall pay interest in the same manner and at the same rate set forth in Section 34-31-20(A) on the balance due on each claim computed from the twenty-first or the forty-first business day, as appropriate, based on the circumstances described in Section 38-59-230, up to the date on which the insurer directs the issuance of the check or the electronic funds transfer for payment of the clean claim. At the insurer's election, interest paid pursuant to this section must be included in the claim payment check or wire transfer or must be remitted periodically, but at least quarterly, in a separate check or wire transfer along with a report detailing the claims for which interest is being paid. (B) No insurer has an obligation to make any interest payment pursuant to subsection (A): (1) with respect to any clean claim if within twenty business days of the submission of an original claim submitted electronically or within forty business days of an original claim submitted via paper, a duplicate claim is submitted while the adjudication of the original claim is still in process; (2) to any participating provider who balance bills a plan member in violation of the participating provider's agreement with the insurer; (3) with respect to any time period during which a force majeure prevents the adjudication of claims; or (4) when payment is made to a plan member.
S.C. Code Ann. § 38-13-90 — SC Code / Title 38 / Chapter 13 / Article 1 / Section 38-13-90
SECTION 38-13-90. Publication of assets and liabilities.
Status: in_force

No insurer may publish a statement of its assets and liabilities unless it shows both its assets and liabilities with equal conspicuousness. The statement shall reflect the assets and liabilities as were shown on the last annual statement or subsequent report of examination accepted by the director or his designee unless the director or his designee has given prior written approval to the publishing of a statement as of another date. Any publication purporting to show the capital of the insurer shall exhibit only the amount of capital actually paid in. An insurer or agent violating this section is subject to the penalties provided in Section 38-2-10.
S.C. Code Ann. § 38-7-50 — SC Code / Title 38 / Chapter 7 / Section 38-7-50
SECTION 38-7-50. Tax on workers' compensation insurers.
Status: in_force

Every insurer insuring employers in this State against liability for personal injuries to their employees or death caused by the injuries, under the provisions of Title 42, shall pay a tax upon the premiums received whether in cash or notes in this State, or on account of business done in this State, for such insurance in this State at the rate of four and one-half percent of the amount of the premiums. For fiscal year 1990-91, the tax is at the rate of three and one-half percent of the amount of the premiums. For fiscal year 1991-92 and thereafter, the tax is at the rate of two and one-half percent of the amount of the premiums. This tax is in lieu of all other taxes on these premiums and must be assessed and collected as provided in this chapter. However, the insurers must be credited with all canceled or returned premiums actually refunded during the year on workers' compensation insurance including any unused premiums refunded or credited to policyholders as dividends. If an insurer fails or refuses to make the return required by Section 38-7-60, the director or his designee shall assess the tax against the insurer at the rate provided for in this chapter on the amount of premiums he considers just and the proceedings thereon must be the same as if the return had been made.
S.C. Code Ann. § 38-71-530 — SC Code / Title 38 / Chapter 71 / Article 3 / Section 38-71-530
SECTION 38-71-530. Regulations establishing specific standards that set forth manner, content, and required disclosure for sale of individual policies.
Status: in_force

(a) The department shall promulgate regulations to establish specific standards, including standards of full and fair disclosure, that set forth the manner, content, and required disclosure for the sale of individual policies of accident and health insurance or subscriber contracts of nonprofit hospital, medical, and dental service associations which must be in addition to and in accordance with applicable laws of this State and which may cover, but are not limited to, the following: (1) terms of renewability; (2) initial and subsequent conditions of eligibility; (3) nonduplication of coverage provisions; (4) coverage of dependents; (5) preexisting conditions; (6) termination of insurance; (7) probationary periods; (8) limitations; (9) exceptions; (10) reductions; (11) elimination periods; (12) requirements for replacement; (13) recurrent conditions. (14) The definition of terms including, but not limited to, the following: (i) hospital; (ii) accident; (iii) sickness; (iv) injury; (v) physician; (vi) accidental means; (vii) total disability; (viii) partial disability; (ix) nervous disorder; (x) guaranteed renewable; (xi) noncancelable. (b) The department may promulgate regulations that specify prohibited policy provisions not otherwise specifically authorized by law which in the opinion of the director or his designee are unjust, unfair, or unfairly discriminatory to the policyholder, any person insured under the policy, or beneficiary.
S.C. Code Ann. § 38-21-340 — SC Code / Title 38 / Chapter 21 / Section 38-21-340
SECTION 38-21-340. Penalties; civil forfeiture; cease and desist orders; criminal prosecutions; misdemeanor; disapproval of dividends or distributions; suspensions.
Status: in_force

(A) An insurer failing, without just cause, to file any registration statement or summary of it as required in this chapter is required, after notice and hearing, to pay a penalty of one thousand dollars for each day's delay, to be recovered by the director or his designee, and the penalty so recovered must be paid into the general fund of the State. The maximum penalty under this section is thirty thousand dollars. The director or his designee may reduce the penalty if the insurer demonstrates to the director or his designee that the imposition of the penalty would constitute a financial hardship to the insurer. (B) A director or officer of an insurance holding company system who knowingly violates, participates in, or assents to, or who knowingly permits any of the officers or agents of the insurer to engage in transactions or make investments which have not been properly reported or submitted pursuant to this chapter or which violate this chapter, shall pay, in their individual capacity, a civil forfeiture of not more than ten thousand dollars per violation, after notice and hearing before the director or his designee. In determining the amount of the civil forfeiture, the director or his designee shall take into account the appropriateness of the forfeiture with respect to the gravity of the violation, the history of previous violations, and other matters as justice may require. (C) When it appears to the director or his designee that an insurer subject to this chapter or a director, officer, employee, or agent of it has engaged in a transaction or entered into a contract which is subject to Sections 38-21-250 through 38-21-270 and which would not have been approved had the approval been requested, the director or his designee may order the insurer to cease and desist immediately any further activity under that transaction or contract. After notice and hearing, the director or his designee may also order the insurer to void any such contracts and restore the status quo if such action is in the best interest of the policyholders, creditors, or the public. (D) When it appears to the director or his designee that an insurer or a director, officer, employee, or agent of it has committed a wilfull violation of this chapter, the director or his designee may, in addition to other powers prescribed in this section, cause criminal proceedings to be instituted in the circuit court for the county in which the principal office of the insurer is located or, if the insurer has no such office in the State, then in the Circuit Court for Richland County against the insurer or the responsible director, officer, employee, or agent of it. An insurer which wilfully violates this chapter may be fined not more than fifty thousand dollars. An individual who wilfully violates this chapter is guilty of a misdemeanor and, upon conviction, must be fined an amount not to exceed ten thousand dollars or be imprisoned for a term not to exceed two years, or both. (E) An officer, director, or employee of an insurance holding company system who wilfully and knowingly subscribes to or makes or causes to be made any false statements or false reports or false filings with the intent to deceive the director or his designee in the performance of his duties under this chapter is guilty of a misdemeanor and, upon conviction, must be imprisoned for not more than two years, fined ten thousand dollars, or both. A fine imposed must be paid by the officer, director, or employee in his individual capacity. (F) When it appears to the director or his designee that a person has committed a violation of Sections 38-21-60 through 38-21-120 and which prevents the full understanding of the enterprise risk to the insurer by affiliates or by the insurance holding company system, the violation may serve as an independent basis for disapproving dividends or distributions and for placing the insurer under an order of supervision in accordance with Chapter 26, Title 38. (G) When it appears to the director or his designee that an insurer has committed a violation of this chapter, or that any person has committed a violation of this chapter which makes continued operation of the insurer contrary to the interests of policyholders or the public, the director or his designee may, after giving notice and an opportunity to be heard, determine to suspend, revoke, or refuse to renew the insurer's license or authority to do business in this State for a period as he finds is required for the protection of policyholders or the public. This determination must be accompanied by specific findings of fact and conclusions of law. Effect of Amendment 2015 Act No. 2, SECTION 16, rewrote the section.
S.C. Code Ann. § 38-71-1720 — SC Code / Title 38 / Chapter 71 / Article 17 / Section 38-71-1720
SECTION 38-71-1720. Definitions.
Status: in_force

