Current Status Bill Number:3985 Ratification Number:337 Act Number:300 Type of Legislation:General Bill GB Introducing Body:House Introduced Date:19950411 Primary Sponsor:Richardson, All Sponsors:Richardson, Bailey, Simrill, Cato and Mason Drafted Document Number:bbm\10129jm.95 Date Bill Passed both Bodies:19960417 Date of Last Amendment:19960306 Governor's Action:U Became law without signature of Governor Date of Governor's Action:19960507 Subject:Motor vehicle insurance, rating requirements
Body Date Action Description Com Leg Involved ______ ________ _______________________________________ _______ ____________ ------ 19960515 Act No. A300 ------ 19960507 Unsigned, became law without signature of Governor ------ 19960430 Ratified R337 House 19960417 Concurred in Senate amendment, enrolled for ratification Senate 19960410 Read third time, returned to House with amendment Senate 19960306 Amended, read second time, ordered to third reading with notice of general amendments Senate 19960305 Committee report: Favorable with 02 SBI amendment Senate 19950511 Introduced, read first time, 02 SBI referred to Committee House 19950511 Read third time, sent to Senate House 19950510 Read second time House 19950502 Debate adjourned until Wednesday, 19950510 House 19950426 Committee report: Favorable 26 HLCI House 19950411 Introduced, read first time, 26 HLCI referred to CommitteeView additional legislative information at the LPITS web site.
(A300, R337, H3985)
AN ACT TO AMEND SECTION 38-73-910, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO INSURANCE RATES, RATE-MAKING, AND RATE FILING AND NOTICE OF HEARING AS A PREREQUISITE TO THE GRANTING OF A RATE INCREASE AND EXCEPTIONS, SO AS TO DELETE CERTAIN LANGUAGE AND PROVISIONS, AND TO PROVIDE, AMONG OTHER THINGS, THAT THE NOTICE SHALL STATE THE AMOUNT OF INCREASE, THE TYPE AND LINE OF COVERAGE, AND THE PROPOSED EFFECTIVE DATE AND SHALL ALLOW ANY INSURED OR AFFECTED PARTY TO REQUEST WITHIN FIFTEEN DAYS A PUBLIC HEARING UPON THE PROPRIETY OF THE RATE INCREASE REQUEST BEFORE THE ADMINISTRATIVE LAW JUDGE DIVISION.
Be it enacted by the General Assembly of the State of South Carolina:
Notice of hearing; copy to Consumer Advocate; etc.
SECTION 1. Section 38-73-910 of the 1976 Code, as amended by Section 783 of Act 181 of 1993, is further amended to read:
"Section 38-73-910. No increase in the premium rates may be granted for automobile, workers' compensation, fire, allied lines, and homeowners' insurance, nor for any other line or type of insurance with respect to which the director or his designee has, by order, made a finding that (a) legal or other compulsion upon the part of the insured to purchase the insurance interferes with competition, or (b) under prevailing circumstances there does not exist substantial competition, unless notice is given in all newspapers of general, statewide circulation at least thirty days in advance of the insurer's proposed effective date of the increase in premium rates. The notice shall state the amount of increase, the type and line of coverage, and the proposed effective date and shall allow any insured or affected party to request within fifteen days a public hearing upon the propriety of the rate increase request before the Administrative Law Judge Division. A copy of the notice must be sent to the Consumer Advocate.
However, the requirements of public notices and public hearings in this section do not apply to applications for rate increases when the applicant insurer had earned premiums in this State in the previous calendar year of less than two million dollars for the line or type of insurance for which the rate increase is sought or, if the rate increase is sought by a rating organization, the earned premiums in this State for all members and subscribers of the organization for whom an increase is sought were less than two million dollars for the previous calendar year for the line or type of insurance for which the rate increase is sought. The two million dollars must be increased by a factor equal to the increase in the consumer price index, all items, every three years."
SECTION 2. This act takes effect upon approval by the Governor.
Became law without the signature of the Governor -- 5/7/96.