reglab/statecodes huggingface dataset:
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-270. Gathering of data.

The director or his designee shall obtain complete statistical data in respect to legal professional liability losses and reparation costs as well as all other costs or expenses which underlie or are related to legal professional liability insurance. The department 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 legal professional liability. The director or his designee may require from any person obtaining insurance through the association loss, claim, or expense data. This information or data is confidential and the attorney-client privilege must be preserved.
HISTORY: 1988 Act No. 360, Section 7; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-280. Structuring rates.

In structuring rates for legal professional liability insurance and determining the profit or loss of the association in respect to such insurance, consideration must be given by the director or his designee to all investment income.
HISTORY: 1988 Act No. 360, Section 8; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-290. Filing of forms.

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 legal 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.
HISTORY: 1988 Act No. 360, Section 9; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-300. Specification of coverage basis.

(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.
HISTORY: 1988 Act No. 360, Section 10; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-320. Recoupment of deficits.

Any deficit sustained by the association in any year must be recouped, pursuant to the plan of operation and the rating plan then in effect, by one or both of the following procedures:
(1) an assessment upon the policyholders, which may not exceed one additional annual premium at the then current rate;
(2) a rate increase applicable prospectively.
HISTORY: 1988 Act No. 360, Section 12; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-330. Change in premium rates after initial year of operation.

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 38-81-320, all members, on a temporary basis, shall contribute to the financial requirements of the association in the manner provided for in Section 38-81-340. Any such contribution must be reimbursed to the members following recoupment as provided in Section 38-81-320.
HISTORY: 1988 Act No. 360, Section 13; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-340. Participation of insurers.

All insurers which are members of the association shall participate in its writings, expenses, profits, and losses in the proportion that the net direct premiums of each member, excluding that portion of premiums attributable to the operation of the association, written during the preceding calendar year bear to the aggregate net direct premiums written in this State by all members of the association. Each insurer's participation in the association must be determined annually on the basis of the net direct premiums written during the preceding calendar year, as reported in the annual statements and other reports filed by the insurer with the department. The assessment of a member insurer, after hearing, may be ordered deferred in whole or in part upon application by the insurer if, in the opinion of the director or his designee, payment of the assessment may render the insurer insolvent or in danger of insolvency or otherwise may leave the insurer in a condition that further transaction of the insurer's business may be hazardous to its policyholders, creditors, members, subscribers, stockholders, or the public. If payment of an assessment against a member insurer is deferred by order of the director or his designee in whole or in part, the amount by which the assessment is deferred must be assessed against other member insurers in the same manner as provided in this section. In the order of deferral or in subsequent orders as may be necessary, the director or his designee shall prescribe a plan by which the assessment deferred must be repaid to the association by the impaired insurer with interest at the six-month treasury bill rate adjusted semiannually. Profits, dividends, or other funds of the association to which the insurer is otherwise entitled may not be distributed to the impaired insurer but must be applied toward repayment of any assessment until the obligation has been satisfied. The association shall distribute the repayments, including interest on them, to the other member insurers on the basis on which assessments were made.
HISTORY: 1988 Act No. 360, Section 14; 1989 Act No. 129, Section 2; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-350. Members bound by approved plan.

Every member of the association is bound by the approved plan of operation of the association and the rules of the board of directors of the association.
HISTORY: 1988 Act No. 360, Section 15; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-360. Continuation of obligations.

(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) 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 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.
HISTORY: 1988 Act No. 360, Section 16; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-370. Board of directors.

The association is governed by a board of seven directors, one of whom is appointed by the Governor to represent the general public and three of whom are members of the South Carolina Bar appointed by the Governor. Three directors are elected by cumulative voting by members of the association, whose votes in the election must be weighed in accordance with each member's net direct premiums written during the preceding calendar year. The approved plan of operation of the association may make provision for combining insurers under common ownership or management into groups or voting, assessment, and all other purposes and may provide that not more than one of the officers or employees of such a group may serve as a director at any one time. The insurer representatives of the board of directors must be elected at a meeting of the members or their authorized representatives, which must be held at a time and place designated by the board of directors. The board shall elect a chairman and other necessary officers.
HISTORY: 1988 Act No. 360, Section 17; 1993 Act No. 181, Section 832; 1998 Act No. 411, Section 8.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-380. Appeals.