As used in this article: (1) "Closed panel health plan" means a network plan that requires an insured or a member to seek covered health care services or supplies, except in the case of emergency, exclusively from network providers. (2) "Eligibility" means the time at which an insured or a member is entitled to enroll under the terms of the coverage offered by the network plan by virtue of: (a) terms of employment; (b) an annual open enrollment period; or (c) at any other time during which the network plan's procedures or South Carolina law allows enrollment in the plan or allows renewal in the plan. (3) "Health insurance coverage" means coverage as defined in Section 38-71-840(14). (4) "Network plan" means a plan as defined in Section 38-71-840(24). (5) "Network providers" means those entities and individuals who provide covered health care services or supplies to an insured or a member pursuant to a contract with a network plan to act as a participating provider. (6) "Open panel health plan" means a plan which permits an insured or a member to seek covered health care services or supplies exclusively from an out-of-network provider. (7) "Out-of-network providers" means those entities and individuals who provide covered health care services or supplies who are not network providers. (8) "Point-of-service option" means a network plan that provides benefits for services or supplies provided by network providers and provides benefits for services or supplies provided by nonparticipating network providers. (a) In-network covered health care services provided through a licensed health maintenance organization are governed by and subject to the provisions of Chapter 33 of this title. (b) Out-of-network coverage may be underwritten by and provided through the health maintenance organization or through a licensed insurance company. The Director of Insurance may promulgate regulations as necessary or appropriate to implement the provisions of this subsection. (c) Any benefit limitation for out-of-network covered health care services applied to an annual or lifetime benefit limitation may be offset against the benefit limitation applicable to in-network covered health care services or supplies, regardless of whether out-of-network coverage is provided through a health maintenance organization or an insurance company. (d) The rating methods used to establish premiums for the point-of-service option must be based on actuarially sound principles.
S.C. Code Ann. § 38-63-20 — SC Code / Title 38 / Chapter 63 / Article 1 / Section 38-63-20
SECTION 38-63-20. Misrepresentations to induce termination or conversion of life insurance policies.
Status: in_force

No insurer, or its employee or agent, may make any misleading representations or incomplete or fraudulent comparisons of any life insurance policies or insurers for the purpose of inducing, or which may tend to induce, any person to lapse, forfeit, surrender, terminate, return, or convert any life insurance policy.
S.C. Code Ann. § 38-12-420 — SC Code / Title 38 / Chapter 12 / Article 3 / Section 38-12-420
SECTION 38-12-420. Asset and reserve requirements; notice of deficiency; notice to eliminate noncompliance.
Status: in_force

(A) Each property and casualty, financial guaranty, mortgage guaranty, or accident and health insurer shall have and maintain investments and engage in investment practices of the classes described in Sections 38-12-430 through 38-12-520 subject to the limitations contained in those sections to the extent of policyholder obligations and minimum capital, or guaranty fund, and surplus less an amount equal to thirty percent of its surplus as regards policyholders. In no event may a property and casualty, financial guaranty, mortgage guaranty, or accident and health insurer have and maintain investments and investment practices of the types described in the immediately preceding sentence in an amount less than seventy percent of policyholder obligations and one hundred percent of the minimum required capital, or guaranty fund, and surplus. A property and casualty, financial guaranty, mortgage guaranty, or accident and health insurer may invest its assets in excess of those required pursuant to the two immediately preceding sentences at the discretion of the insurer without regard to any of the limitations contained in Sections 38-12-430 through 38-12-520. (B) If a property and casualty, financial guaranty, mortgage guaranty, or accident and health insurer's assets and reserves do not comply with subsection (A), the insurer shall notify the director immediately of the amount by which the reserve requirements exceed the annual statement value of the qualifying assets and explain the reason for the deficiency. Within thirty days of the date of the notice, the insurer shall propose a plan of action to remedy the deficiency. (C)(1) If the director determines that a property and casualty, financial guaranty, mortgage guaranty, or accident and health insurer is not in compliance with subsection (A), the director shall require the insurer to eliminate the noncompliance within a specified time from the date the notice of the requirement is delivered to the insurer. (2) If an insurer fails to comply with the director's requirement described in item (1), the insurer is considered to be in hazardous financial condition, the director shall take action as authorized by law as to an insurer in hazardous financial condition.
S.C. Code Ann. § 38-14-20 — SC Code / Title 38 / Chapter 14 / Section 38-14-20
SECTION 38-14-20. Other sections applicable.
Status: in_force

(A) The following sections of Title 38, Code of Laws of South Carolina, 1976, apply to SPRVs: 38-2-10, 38-3-110 through 38-3-240, 38-5-120, 38-5-130, 38-13-10 through 38-13-420, and 38-57-200. (B) No other provisions of this title are applicable to a SPRV organized under this chapter, except as provided in this chapter.
S.C. Code Ann. § 38-55-110 — SC Code / Title 38 / Chapter 55 / Article 1 / Section 38-55-110
SECTION 38-55-110. Reserve requirements for tontine policies.
Status: in_force

