South Carolina General Assembly
109th Session, 1991-1992

Bill 4299


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Introducing Body:               House
Bill Number:                    4299
Primary Sponsor:                Harrelson
Committee Number:               26
Type of Legislation:            GB
Subject:                        Motor vehicle final insurance
                                rate
Residing Body:                  House
Current Committee:              Labor, Commerce and Industry
Date Tabled:                    Mar 03, 1992
Computer Document Number:       BBM/9704.JM
Introduced Date:                Jan 29, 1992
Last History Body:              House
Last History Date:              Mar 03, 1992
Last History Type:              Tabled in Committee
Scope of Legislation:           Statewide
All Sponsors:                   Harrelson
Type of Legislation:            General Bill



History


 Bill  Body    Date          Action Description              CMN
 ----  ------  ------------  ------------------------------  ---
 4299  House   Mar 03, 1992  Tabled in Committee             26
 4299  House   Jan 29, 1992  Introduced, read first time,    26
                             referred to Committee

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

A BILL

TO AMEND SECTION 38-73-1400, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITION OF "FINAL RATE OR PREMIUM CHARGE" FOR PRIVATE PASSENGER AUTOMOBILE INSURANCE, SO AS TO PROVIDE THAT, IN THE DETERMINATION OF WHETHER THE EXPENSE COMPONENT SHOULD BE APPROVED, EACH INSURER SHALL BE LIMITED TO NOT MORE THAN THE AVERAGE ADMINISTRATIVE COST FOR ALL SUCH INSURERS FOR THE PRECEDING CALENDAR YEAR.

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

SECTION 1. Section 38-73-1400(3) of the 1976 Code, as added by Act 148 of 1989, is amended to read:

"(3) The `final rate or premium charge' is the approved pure loss component added to the approved expense component. In the determination of whether the pure loss component should be approved and in the determination of whether the expense component should be approved, neither may be inadequate, excessive, nor unfairly discriminatory and the commissioner shall take into account investment income from unearned premium and loss reserves, surplus, and realized capital gains. Further, notwithstanding the provisions of subsection (2) of this section or any other provision of law, in the determination of whether the expense component should be approved, each private passenger automobile insurer shall be limited to not more than the average administrative cost for all private passenger automobile insurers doing business in the State for the preceding calendar year."

SECTION 2. This act takes effect upon approval by the Governor.

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