Any applicant for insurance through the association, any person insured pursuant to this article, or his representative, or any insurer adversely affected, or claiming to be adversely affected, by any ruling, action, or decision by or on behalf of the association, may appeal to the director or his designee within thirty days after the ruling, action, or decision.
HISTORY: 1988 Act No. 360, Section 18; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-390. Annual statement.

The association shall file in the office of the department annually by March first a statement containing information with respect to its transactions, condition, operations, and affairs during the preceding year. The statement shall contain information prescribed by the director or his designee and must be in the form he directs.
The director or his designee, at any reasonable time, may require the association to furnish additional information concerning its transactions, condition, or any matter connected therewith considered to be material and of assistance in evaluating the scope, operations, and experience of the association.
HISTORY: 1988 Act No. 360, Section 19; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 81 - Legal Malpractice Insurance › Section 38-81-400. Examinations.

The director or his designee shall make an examination into the financial condition and affairs of the association at least annually and shall file a report thereon with the department, the Governor, and the General Assembly. The expenses of the examination must be paid by the association.
HISTORY: 1988 Act No. 360, Section 20; 1993 Act No. 181, Section 832.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-10. Definitions.

As used in this chapter:
(1) "Association" means any joint underwriting association established pursuant to this chapter.
(2) "Professional liability insurance" means insurance protection against the legal liability of the insured and against loss, damage, or expense incident to a claim arising out of service to or representation of any person as the result of negligence or malpractice in rendering or failing to render a professional service.
(3) "Net direct premiums" means gross direct premiums written on bodily injury liability insurance, other than automobile liability insurance, homeowners liability insurance, and farmowners liability insurance, including the liability component of multiple peril package policies, as computed by the director or his designee less return premiums or the unused or unabsorbed portions of premium deposits.
HISTORY: 1987 Act No. 62, Section 2; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-20. Joint Underwriting Association insurers.

(A) A joint underwriting association is created, consisting of all insurers authorized to write within this State, on a direct basis, bodily injury liability insurance, other than automobile bodily injury liability insurance, homeowners liability insurance, and farmowners liability insurance, including insurers covering such peril in multiple peril package policies. Every such insurer is and must remain a member of the association as a condition of its authority to continue to transact this kind of insurance in this State.
(B) The purpose of the association is to provide professional liability insurance on a self-supporting basis to the fullest extent possible.
(C) The association is activated when the department of Insurance finds and declares the existence of an emergency because of the unavailability of professional liability insurance or the unavailability of such insurance on a reasonable basis through normal channels.
HISTORY: 1987 Act No. 62, Section 3; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-30. Powers of association.

The association has the power on behalf of its members to:
(1) issue, or cause to be issued, policies of insurance to applicants including incidental coverages such as, but not limited to, premises or operations liability coverage on the premises where services are rendered, all subject to limits of liability as specified in the plan of operation but not to exceed five million dollars for all claimants under one policy in any one year;
(2) underwrite professional liability insurance and to adjust and pay losses with respect thereto or to appoint service companies to perform those functions;
(3) cede and assume reinsurance.
HISTORY: 1987 Act No. 62, Section 4; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-40. Creation of Joint Underwriters Association by professional association.

(A) Upon application by the members of a professional association seeking creation of a joint underwriting association, the Department of Insurance shall promulgate a plan of operation consistent with this chapter. The plan of operation is operative no later than thirty days after the declaration of an emergency by the Department of Insurance.
(B) The plan of operation shall provide for economic, fair, and nondiscriminatory administration and for the prompt and efficient provision of professional liability insurance and may contain other provisions including, but not limited to, preliminary assessment of all members for initial expenses necessary to commence operations, establishment of necessary facilities, management of the association, assessment of the members to defray losses and expenses, commission arrangements, reasonable and objective underwriting standards, acceptance and cession of reinsurance, appointment of servicing carriers, and procedures for determining amounts of insurance to be provided by the association.
(C) The plan of operation shall provide that any profit achieved by the association must be added to the reserves of the association or returned to the policyholders as a dividend but under no circumstances whatsoever shall any profit be paid over to or received by an insurer either in currency or any other benefit of any kind.
(D) Amendments to the plan of operation may be made by the directors of the association with the approval of the director or his designee or must be made at the direction of the director or his designee after proper notice and public hearing.
HISTORY: 1987 Act No. 62, Section 5; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-50. Coverage by the association.