In order to pay endowments as they severally mature, as well as to pay all other benefits incorporated in the policies, certificates, or contracts of insurance, a life insurer, fraternal benefit society, or mutual aid association operating in this State upon a plan described in SECTION 38-55-90 shall establish and maintain on each policy a reserve upon a basis not lower than the American Experience Table of Mortality, full preliminary term, Illinois Standard, and interest assumption of three and one-half percent, covering each contingency provided for in the policy.
S.C. Code Ann. § 38-43-50 — SC Code / Title 38 / Chapter 43 / Article 1 / Section 38-43-50
SECTION 38-43-50. Limited line and special producer licensure; appointment by insurer as producer or agent.
Status: in_force

(A) All applicants for a limited lines or special producer's license must be vouched for by an official or a licensed representative of the insurer for which the applicant proposes to act, who shall certify whether the applicant has been appointed a producer to represent it and that it has duly investigated the character and record of the applicant and has satisfied itself that he is trustworthy and qualified to act as its producer and intends to hold himself out in good faith as an insurance producer. When a contract of a producer is canceled by the insurer represented, that insurer shall notify the department of the cancellation within thirty days stating the cause of the termination. The records furnished by insurers are for the use of the department solely and not for public inspection. (B) When appointing a producer, the insurer shall certify on a form prescribed by the director whether the applicant has been appointed a producer to represent it and that it has duly investigated the character and record of the applicant and has satisfied itself that he is trustworthy and qualified to act as its producer and intends to hold himself out in good faith as an insurance producer. An insurance producer shall not act as an agent of an insurer unless the insurance producer becomes an appointed agent of that insurer. An insurance producer who is not acting as an agent of an insurer is not required to become appointed. (C) To appoint a producer as its agent, the appointing insurer shall file, in a format approved by the director or his designee, a notice of appointment within fifteen days from the date the agency contract is executed or the first insurance application is submitted. An insurer also may elect to appoint a producer to all or some insurers within the insurer's holding company system or group by the filing of a single appointment request. Each appointment must be accompanied by an appointment fee paid by the insurer as prescribed in Section 38-43-80. (D) Upon receipt of the notice of appointment, the director or his designee shall verify within a reasonable time not to exceed thirty days that the insurance producer is eligible for appointment. If the insurance producer is determined to be ineligible for appointment, the insurance director or his designee shall notify the insurer within five days of its determination. (E) When placing surplus lines insurance through a licensed insurance broker, a producer licensed for property and casualty insurance is not required to be appointed by the surplus lines insurer. (F) An insurer shall remit a renewal appointment fee in the amount set forth in Section 38-43-80. Effect of Amendment 2016 Act No. 137, SECTION 1, in (C), substituted "An insurer also may elect" for "An insurer may also elect"; added (E); and redesignated former (E) as (F).
S.C. Code Ann. § 38-38-120 — SC Code / Title 38 / Chapter 38 / Article 3 / Section 38-38-120
SECTION 38-38-120. Principal place of business; publication of required notice; annual statement of condition; grievance procedure.
Status: in_force

(A) The principal place of business and primary executive, administrative, and home offices and all original books and records of a domestic society must be located and maintained in this State. The meetings of its supreme governing body may be held in a state, district, province, or territory in which the society has at least one subordinate lodge, or in another location as determined by the supreme governing body, and all business transacted at these meetings is as valid in all respects as if these meetings were held in this State. The minutes of the proceedings of the supreme governing body and of the board of directors must be in the English language. (B)(1) A society may provide in its bylaws for an official publication in which a notice, report, or statement required by law to be given to members, including notice of election, may be published. These required reports, notices, and statements must be printed conspicuously in the publication. If the records of a society show that two or more members have the same mailing address, an official publication mailed to one member must be deemed to be mailed to all members at the same address, unless a member requests a separate copy. (2) Not later than June first of each year, a synopsis of the society's annual statement providing an explanation of the facts concerning the condition of the society must be printed and mailed to each benefit member of the society, or the synopsis may be published in the society's official publication. (C) A society may provide in its bylaws or rules for grievance or complaint procedures for members.
S.C. Code Ann. § 38-57-40 — SC Code / Title 38 / Chapter 57 / Section 38-57-40
SECTION 38-57-40. Misrepresentation or false advertising of policies prohibited.
Status: in_force

No person may make, issue, circulate, or cause to be made, issued, or circulated any estimate, proposal, circular, or statement misrepresenting the terms of a policy issued or to be issued or the benefits or advantages represented thereby or the dividends or share of the surplus to be received thereon, or make a false or misleading statement as to the dividend or share of surplus previously paid on similar policies or make a misrepresentation as to the financial condition of an insurer or as to the legal reserve system upon which an insurer operates or use any name or title of a policy or class of policies misrepresenting the true nature thereof.
S.C. Code Ann. § 38-79-250 — SC Code / Title 38 / Chapter 79 / Article 3 / Section 38-79-250
SECTION 38-79-250. Obligations of terminated members; responsibility of State.
Status: in_force

(1) If any member insurer ceases writing business in this State, voluntarily or involuntarily, or by order or authority of the director, the insurer shall continue to be a member of the association until all of its obligations have been satisfied and the director has certified the satisfaction to the association's board. (2) If a member insurer merges into, acquires, or consolidates with another insurer transacting business subject to this article or if any other insurer or entity has reinsured or assumed a member insurer's entire liability business in this State, the surviving insurer, acquiring insurer, its legal successor, or its assuming reinsurer nonetheless remains liable for the member insurer's obligations in respect to the association. (3) Any unsatisfied net liability of any insolvent member of the association must be assumed by and apportioned among the remaining members in the same manner in which assessments or gain and loss are apportioned and the association shall thereupon acquire and have all rights and remedies allowed by law on behalf of the remaining members against the estate or funds of the insolvent insurer for funds due the association. (4) The State is not responsible for any costs, expenses, liabilities, judgments, or other obligations of the association. Effect of Amendment 2019 Act No. 67, SECTION 1, rewrote (1) and (2), and made a nonsubstantive change in (3).
S.C. Code Ann. § 38-29-100 — SC Code / Title 38 / Chapter 29 / Section 38-29-100
SECTION 38-29-100. Duties and powers of director; suspension or revocation of certificate of authority; appeals from board of directors; notice to interested persons of effect of chapter.
Status: in_force

