South Carolina General Assembly
117th Session, 2007-2008

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Indicates New Matter

S. 195

STATUS INFORMATION

General Bill
Sponsors: Senators Ritchie and Richardson
Document Path: l:\s-res\jhr\009insu.dag.doc

Introduced in the Senate on January 9, 2007
Currently residing in the Senate Committee on Judiciary

Summary: Insurance Department to establish website

HISTORY OF LEGISLATIVE ACTIONS

     Date      Body   Action Description with journal page number
-------------------------------------------------------------------------------
  12/13/2006  Senate  Prefiled
  12/13/2006  Senate  Referred to Committee on Judiciary
    1/9/2007  Senate  Introduced and read first time SJ-115
    1/9/2007  Senate  Referred to Committee on Judiciary SJ-115
   1/17/2007  Senate  Referred to Subcommittee: Martin (ch), Rankin, Elliott, 
                        Hutto, Ritchie, Lourie, Bryant

View the latest legislative information at the LPITS web site

VERSIONS OF THIS BILL

12/13/2006

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 42-1-455, TO DIRECT THE DEPARTMENT OF INSURANCE TO ESTABLISH GUIDELINES FOR, CREATE, AND MAINTAIN A WEBSITE ON WHICH INSURANCE COMPANIES WILL PROVIDE, AND THE DEPARTMENT SHALL POST, THE IDENTITIES OF SUBCONTRACTORS WHO TERMINATE THEIR WORKERS' COMPENSATION INSURANCE COVERAGE.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION    1.    The purpose of this act is to direct the Department of Insurance to devise a plan for and develop a website which will contain valuable information for the State's principal or general contractors to use as a tool in determining the use of and payment of certain subcontractors who fail to maintain appropriate workers' compensation insurance on their employees. The cancellation or failure to continue to provide workers' compensation insurance coverage by a subcontractor can result in significant costs to the principal or general contractor who, in good faith, contracts with a subcontractor for certain specialized services. The provisions of this act are designed to give the principal or general contractor notice upon a subcontractor's termination of workers' compensation insurance.

SECTION    2.    Article 3, Chapter 1, Title 42 of the 1976 Code is amended by adding:

"Section 42-1-455.    (A)    The Department of Insurance is directed to establish guidelines for, create, and maintain a website in order to post the identities of subcontractors who cancel or fail to renew workers' compensation insurance coverage on their employees for the use of principal or general contractors. The department's guidelines must include, but are not limited to, the following:

(1)    the design and maintenance of the workers' compensation insurance coverage termination secure website;

(2)    the development of a method of collecting the identities, including the names and addresses of subcontractors who terminate or fail to renew the workers' compensation insurance coverage on their employees;

(3)    the procedures for insurance companies to follow when reporting terminations of workers' compensation insurance coverage for inclusion on the website;

(4)    a determination of authorized users of the website; and

(5)    a process for removing identities of subcontractors who subsequently attain or reacquire workers' compensation insurance coverage on their employees.

(B)    The department also shall develop and implement a plan to educate principal or general contractors on the existence of the website and the workers' compensation insurance coverage information it contains."

SECTION    3.    This act takes effect upon approval by the Governor.

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