Upon the activation of the plan of operation, any professional licensed in this State is entitled to apply to the association for coverage. The application shall 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 professional 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 chapter and to those provisions of Chapter 73, Title 38, Code of Laws of South Carolina, 1976, which are not inconsistent with this chapter.
HISTORY: 1987 Act No. 62, Section 6; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-60. Costs of professional liability insurance.

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.
HISTORY: 1987 Act No. 62, Section 7; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-70. Rates.

In structuring rates for professional liability insurance and determining the profit or loss of the association in respect to such insurance, consideration must be given by the director or his designee to all investment income so that investment income is a part of the rate-making and setting process.
HISTORY: 1987 Act No. 62, Section 8; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-80. Approval of initial filing of forms, classifications, rates, rating plans, and rating rules.

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.
HISTORY: 1987 Act No. 62, Section 9; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-90. Form of policy and rate structure.

(A) Policy forms and rate structure must be on an occurrence basis and coverage provided by the association only on that basis.
(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 shall 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 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.
HISTORY: 1987 Act No. 62, Section 10; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-100. Rate increase or assessment.

The association may provide a rate increase or assessment subject to the approval of the director or his designee.
HISTORY: 1987 Act No. 62, Section 11; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-110. Deficit sustained by the association.

Any deficit sustained by the association in any year must be recouped, pursuant to the plan of operation and the rating plan then in effect, by one or both of the following procedures:
(1) an assessment upon the policyholders, which may not exceed one additional annual premium at the then current rate;
(2) a rate increase applicable prospectively.
HISTORY: 1987 Act No. 62, Section 12; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-120. Basis for rate increase; contribution to financial requirements of the association.

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 38-83-110, all members, on a temporary basis, shall contribute to the financial requirements of the association in the manner provided for in Section 38-83-130. Any such contribution must be reimbursed to the members following recoupment as provided in Section 38-83-110.
HISTORY: 1987 Act No. 62, Section 13; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-130. Participation by insurers.

All insurers which are members of the association shall participate in its writings, expenses, and losses in the proportion that the net direct premiums of each member, excluding that portion of premiums attributable to the operation of the association, written during the preceding calendar year bear to the aggregate net direct premiums written in this State by all members of the association. Each insurer's participation in the association must be determined annually on the basis of the net direct premiums written during the preceding calendar year, as reported in the annual statements and other reports filed by the insurer with the Department of Insurance. The assessment of a member insurer, after hearing, may be ordered deferred in whole or in part upon application by the insurer if, in the opinion of the director or his designee, payment of the assessment may render the insurer insolvent or in danger of insolvency or otherwise may leave the insurer in a condition that further transaction of the insurer's business may be hazardous to its policyholders, creditors, members, subscribers, stockholders, or the public. If payment of an assessment against a member insurer is deferred by order of the director or his designee in whole or in part, the amount by which the assessment is deferred must be assessed against other member insurers in the same manner as provided in this section. In the order of deferral or in subsequent orders as may be necessary, the director or his designee shall prescribe a plan by which the assessment deferred must be repaid to the association by the impaired insurer with interest at the six-month treasury bill rate adjusted semiannually. Profits, dividends, or other funds of the association to which the insurer is otherwise entitled may not be distributed to the impaired insurer but must be applied toward repayment of any assessment until the obligation has been satisfied. The association shall distribute the repayments, including interest on them, to the other member insurers on the basis on which assessments were made.
HISTORY: 1987 Act No. 62, Section 14; 1989 Act No. 129, Section 3; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-140. Binding nature of plan of operation and rules of the board of directors.