In addition to the duties and powers enumerated elsewhere in this chapter: (1) The director or his designee: (a) shall notify the board of directors of the existence of an impaired insurer no later than three days after a determination of impairment is made or he receives notice of impairment; (b) shall, upon request of the board of directors, provide the association with a statement of the premiums written in this State and any other appropriate state for each member insurer; (c) shall, when an impairment is declared and the amount of the impairment is determined, serve a demand upon the impaired insurer to make good the impairment within a reasonable time. Notice to the impaired insurer constitutes notice to its shareholders, if any. The failure of the insurer to comply promptly with the demand does not excuse the association from the performance of its powers and duties under this chapter. (2) The director or his designee may suspend or revoke, after notice and hearing, the certificate of authority to transact insurance in this State of any member insurer which fails to pay an assessment when due or fails to comply with the plan of operation. As an alternative, the director or his designee may levy a forfeiture on a member insurer that fails to pay an assessment when due. The forfeiture may not exceed five percent of the unpaid assessment per month but may not be less than one hundred dollars a month. (3) A final action of the board of directors or the association may be appealed to the director as provided by law by any member insurer if the appeal is taken within sixty days of receipt of notice of the final action being appealed. A final action or order of the director is subject to judicial review in a court of competent jurisdiction in accordance with the laws of this State. (4) The liquidator, rehabilitator, or conservator of an impaired or insolvent insurer may notify all interested persons of the effect of this chapter. Editor's Note 2020 Act No. 121, SECTION 1.B, provides as follows: "[1.]B. The amendments made by this act do not apply to a member insurer that has been placed under an order of rehabilitation or liquidation before July 1, 2020." Effect of Amendment 2020 Act No. 121, SECTION 1.A, rewrote the section.
S.C. Code Ann. § 38-19-1170 — SC Code / Title 38 / Chapter 19 / Article 13 / Section 38-19-1170
SECTION 38-19-1170. Membership interest as security; transfer of interest.
Status: in_force

A membership interest in a mutual insurance holding company does not constitute a security under the laws of the State of South Carolina. A membership interest in a mutual insurance holding company may not be transferred from the member to another person or entity.
S.C. Code Ann. § 38-75-1110 — SC Code / Title 38 / Chapter 75 / Article 13 / Section 38-75-1110
SECTION 38-75-1110. Purpose.
Status: in_force

(A) The purposes of this article are to: (1) promote the public welfare by regulating insurance rates to the end that they may not be excessive, inadequate, or unfairly discriminatory and to authorize and regulate cooperative action among insurers in ratemaking and in other matters within the scope of this chapter; and (2) empower the director or his designee to review and evaluate natural hazard catastrophe models that are used in rate filings. (B) Nothing in this chapter is intended to prohibit or discourage reasonable competition.
S.C. Code Ann. § 38-75-450 — SC Code / Title 38 / Chapter 75 / Article 5 / Section 38-75-450
SECTION 38-75-450. Regulations.
Status: in_force

The department has authority to make reasonable regulations, not inconsistent with law, to enforce, carry out, and make effective the provisions of this article after notice and hearing before the Administrative Law Court.
S.C. Code Ann. § 38-21-260 — SC Code / Title 38 / Chapter 21 / Section 38-21-260
SECTION 38-21-260. Determining adequacy of insurer's surplus.
Status: in_force

For purposes of this chapter, in determining whether an insurer's surplus as regards policyholders is reasonable in relation to the insurer's outstanding liabilities and adequate to its financial needs, the following factors, among others, are considered: (1) the size of the insurer as measured by its assets, capital and surplus, reserves, premium writings, insurance in force, and other appropriate criteria; (2) the extent to which the insurer's business is diversified among the several lines of insurance; (3) the number and size of risks insured in each line of business; (4) the extent of the geographical dispersion of the insured risks; (5) the nature and extent of the reinsurance program; (6) the quality, diversification, and liquidity of the investment portfolio; (7) the recent past and projected future trend in the size of the insurer's investment portfolio; (8) the surplus as regards policyholders maintained by other comparable insurers; (9) the adequacy of the reserves; (10) the source of the insurer's earnings and the extent to which the reported earnings include extraordinary items, such as surplus relief reinsurance transactions and reserve destrengthening; and (11) The quality and liquidity of investments in affiliates. The director or his designee may treat any such investment as a disallowed asset for purposes of determining the adequacy of surplus as regards policyholders whenever in his judgment the investment so warrants.
S.C. Code Ann. § 38-75-1010 — SC Code / Title 38 / Chapter 75 / Article 11 / Section 38-75-1010
SECTION 38-75-1010. Title insurers; issuance of closing or settlement insurance; indemnity; premiums.
Status: in_force

(A) Notwithstanding Section 38-5-30, a title insurer may issue closing or settlement protection to a person who is a party to a transaction in which a title insurance policy will be issued, but may not provide any other coverage that purports to indemnify against improper acts or omissions of a person with regard to settlement or closing services. (B) Closing or settlement protection may indemnify a person only against loss of closing or settlement funds because of one of the following acts of a settlement agent under the terms and conditions of the closing or settlement protection: (1) theft or misappropriation of settlement funds in connection with a transaction in which a title insurance policy will be issued by or on behalf of the title insurer issuing the closing or settlement protection, but only to the extent that the theft relates to the status of the title to that interest in land or to the validity, enforceability, and priority of the lien of the mortgage on that interest in land; or (2) failure to comply with the written closing instructions when agreed to by the settlement agent, title agent, or employee of the title insurer, but only to the extent that the failure to follow the instructions relates to the status of the title to that interest in land or the validity, enforceability, and priority of the lien of the mortgage on that interest in land. (C) A premium charged by a title insurer for each party receiving closing or settlement protection must be submitted to and approved by the department in accordance with this article and must not be subject to any agreement requiring a division of fees or premiums collected on behalf of the title insurer.
S.C. Code Ann. § 38-53-210 — SC Code / Title 38 / Chapter 53 / Section 38-53-210
SECTION 38-53-210. Insurers shall supply list of surety bondsmen; termination of appointment.
Status: in_force

Each insurer appointing surety bondsmen, shall, prior to July first of each year, furnish the clerk of court a list of all surety bondsmen appointed by the insurer to write bail bonds on its behalf. Each insurer who subsequently appoints a surety bondsman in the State shall give notice of the appointment to the director or his designee and clerk of court of any county where the bondsman is doing business. All appointments are subject to the issuance of the proper insurance agent's license to the appointee. An insurer terminating the appointment of a surety bondsman shall file written notice of the termination with the department, together with a statement that it has given or mailed notice to the surety bondsman and to the clerks of the circuit courts of the counties in the State where the insurer has been obligated on bail bonds through the agent within the past three years. Notice filed with the department shall state the reasons, if any, for termination. Information so furnished the director or his designee is privileged and may not be used as evidence in, or as the basis for, any action against the insurer or any of its representatives. All bonds written by a surety bondsman shall have attached the individual power of attorney in the amount of the bond.
S.C. Code Ann. § 38-71-190 — SC Code / Title 38 / Chapter 71 / Article 1 / Section 38-71-190
SECTION 38-71-190. Subrogation of insurer to insured's rights against third party.
Status: in_force

