Current Status Introducing Body:House Bill Number:4493 Ratification Number:405 Act Number:363 Primary Sponsor:J. Bailey Type of Legislation:GB Subject:Consumer credit life insurance Companion Bill Number:976 Date Bill Passed both Bodies:19940414 Computer Document Number:BBM/10797JM.94 Governor's Action:S Date of Governor's Action:19940502 Introduced Date:19940113 Date of Last Amendment:19940406 Last History Body:------ Last History Date:19940502 Last History Type:Act No. 363 Scope of Legislation:Statewide All Sponsors:J. Bailey Corning McElveen Quinn Scott Type of Legislation:General Bill
Bill Body Date Action Description CMN Leg Involved
---- ------ ------------ ------------------------------ --- ------------
4493 ------ 19940502 Act No. 363
4493 ------ 19940502 Signed by Governor
4493 ------ 19940427 Ratified R 405
4493 Senate 19940414 Read third time, enrolled for
ratification
4493 Senate 19940413 Read second time
4493 Senate 19940412 Recalled from Committee, 02
placed on Calendar
4493 Senate 19940412 Introduced, read first time, 02
referred to Committee
4493 House 19940407 Read third time, sent to
Senate
4493 House 19940406 Amended, read second time
4493 House 19940323 Committee Report: Favorable 26
with amendment
4493 House 19940113 Introduced, read first time, 26
referred to Committee
View additional legislative information at the LPITS web site.
(A363, R405, H4493)
AN ACT TO AMEND SECTION 37-4-203, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CONSUMER CREDIT INSURANCE, FILING AND APPROVAL OF RATES AND FORMS, AND CREDIT LIFE INSURANCE PREMIUMS, SO AS TO INCREASE THE MINIMUM CHARGE AND DECREASE THE RATE CHARGED FOR CREDIT LIFE INSURANCE IN CERTAIN CATEGORIES; TO AMEND SECTION 37-2-202, AS AMENDED, RELATING TO CREDIT SALES, MAXIMUM CHARGES, AND ADDITIONAL CHARGES, SO AS TO REFERENCE MORE THAN ONE CONSUMER IN THE CASE OF JOINT CONSUMER CREDIT INSURANCE; AND TO AMEND SECTION 37-3-202, AS AMENDED, RELATING TO LOANS, MAXIMUM CHARGES, AND ADDITIONAL CHARGES, SO AS TO REFERENCE MORE THAN ONE DEBTOR IN THE CASE OF JOINT CONSUMER CREDIT INSURANCE.
Be it enacted by the General Assembly of the State of South Carolina:
Minimum charge increased; decrease in rate
SECTION 1. Section 37-4-203(5) of the 1976 Code, as last amended by Act 142 of 1991, is further amended to read:
"(5) Credit life insurance premiums for each one hundred dollars of indebtedness are considered reasonable and may be charged if they are not greater than the amounts given in the following table times the number of years, or fraction of a year, that the indebtedness is scheduled to continue, subject to a minimum charge of three dollars:
Individual
Joint Insurance
More than one consumer; joint insurance coverage
SECTION 2. Section 37-2-202(2)(b) of the 1976 Code, as last amended by Act 142 of 1991, is further amended to read:
"(b) with respect to consumer credit insurance providing life, accident, health, or unemployment coverage, if the insurance coverage is not required by the creditor, and this fact is clearly and conspicuously disclosed in writing to the consumer, and if in order to obtain the insurance in connection with the extension of credit, the consumer, or two of them in the case of joint coverage, gives specific, dated, and separately signed affirmative written indication of his desire to do so after written disclosure to him of the cost of it with a statement similar to the following appearing in caps, underlined, or disclosed in another prominent manner with the consumer signature required by this section: CONSUMER CREDIT INSURANCE IS NOT REQUIRED TO OBTAIN CREDIT AND WILL NOT BE PROVIDED UNLESS YOU SIGN AND AGREE TO PAY THE ADDITIONAL COST; and"
More than one debtor; joint insurance coverage
SECTION 3. Section 37-3-202(2)(b) of the 1976 Code, as last amended by Act 142 of 1991, is further amended to read:
"(b) consumer credit insurance providing life, accident and health, or unemployment insurance coverage, if the insurance coverage is not required by the lender, and this fact is clearly and conspicuously disclosed in writing to the debtor, and if, in order to obtain the insurance in connection with the loan, the debtor, or two of them in the case of joint coverage, gives specific, dated, and separately signed affirmative written indication of his desire to do so after written disclosure to him of the cost thereof with a statement similar to the following appearing in caps, underlined, or disclosed in another prominent manner with the consumer signature required by this section: CONSUMER CREDIT INSURANCE IS NOT REQUIRED TO OBTAIN CREDIT AND WILL NOT BE PROVIDED UNLESS YOU SIGN AND AGREE TO PAY THE ADDITIONAL COST; and"
Time effective
SECTION 4. This act takes effect January 1, 1995.
Approved the 2nd day of May, 1994.