Every member of the association is bound by the approved plan of operation of the association and the rules of the board of directors of the association.
HISTORY: 1987 Act No. 62, Section 15; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-150. Termination of insurer's obligation as member of the association; effect of merger or consolidation of insurers; insolvency of insurer.

(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) 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 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.
HISTORY: 1987 Act No. 62, Section 16; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-160. Board of directors for joint underwriting association.

Each joint underwriting association is governed by a board of seven directors, one of whom is appointed by the Governor to represent the general public and four of whom are appointed by the Governor and represent professionals covered under the association. Two directors are the Chairman of the Labor, Commerce and Industry Committee of the House of Representatives or his designee and the Chairman of the Banking and Insurance Committee of the Senate or his designee, both of whom shall serve ex officio. The approved plan of operation of the association may make provision for combining insurers under common ownership or management into groups for voting, assessment, and all other purposes and may provide that not more than one of the officers or employees of such a group may serve as a director at any one time. The Director of the Department of Insurance is chairman of the board of directors, ex officio, and he, or his designee, must preside at all meetings of the board but has no vote except in the case of a tie.
HISTORY: 1987 Act No. 62, Section 17; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-170. Appeal from ruling.

Any applicant for insurance through the association, any person insured pursuant to this chapter, or his representative, or any insurer adversely affected, or claiming to be adversely affected, by any ruling, action, or decision by or on behalf of the association, may appeal to the director or his designee within thirty days after the ruling, action, or decision.
HISTORY: 1987 Act No. 62, Section 18; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-180. Filing statements of transactions and other matters.

The association shall file in the office of the Department of Insurance annually by March first a statement containing information with respect to its transactions, condition, operations, and affairs during the preceding year. The statement shall contain information prescribed by the director or his designee and must be in the form he directs.
The director or his designee, at any reasonable time, may require the association to furnish additional information concerning its transactions, condition, or any matter connected therewith considered to be material and of assistance in evaluating the scope, operations, and experience of the association.
HISTORY: 1987 Act No. 62, Section 19; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 83 - Joint Underwriting Association For Writing Of Professional Liability Insurance › Section 38-83-190. Examination of finances.

The director or his designee shall make an examination into the financial condition and affairs of the association at least annually and shall file a report thereon with the Department of Insurance, the Governor, and the General Assembly. The expenses of the examination must be paid by the association.
HISTORY: 1987 Act No. 62, Section 20; 1993 Act No. 181, Section 833.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 85 - Consolidations And Mortgage Insurance › Section 38-85-10. Application of chapter.

This chapter applies to:
(1) all consolidations, whether the old coverage is provided under an individual or group policy;
(2) all mortgage insurance offered, issued, or delivered in this State, by mail or otherwise, in connection with consolidations.
HISTORY: 1988 Act No. 382, Section 2.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 85 - Consolidations And Mortgage Insurance › Section 38-85-20. Definitions.

In this chapter, unless the context clearly indicates otherwise:
(1) "Consolidation" means any transaction in which a financial institution makes its premium collection services available to its mortgage debtors in connection with a particular insurer's offer of mortgage insurance, which offer is made to debtors who, immediately prior to the offer, had mortgage insurance and were paying premiums for that insurance with their monthly mortgage payments.
(2) "Financial institution" or "servicer" means any entity or organization that services mortgage loans by collecting and accounting for monthly mortgage payments.
(3) "Loan transfer" means a transaction in which the servicing of a block of mortgage loans is transferred from one servicer to another.
(4) "Loan transfer consolidation" means a consolidation involving debtors whose mortgage loans have been transferred from one servicer to another.
(5) "Mortgage" or "mortgage loan" means an indebtedness which is secured by real estate and which is not subject to the South Carolina Consumer Protection Code (Title 37 of the 1976 Code).
(6) "Mortgage insurance" means life, accidental death, or disability insurance, or any combination of these, designed to pay off all or a part of the mortgage loan in the event of the insured's death or disability.
(7) "New coverage" or "new plan" means the mortgage insurance coverage or mortgage insurance plan sponsored by the financial institution in connection with a consolidation.
(8) "Old coverage" or "old plan" means the mortgage insurance coverage or mortgage insurance plan the insured debtor had or participated in immediately prior to the consolidation.
HISTORY: 1988 Act No. 382, Section 2.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 85 - Consolidations And Mortgage Insurance › Section 38-85-30. Requirements for insurer's participation in consolidation.