Any policy or contract of accident and health insurance issued in this State may include provision for subrogation by the insurer to the insured's right of recovery against a liable third party for not more than the amount of insurance benefits that the insurer has paid previously in relation to the insured's injury by the liable third party. If the director or his designee, upon being petitioned by the insured, determines that the exercise of subrogation by an insurer is inequitable and commits an injustice to the insured, subrogation is not allowed. Attorneys' fees and costs must be paid by the insurer from the amounts recovered. This determination by the director or his designee may be appealed to the Administrative Law Court as provided by law in accordance with Section 38-3-210.
S.C. Code Ann. § 38-72-78 — SC Code / Title 38 / Chapter 72 / Section 38-72-78
SECTION 38-72-78. Required notice for proposed premium rate increases.
Status: in_force

(A) An insurer must notify a policyholder of a long-term care insurance policy issued in accordance with this chapter of a proposed premium rate increase that affects policyholders no later than thirty days after the filing by the insurer of the premium rate increase with the Department of Insurance. An insurer must provide written notice by first class mail to the last known mailing address of all affected individual and group policyholders and others who are directly billed for group coverage. The notice must: (1) show the proposed rate; (2) state that the rate is subject to regulatory approval; (3) direct policyholders to present their concerns or objections to the Department of Insurance; and (4) include contact information for the Department of Insurance. (B) An increase in premium rate may not be implemented until approved by the Department of Insurance pursuant to Section 38-72-75 or until the effective date of the premium rate increase, whichever is later.
S.C. Code Ann. § 38-63-590 — SC Code / Title 38 / Chapter 63 / Article 5 / Section 38-63-590
SECTION 38-63-590. Basis for calculation of adjusted premiums and present values of ordinary policies.
Status: in_force

This section does not apply to ordinary policies issued on or after the operative date of Section 38-63-600 as defined therein. In case of ordinary policies, all adjusted premiums and present values referred to in this article must be calculated on the basis of the Commissioners' 1958 Standard Ordinary Mortality Table and the rate of interest specified in the policy for calculating cash surrender values and paid-up nonforfeiture benefits so long as the rate of interest does not exceed three and one-half percent per annum, except that a rate of interest not exceeding four percent per annum may be used for policies issued on or after January 3, 1976, and prior to January 1, 1979, and a rate of interest not exceeding five and one-half percent per annum may be used for policies issued on or after January 1, 1979, except that for any single premium whole life or endowment insurance policy a rate of interest not exceeding six and one-half percent per annum may be used, and, for any category of ordinary insurance issued on female risks, adjusted premiums and present values may be calculated according to an age not more than six years younger than the actual age of the insured. In calculating the present value of any paid-up term insurance with accompanying pure endowment, if any, offered as a nonforfeiture benefit, the rates of mortality assumed may be not more than those shown in the Commissioners' 1958 Extended Term Insurance Table, and, for insurance issued on a substandard basis, the calculation of the adjusted premiums and present values may be based on any other table of mortality as may be specified by the insurer and approved by the director or his designee.
S.C. Code Ann. § 38-15-90 — SC Code / Title 38 / Chapter 15 / Section 38-15-90
SECTION 38-15-90. Approval of public officer's books and accounts does not release his surety; remedy in case of default.
Status: in_force

No insurer is relieved of its liability upon any bond of a city, county, or state officer because the books and accounts of the principal have been examined and approved as correct by the proper authorities when in fact there has been a breach of the bond of the officer and a loss accruing from this breach. In case of default upon the bond, the city, county, or state authorities have all the remedies against the principal and sureties upon the bonds as are provided by law.
S.C. Code Ann. § 38-55-710 — SC Code / Title 38 / Chapter 55 / Article 7 / Section 38-55-710
SECTION 38-55-710. Definitions.
Status: in_force

As used in this article: (1) "Delivered by electronic means" includes: (a) delivery to an electronic mail address at which a party has consented to receive notices or documents; or (b) placement on an electronic network or site accessible by means of the Internet, mobile application, computer, mobile device, tablet, or another electronic device, together with separate written notice of the placement that must be provided by electronic mail to the address at which the party has consented to receive notice or by another delivery method that has been consented to by the party. (2) "Party" means a recipient of a notice or document required as part of an insurance transaction, including, but not limited to, an applicant, an insured, a policyholder, or an annuity contract holder.
S.C. Code Ann. § 38-2-10 — SC Code / Title 38 / Chapter 2 / Section 38-2-10
SECTION 38-2-10. Administrative penalties.
Status: in_force

(A) Unless otherwise specifically provided by law, the following administrative penalties apply for each violation of the insurance laws of this State or federal insurance laws subject to enforcement by the Department of Insurance: (1) If the violator is an insurer, pharmacy benefits manager, or a health maintenance organization licensed in this State, the director or his designee shall fine the violator in an amount not to exceed fifteen thousand dollars, suspend or revoke the violator's authority to do business in this State, or both. If the violation is wilful, the director or his designee shall fine the violator in an amount not to exceed thirty thousand dollars, suspend or revoke the violator's authority to do business in this State, or both. (2) If the violator is a person, other than an insurer, pharmacy benefits manager, or a health maintenance organization, licensed by the director or his designee in this State, the director or his designee shall fine the person in an amount not to exceed two thousand five hundred dollars, suspend or revoke the license of the person, or both. If the violation is wilful, the director or his designee shall fine the person in an amount not to exceed five thousand dollars, suspend or revoke the license of the person, or both. (B) The penalties in subsection (A) are in addition to any criminal penalties provided by law or any other remedies provided by law. The administrative proceedings in subsection (A) do not preclude civil or criminal proceedings from taking place before, during, or after the administrative proceeding. Effect of Amendment 2018 Act No. 219, SECTION 1, inserted the (A) and (B) designators; in (A), inserted "or federal insurance laws subject to enforcement by the Department of Insurance" following "laws of this State", in (1), deleted "(a)" preceding "fine the violator" in two places and deleted "or (b)" preceding "suspend or revoke" in two places, and in (2), deleted "(a)" preceding "fine the person" in two places and deleted "or (b)" preceding "suspend or revoke" in two places; and in (B), substituted "subsection (A)" for "items (1) and (2)" in two places. 2019 Act No. 48, SECTION 2, in (A), in (1) and (2), in the first sentences, inserted ", pharmacy benefits manager,".
S.C. Code Ann. § 38-71-1730 — SC Code / Title 38 / Chapter 71 / Article 17 / Section 38-71-1730
SECTION 38-71-1730. Employers offering closed panel health plans; employee options and payments; use of provider who has discontinued participation in plan; exclusion of certain providers; services of pharmacists and advanced practice nurses; effect of this article on other plans and coverages.
Status: in_force

