South Carolina General Assembly
117th Session, 2007-2008

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Bill 3978


Indicates Matter Stricken
Indicates New Matter


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

A BILL

TO AMEND SECTION 56-9-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CERTAIN DEFINITIONS PERTAINING TO THE MOTOR VEHICLE FINANCIAL RESPONSIBILITY ACT, SO AS TO AMEND THE DEFINITION OF "PROOF OF FINANCIAL RESPONSIBILITY", TO DELETE A SPECIFIC MONETARY DAMAGE AMOUNT AND INSTEAD REFER TO A GENERAL POLICY REQUIREMENT; TO AMEND SECTION 56-9-353, RELATING TO A TYPE AND TERM OF A POLICY OR BOND, SO AS TO DELETE A SPECIFIC MONETARY AMOUNT AND INSTEAD REFER TO A GENERAL POLICY REQUIREMENT; AND TO AMEND SECTION 56-9-480, RELATING TO THE SATISFACTION OF JUDGMENTS, SO AS TO DELETE REFERENCE TO A SPECIFIC MONETARY AMOUNT AND INSTEAD REFER TO A GENERAL POLICY PROVISION.

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

SECTION    1.    Section 56-9-20(11) of the 1976 Code is amended to read:

"(11)    "Proof of financial responsibility": Proof of ability to respond to damages for liability, as provided in Section 38-77-150, or, on account because of accidents an accident occurring after the effective date of this proof, arising out of the ownership, maintenance, or use of a motor vehicle in the amount of fifteen thousand dollars because of bodily injury to or death of one person in any one accident and, subject to this limit for one person, in the amount of thirty thousand dollars because of bodily injury to or death of two or more persons in any one accident and in the amount of ten thousand dollars because of injury to or destruction of property of others in any one accident accordance with the general coverage requirements of Section 38-77-140;"

SECTION    2.    Section 56-9-353 of the 1976 Code is amended to read:

"Section 56-9-353.    No A policy or bond shall may not be effective under Sections 56-9-351 and 56-9-352 unless issued by an insurance company or surety company licensed and authorized by the South Carolina Department of Insurance to do business in this State, except that if the motor vehicle was not registered in this State or was a motor vehicle which that was registered elsewhere somewhere other than in this State at the effective date or most recent renewal date of the policy or bond or the most recent renewal thereof, the policy or bond shall may not be effective under Sections 56-9-351 and 56-9-352 unless the insurance company or surety company if not authorized to do business in this State shall execute executes a power of attorney authorizing the Department of Motor Vehicles to accept service on its behalf of notice of process in any an action upon the policy or bond arising out of the accident. Every A policy or bond must be subject, if the accident has resulted in bodily injury or death, to a limit, exclusive of interest and costs, of not less than fifteen thousand dollars because of bodily injury to or death of one person in any one accident, and subject to this limit for one person, to a limit of not less than thirty thousand dollars because of bodily injury to or death of two or more persons in any one accident, and, if the accident has resulted in injury to or destruction of property, to a limit of not less than five thousand dollars because of injury to or destruction of property of others in any one accident the general coverage requirements of Section 38-77-140."

SECTION    3.    Section 56-9-480 of the 1976 Code is amended to read:

"Section 56-9-480.    Judgments referred to in this article must, for the purpose of this article only, be considered satisfied when:

(1)    When fifteen thousand dollars the minimum limit provided by Section 38-77-140(1) has been credited upon any a judgment rendered in excess of that amount because of bodily injury to or death of one person as the result of any one accident;

(2)    When, subject to the limit of fifteen thousand dollars the minimum limit provided in Section 38-77-140(1) because of bodily injury to or death of one person, the sum of thirty thousand dollars has been credited upon any judgments rendered in excess of that amount because of bodily injury to or death of two or more persons as the result of any one an accident; or

(3)    When five thousand dollars the minimum limit provided in Section 38-77-140(1) has been credited upon any judgments rendered in excess of that amount because of injury to or destruction of property of others as a result of any one an accident.

Payments made in settlement of any claims a claim because of bodily injury, death, or property damage arising from a motor vehicle accident must be credited in reduction of the amounts provided for in this section."

SECTION    4.    If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.

SECTION    5.    This act takes effect upon approval by the Governor.

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