Current Status Introducing Body:Senate Bill Number:546 Committee Number:02 Type of Legislation:GB Subject:Insurance repair work Residing Body:Senate Current Committee:Banking and Insurance Computer Document Number:BBM/10290JM.93 Introduced Date:19930316 Last History Body:Senate Last History Date:19930316 Last History Type:Introduced, read first time, referred to Committee Scope of Legislation:Statewide Type of Legislation:General Bill
Bill Body Date Action Description CMN Leg Involved
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546 Senate 19930316 Introduced, read first time, 02
referred to Committee
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TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-57-75 SO AS TO MAKE IT AN UNFAIR METHOD OF COMPETITION AND UNFAIR OR DECEPTIVE ACT OR PRACTICE FOR AN INSURER TO CONTRACT OR AGREE WITH ANY COMPANY OR OTHER BUSINESS ENTITY TO MANAGE, HANDLE, OR ARRANGE INSURANCE REPAIR WORK OR TO ACT AS AN AGENT FOR THE INSURER IN ANY MANNER WHERE THE COMPANY OR ENTITY SETS A PRICE WHICH MUST BE MET BY A REPAIR SHOP AS A CONDITION OF DOING CLAIMS REPAIR WORK FOR THE INSURER AND THEN RETAINS A PERCENTAGE OF THE CLAIM PAID BY THE INSURER.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. The 1976 Code is amended by adding:
"Section 38-57-75. It is an unfair method of competition and unfair or deceptive act or practice, and, therefore, illegal under this chapter, for an insurer to establish a contract or agreement with any company or other business entity to manage, handle, or arrange insurance repair work or to act as an agent for the insurer in any manner where the company or entity sets a price which must be met by a repair shop as a condition of doing claims repair work for the insurer and then retains a percentage of the claim paid by the insurer."
SECTION 2. This act takes effect upon approval by the Governor.