(A) For purposes of health plans offered pursuant to this section: (1) An employer may require an employee who chooses a point-of-service option to be responsible for payment of premiums, deductibles, copayments, or other payments in excess of the benefits provided by the closed panel health plan. (2) Differences between coinsurance percentages for in-network and out-of-network covered health care services or supplies in a point-of-service option may not exceed a maximum differential of thirty percent. The coinsurance percentage for in-network and out-of-network covered health care services or supplies provided by dentists may not exceed a maximum difference of five percent. (3) An employee, a spouse, or a dependent receiving treatment for an illness covered under a closed panel health plan may continue to receive services from a provider who elects to discontinue participation as a closed panel plan provider, subject to the terms of the contract between the provider and the health plan. This right of continuation is limited to a period of ninety days or the anniversary date of the plan, whichever occurs first. (4) A point-of-service option or closed panel health plan may not discriminate against a physician, a podiatrist, an optometrist, an oral surgeon, or a chiropractor by excluding the provider from participating in the plan on the basis of the profession. A health care plan may not exclude these providers from providing health care services which they are licensed to provide and which are covered by the plan and as determined by medical necessity under utilization review guidelines. Nothing in this section interferes in any way with the medical decision of the primary health care provider to use or not use any health care professional on a case-by-case basis. (5) A pharmacist may provide professional services under the pharmacist's scope of practice so long as the services are provided pursuant to a prescription written by a medical doctor or dentist with whom the patient has an established physician-patient relationship. Nothing in this subsection requires a managed care plan to provide reimbursement to a pharmacist. An advanced practice nurse functioning as authorized by the State Board of Nursing Regulation 91-6 may provide professional services under the advanced practice nurse's scope of practice so long as the services provided are pursuant to protocols by a medical doctor with whom the patient has an established physician-patient relationship. A point-of-service option offered pursuant to this section may not discriminate against an advanced practice nurse. Nothing in this subsection requires a managed care plan to provide reimbursement to an advanced practice nurse. (6) Nothing contained in this article affects in any way a plan exempted by the federal Employee Retirement Income Security Act of 1974 or any South Carolina law in existence before January 1, 1999, and state employee health insurance programs or any political subdivision self-funded health insurance program; and this article does not affect the right of an employer to specify plan design or affect the right of a plan to credential or re-credential a provider. Nothing contained in this article affects accident-only, blanket accident and sickness, specified disease, credit, Medicare supplement, long-term care, or disability income insurance, coverage issued as a supplement to liability or other insurance coverage designed solely to provide payments on a per diem, fixed-indemnity, or nonexpense incurred basis, coverage for Medicare or Medicaid services pursuant to a contract with state or federal government, worker's compensation or similar insurance, or automobile medical payment insurance. (B) This section applies only to employers who employ more than fifty eligible employees and who offer as major medical, hospitalization, and surgical health insurance coverage, only a closed panel health plan.
S.C. Code Ann. § 38-73-240 — SC Code / Title 38 / Chapter 73 / Article 2 / Section 38-73-240
SECTION 38-73-240. Rate filings where line declared competitive; Consumer Advocate review of certain filings.
Status: in_force

(A) In a line of insurance declared competitive, each insurer shall file with the director all rates, supplementary rate information, and supporting information for competitive markets at least thirty days before the proposed effective date. The director or his designee may give written notice, within thirty days of the receipt of the filing, that additional time is needed, not to exceed thirty days from the date of the notice, to consider the filing. Upon written application of the insurer, the director or his designee may authorize rates to be effective before the expiration of the waiting period or an extension of it. A filing is considered to meet the requirements of this chapter and to become effective unless disapproved pursuant to this section by the director or his designee before the expiration of the waiting period or an extension of it. Residual market mechanisms or advisory organizations may file residual market rates. (B) The filing is considered in compliance with the filing provisions of this section unless the director or his designee informs the insurer within ten days after receipt of the filing as to what supplementary rate information or supporting information is required to complete the filing. (C) An insurer may file its rates by either filing its final rates or by filing a multiplier and, if applicable, an expense-constant adjustment to be applied to prospective loss costs that have been filed by a rating organization on behalf of the insurer as permitted by this chapter. (D) All rates, supplementary rate information, and any supporting information filed pursuant to this chapter is open to public inspection after the filing becomes effective. (E) With respect to applications for rate increases for fire, allied lines, and homeowner's insurance that exceed the seven percent cap as provided for in Section 38-73-260(A) and if an applicant insurer had earned premiums in this State in the previous calendar year of more than ten million dollars for the line or type of insurance for which the rate increase is sought, the director or his designee shall provide a copy of the filing to the Consumer Advocate or, in the alternative, shall direct the insurer to provide a copy simultaneously to the Consumer Advocate. Within ten business days of the receipt of the filing, the Consumer Advocate may request from the insurer additional information. A copy of the request must be served on the director or his designee. Within ten business days of the receipt of the information sought, the Consumer Advocate shall inform the insurer and the director if, in his opinion, the filing is not in compliance with this chapter and specify in detail the reason for his opinion. If the filing is accepted by the director and becomes effective, the Consumer Advocate, upon good cause shown, may request a hearing before the Administrative Law Court. An order of the administrative law judge issued pursuant to the provisions of this section is on a prospective basis only and does not affect any contract issued or made before the effective date of the order. Effect of Amendment 2022 Act No. 195, SECTION 8, in (C), substituted "a rating organization" for "an advisory organization".
S.C. Code Ann. § 38-73-1280 — SC Code / Title 38 / Chapter 73 / Article 11 / Section 38-73-1280
SECTION 38-73-1280. Rules may not regulate certain payments.
Status: in_force

No rating organization may adopt any rule the effect of which would be to prohibit or regulate the payment of dividends, savings, or unabsorbed premium deposits allowed or returned by insurers to their policyholders, members, or subscribers.
S.C. Code Ann. § 38-77-220 — SC Code / Title 38 / Chapter 77 / Article 3 / Section 38-77-220
SECTION 38-77-220. Additional liability which automobile insurance policy need not cover.
Status: in_force