(A) No insurer may participate in any consolidation, other than a loan transfer consolidation, unless it complies with the following requirements:
(1) The offer of new coverage must be made to the mortgage debtors not less than thirty days prior to the proposed effective date of the new coverage.
(2) In conjunction with the offer of new coverage, the new insurer shall disclose in writing to each debtor the following:
(a) that the insured debtor may have the right to continue or convert his old coverage by paying premiums directly to the old insurer;
(b) that the offer of new coverage is not conditioned upon either the termination or replacement of the old coverage;
(c) the name and address of the old and the new insurer;
(d) the effective date of the new coverage;
(e) that the financial institution is the primary beneficiary of the new coverage;
(f) whether premium rates under the new plan are guaranteed;
(g) material differences between the new plan and the old plan;
(h) that payment of the required premium constitutes acceptance of the new coverage.
(B) An insurer which fails to comply with item (1) of subsection (A) of this section shall notify the debtor, in writing, that he has the right to an unconditional refund of all premiums paid for the new coverage as long as he exercises that right, in writing, within thirty days from the notification.
(C) Disclosures required under this section may be made on behalf of the new insurer by the financial institution.
HISTORY: 1988 Act No. 382, Section 2.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 85 - Consolidations And Mortgage Insurance › Section 38-85-40. Loan transfer consolidations.

The following provisions apply to loan transfer consolidations:
(1) An offer of new coverage must be made as soon as reasonably possible after the loan transfer. If an offer of new coverage is not made within thirty days after the loan transfer, or at least thirty days prior to the proposed effective date of the new coverage, the insurer shall notify the debtor, in writing, that he has the right to an unconditional refund of all premiums paid for the new coverage as long as he exercises that right, in writing, within thirty days from the date of the notification.
(2) In conjunction with the offer of new coverage, the new insurer shall disclose in writing to each debtor the following:
(a) that the insured debtor may have the right to continue or convert his old coverage by paying premiums directly to the old insurer;
(b) that the offer of new coverage is not conditioned upon either the termination or replacement of the old coverage;
(c) the name and address of the new insurer;
(d) the effective date of the new coverage;
(e) that the financial institution is the primary beneficiary of the new coverage;
(f) whether premium rates under the new plan are guaranteed;
(g) a description of the benefits provided under the new plan;
(h) that payment of the required premium constitutes acceptance of the new coverage.
(3) Disclosures required under this section may be made on behalf of the new insurer by the new servicer.
HISTORY: 1988 Act No. 382, Section 2.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 85 - Consolidations And Mortgage Insurance › Section 38-85-50. Additional requirements for insurer's participation in consolidations

No insurer may participate in any consolidation, including loan transfer consolidations, unless it complies with the following requirements:
(1) A group certificate must be delivered to each debtor insured under the new plan. The group certificate shall include the following information:
(a) the name or names of the single or joint insureds;
(b) identification of the insured mortgage;
(c) the amount of insurance under the new plan;
(d) the premium for the new coverage;
(e) the effective date of the new coverage;
(f) the beneficiary for the new coverage.
(2) A group certificate evidencing the new coverage may not include a contestability clause or, in the case of mortgage life insurance, a provision excluding suicide.
(3) The new coverage offered to the debtor must be the same type of coverage as the old coverage.
(4) Notwithstanding the provisions of Section 38-65-210, all group mortgage life insurance certificates shall include a conversion privilege permitting an insured debtor to convert, without evidence of insurability, to an individual policy of decreasing term insurance within thirty days of the date the insured debtor's group coverage is terminated for any reason other than the nonpayment of premiums. The initial amount of coverage under the individual policy must be an amount equal to the amount of coverage terminated under the group policy and must decrease over a term that corresponds with the scheduled term of the insured debtor's mortgage loan.
(5) Whenever the offer of coverage under the new plan is based on the same premium as charged under the old plan, all supplemental benefits provided by the old plan must be provided by the new plan.
HISTORY: 1988 Act No. 382, Section 2.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 85 - Consolidations And Mortgage Insurance › Section 38-85-60. Premiums.