The automobile policy need not insure any liability under the Workers' Compensation Law nor any liability on account of bodily injury to an employee of the insured while engaged in the employment, other than domestic, of the insured, or while engaged in the operation, maintenance, or repair of the motor vehicle nor any liability for damage to property owned by, rented to, in charge of, or transported by the insured.
S.C. Code Ann. § 38-101-120 — SC Code / Title 38 / Chapter 101 / Section 38-101-120
SECTION 38-101-120. Written notice of cancellation or nonrenewal; requirements.
Status: in_force

(A) The insurer must give written notice ten days before cancellation due to nonpayment of premium or forty-five days before cancellation for a reason other than nonpayment of premium or nonrenewal of private flood insurance coverage to: (1) the insured; and (2) the federally supervised institution that made the designated loan secured by the property covered by the private flood insurance, or the servicer acting on its behalf, if any. (B) The notice must: (1) be filed with the director, or his designee, subject to the "use and file" requirements as set forth in Section 38-101-60; (2) state the date no less than ten days before cancellation due to nonpayment of premium or forty-five days for any cancellation for a reason other than nonpayment of premium or nonrenewal; and (3) inform the insured of its right to request a review by the South Carolina Department of Insurance. (C)(1) An insurer may cancel or refuse to issue or renew a private flood insurance policy, except for the reasons set forth below: (a) age; (b) sex; (c) race; (d) color; (e) creed; (f) national origin; (g) ancestry; (h) marital status; (i) income level; or (j) lawful occupation, including the military service of the person seeking the coverage. (2) Nothing in this section prohibits an insurer from limiting the issuance of private flood insurance policies covered in this chapter only to persons engaging in or who have engaged in a particular profession or occupation, or who are members of a particular religious sect. (3) Nothing in this section prohibits an insurer from refusing to issue private flood insurance policies due to the exposure of flood. (4) Notwithstanding the provisions of item (1), an insurer only may cancel a standard flood insurance policy in accordance with 42 U.S.C. Section 4012a(b). Editor's Note 2020 Act No. 166, SECTION 3, provides as follows: "SECTION 3. This act becomes effective sixty days following approval by the Governor. Insurers that are writing private flood insurance at the time of enactment have an additional one hundred twenty days to come into compliance with the requirements of this act." Effect of Amendment 2022 Act No. 195, SECTION 15, rewrote (A); and in (B), in (1), made nonsubstantive changes, and in (2), substituted "ten days before cancellation due to nonpayment of premium or forty-five days for any cancellation for a reason other than nonpayment of premium" for "forty-five days for any cancellation".
S.C. Code Ann. § 38-46-70 — SC Code / Title 38 / Chapter 46 / Section 38-46-70
SECTION 38-46-70. Transactions between reinsurance intermediary-manager and reinsurer it represents regulated; written contract required; approval by reinsurer's directors and by director; terms contract must include.
Status: in_force

Transactions between a reinsurance intermediary-manager and the reinsurer it represents in that capacity only may be entered into pursuant to a written contract specifying the responsibilities of each party, which must be approved by the reinsurer's board of directors. No contract by which a reinsurer assumes or cedes business through a reinsurance intermediary-manager may be entered into unless the insurer has notified the department in writing at least thirty days in advance of its intention to enter into the contract, has furnished a true copy of the contract to the director or his designee, and the director or his designee has not disapproved it within the thirty days. The contract, at a minimum, must provide: (1) The reinsurer may terminate the contract for cause upon written notice to the reinsurance-intermediary manager. The reinsurer immediately may suspend the authority of the reinsurance intermediary-manager to assume or cede business during the pendency of a dispute regarding the cause for termination. (2) The reinsurance intermediary-manager shall render accounts to the reinsurer accurately detailing all material transactions, including information necessary to support all commissions, charges, and other fees received by or owing to the reinsurance intermediary-manager and remit all funds due under the contract to the reinsurer within thirty days. (3) All funds collected for the reinsurer's account must be held by the reinsurance intermediary-manager in a fiduciary capacity in a bank which is a qualified United States financial institution. The reinsurance intermediary-manager may retain no more than ninety days estimated claims payments and allocated loss adjustment expenses. The reinsurance intermediary-manager shall maintain a separate bank account for each reinsurer that it represents. (4) For at least ten years after expiration of each contract of reinsurance transacted by the reinsurance intermediary-manager, he shall keep a complete record for each transaction showing: (a) the type of contract, limits, underwriting restrictions, classes or risks, and territory; (b) the period of coverage, including effective and expiration dates, cancellation provisions, notice required of cancellation, and disposition of outstanding reserves on covered risks; (c) reporting and settlement requirements of balances; (d) the rate used to compute the reinsurance premium; (e) the names and addresses of reinsurers; (f) the rates of all reinsurance commissions, including the commissions on retrocessions handled by the reinsurance intermediary-manager; (g) related correspondence and memoranda; (h) proof of placement; (i) the details regarding retrocessions handled by the reinsurance intermediary-manager, as permitted by Section 38-46-90(D), including the identity of retrocessionaires and percentage of each contract assumed or ceded; (j) financial records, including, but not limited to, premium and loss accounts; (k) when the reinsurance intermediary-manager places a reinsurance contract on behalf of a ceding insurer: (i) directly from an assuming reinsurer, written evidence that the assuming reinsurer has agreed to assume the risk; or (ii) if placed through a representative of the assuming reinsurer other than an employee, written evidence that the reinsurer has delegated binding authority to the representative. (5) The reinsurer must have access and the right to copy all accounts and records maintained by the reinsurance intermediary-manager related to its business in a form usable by the reinsurer. (6) The contract must not be assigned in whole or in part by the reinsurance intermediary-manager. (7) The reinsurance intermediary-manager shall comply with the written underwriting and rating standards established by the insurer for the acceptance, rejection, or cession of all risks. (8) The rates, terms, and purposes of commissions, charges, and other fees which the reinsurance intermediary-manager may levy against the reinsurer must be set forth. (9) If the contract permits the reinsurance intermediary-manager to settle claims on behalf of the reinsurer: (a) All claims must be reported to the reinsurer in a timely manner. (b) A copy of the claim file must be sent to the reinsurer at its request or as soon as it becomes known that the claim: (i) has the potential to exceed fifty thousand dollars or the limit set by the reinsurer, whichever is less; (ii) involves a coverage dispute; (iii) may exceed the reinsurance intermediary-manager's claims settlement authority; (iv) is open for more than six months; or (v) is closed by payment of fifty thousand dollars or an amount set by the reinsurer, whichever is less; (c) All claim files must be the joint property of the reinsurer and reinsurance intermediary-manager. However, upon an order of liquidation of the reinsurer the files become the sole property of the reinsurer or its estate. The reinsurance intermediary-manager must have reasonable access to and the right to copy the files on a timely basis. (d) Settlement authority granted to the reinsurance intermediary-manager may be terminated for cause upon the reinsurer's written notice to the reinsurance intermediary-manager or upon the termination of the contract. The reinsurer may suspend the settlement authority during the pendency of the dispute regarding the cause of termination. (10) If the contract provides for a sharing of interim profits by the reinsurance intermediary-manager, interim profits must not be paid until one year after the end of each underwriting period for property business and five years after the end of each underwriting period for casualty business, or a later period set by the director or his designee for specified lines of insurance, and not until the adequacy of reserves on remaining claims has been verified pursuant to Section 38-46-90(C). (11) The reinsurance intermediary-manager annually shall provide the reinsurer with a statement of its financial condition prepared by an independent certified accountant. (12) The reinsurer at least semi-annually shall conduct an on-site review of the underwriting and claims processing operations of the reinsurance intermediary-manager. (13) The reinsurance intermediary-manager shall disclose to the reinsurer relationships it has with an insurer before ceding or assuming business with the insurer pursuant to this contract. (14) Within the scope of its actual or apparent authority the acts of the reinsurance intermediary-manager are considered to be the acts of the reinsurer on whose behalf it is acting.
S.C. Code Ann. § 38-14-110 — SC Code / Title 38 / Chapter 14 / Section 38-14-110
SECTION 38-14-110. Records and filing requirements.
Status: in_force

(A) The records of the SPRV must be maintained in this State and must be available for examination by the director, or his designee, at any time. No later than five months after the fiscal year end of the SPRV, the SPRV must file with the director, or his designee, an audit by a certified public accounting firm of the financial statements of the SPRV and the trust accounts. (B) Each SPRV organized under this chapter must file with the director, or his designee, by March first a statement of operations, to include a statement of income, a balance sheet, and a detailed listing of invested assets, including identification of assets held in trust to secure the SPRV's obligations under the SPRV contract, for the year ending the prior December thirty-first. The statements must be prepared in accordance with Section 38-13-80 on forms required by the director, or his designee. (C) The SPRV must keep its books and records in such manner that its financial condition, affairs, and operations can be ascertained and so that its financial statements filed with the director, or his designee, can be readily verified and its compliance with the provisions of this chapter determined. The books or records may be photographed, reproduced on film, or stored and reproduced electronically. (D) All original books, records, documents, accounts, and vouchers must be preserved and kept available in this State for the purpose of examination and until authority to destroy or otherwise dispose of the records is secured from the director, or his designee. The original records, however, may be kept and maintained outside this State if, according to a plan adopted by the SPRV's board of directors and approved by the director, or his designee, it maintains suitable records in lieu of it.
S.C. Code Ann. § 38-55-173 — SC Code / Title 38 / Chapter 55 / Article 1 / Section 38-55-173
SECTION 38-55-173. Unlawful vehicle glass repair business practices; penalties.
Status: in_force

(A) A person who is acting on behalf of or engaged in a vehicle glass repair business is guilty of a misdemeanor if the person offers or makes a payment or transfer of money or other consideration to: (1) a third person for the third person's referral of an insurance claimant to the vehicle glass repair business for the repair or replacement of vehicle safety glass; (2) an insurance claimant in connection with the repair or replacement of vehicle safety glass; or (3) waive, rebate, give, or pay all or part of an insurance claimant's casualty or property insurance deductible as consideration for selecting the vehicle glass repair business. (B) If the amount of the payment or transfer of subsection (A) has a value of: (1) one thousand dollars or more, the person, upon conviction, must be fined in the discretion of the court or imprisoned for not more than three years, or both, per violation; or (2) less than one thousand dollars, the person, upon conviction, must be fined not more than five hundred dollars or imprisoned for not more than thirty days, or both, per violation.
S.C. Code Ann. § 38-71-980 — SC Code / Title 38 / Chapter 71 / Article 5 / Section 38-71-980
SECTION 38-71-980. Suspension of premium rate restrictions upon request of certain insurers.
Status: in_force

The director or his designee may suspend all or any part of Section 38-71-940 as to the premium rates applicable to one or more small employers for one or more rating periods upon a filing by the small employer insurer and a finding by the director or his designee that either the suspension is reasonable in light of the financial condition of the insurer or that the suspension would enhance the efficiency and fairness of the marketplace for small employer health insurance.
S.C. Code Ann. § 38-53-20 — SC Code / Title 38 / Chapter 53 / Section 38-53-20
SECTION 38-53-20. Enforcement of chapter.
Status: in_force

The director or his designee, clerks of court, and the State Law Enforcement Division have full power and authority to administer the provisions of this chapter for which they are charged with implementing. The director shall promulgate regulations to enforce the purposes and provisions of this chapter. The director may hire employees, examiners, investigators, and other assistants as he considers necessary and shall prescribe their duties.
S.C. Code Ann. § 38-3-440 — SC Code / Title 38 / Chapter 3 / Article 3 / Section 38-3-440
SECTION 38-3-440. Promulgation of regulations to implement article.
Status: in_force

The department may promulgate the regulations pursuant to the South Carolina Administrative Procedures Act, Chapter 23 of Title 1, necessary to implement the provisions of this article.
S.C. Code Ann. § 38-31-130 — SC Code / Title 38 / Chapter 31 / Section 38-31-130
SECTION 38-31-130. Exemption of Association from fees and taxes.
Status: in_force

The association is exempt from payment of all fees and all taxes levied by this State or any of its political subdivisions, except taxes levied on real or personal property.
S.C. Code Ann. § 38-19-1180 — SC Code / Title 38 / Chapter 19 / Article 13 / Section 38-19-1180
SECTION 38-19-1180. Dividends and distributions; effect of adoption or implementation of plan of reorganization.
Status: in_force

A mutual insurance holding company shall not be authorized to pay dividends or make distributions except as may be expressly approved by the Director of the Department of Insurance. Neither the adoption nor the implementation of a plan of reorganization shall be considered to give rise to an obligation on behalf of a mutual insurance holding company to make a distribution or payment to a member or policyholder, or to another person, board, or entity of any nature whatsoever, in connection with the ownership, control, benefits, policies, purpose, or nature of the mutual insurance company, or otherwise.