If an insurer charges debtors the same premium for the new coverage that they were paying for the old coverage, and, as a result, insured debtors of a financial institution are charged different premium rates for the same coverage, the rate differences do not constitute unfair discrimination under Sections 38-55-50 and 38-57-120, so long as all the applicable requirements of this chapter are met.
HISTORY: 1988 Act No. 382, Section 2.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 85 - Consolidations And Mortgage Insurance › Section 38-85-70. Group policy or group certificate of mortgage insurance to be filed with and approved by director.

No group policy or group certificate of mortgage insurance used in connection with a consolidation, nor any application, endorsement, or rider which becomes a part of any such group policy or certificate, may be issued or delivered in this State until a copy of the form has been filed with and approved by the director or his designee.
HISTORY: 1988 Act No. 382, Section 2; 1993 Act No. 181, Section 834.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 87 - Regulation And Taxation Of Risk Retention Groups And Purchasing Groups › Section 38-87-10. Purpose.

The purpose of this chapter is to regulate the formation and operation of risk retention groups and purchasing groups in this State formed pursuant to the provisions of the Federal Liability Risk Retention Act of 1986 to the extent permitted by that law.
HISTORY: 1988 Act No. 355, Section 1.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 87 - Regulation And Taxation Of Risk Retention Groups And Purchasing Groups › Section 38-87-50. Participation by risk retention groups and purchasing groups in state insurance insolvency guaranty fund.

(A) No risk retention group is required or permitted to join or contribute financially to any insurance insolvency guaranty fund, or similar mechanism, in this State; nor may any risk retention group, or its insureds or claimants against its insureds, receive any benefit from any such fund for claims arising under the insurance policies issued by such risk retention group.
(B) When a purchasing group obtains insurance covering its members' risks from an approved surplus lines insurer not admitted in this State or a risk retention group, no such risks, wherever resident or located, may be covered by any insurance guaranty fund or similar mechanism in this State.
(C) When a purchasing group obtains insurance covering its members' risks from an authorized insurer, only risks resident or located in this State may be covered by the South Carolina Property and Casualty Insurance Guaranty Association created under Chapter 31 of this title.
(D) The director or his designee may require a risk retention group to participate in any mechanism established or authorized under the law of this State for the equitable apportionment among insurers of liability insurance losses and expenses incurred on policies written through such mechanism, and such risk retention group shall submit sufficient information to the department to enable him to apportion on a nondiscriminatory basis the risk retention group's proportionate share of such losses and expenses.
HISTORY: 1988 Act No. 355, Section 1; 1993 Act No. 181, Section 841.
2023 South Carolina Code of Laws › Title 38 - Insurance › Chapter 87 - Regulation And Taxation Of Risk Retention Groups And Purchasing Groups › Section 38-87-70. Purchasing group and insurer subject to all applicable state laws; exceptions.

A purchasing group, including its insurer or insurers, is subject to all applicable laws of this State, except that a purchasing group, including its insurer or insurers, is exempt, in regard to liability insurance for the purchasing group, from any law that would:
(1) prohibit the establishment of a purchasing group;
(2) make it unlawful for an insurer to provide or offer to provide insurance on a basis providing, to a purchasing group or its members, advantages based on their loss and expense experience not afforded to other persons with respect to rates, policy forms, coverages, or other matters;
(3) prohibit a purchasing group or its members from purchasing insurance on a group basis described in item (2) of this section;
(4) prohibit a purchasing group from obtaining insurance on a group basis because the group has not been in existence for a minimum period of time or because any member has not belonged to the group for a minimum period of time;
(5) require that a purchasing group must have a minimum number of members, common ownership or affiliation, or certain legal form;
(6) require that a certain percentage of a purchasing group must obtain insurance on a group basis;
(7) otherwise discriminate against a purchasing group or any of its members; or
(8) require that any insurance policy issued to a purchasing group or any of its members be countersigned by an insurance agent or broker residing in this State.
HISTORY: 1988 Act No. 355, Section 1.