South Carolina General Assembly
117th Session, 2007-2008

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Bill 298


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Indicates New Matter


(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 38-3-105 SO AS TO PROVIDE THAT THE DIRECTOR OF THE DEPARTMENT OF INSURANCE MUST BE ELECTED TO OFFICE BY THE GENERAL ASSEMBLY, FOR A TERM OF FOUR YEARS; TO AMEND SECTION 1-30-10, RELATING TO THE VARIOUS FORMS OF GOVERNING AUTHORITIES OF DEPARTMENTS OF STATE GOVERNMENT, SO AS TO PROVIDE THAT THE DEPARTMENT OF INSURANCE SHALL HAVE A DIRECTOR ELECTED BY THE GENERAL ASSEMBLY; TO AMEND SECTION 38-1-20, AS AMENDED, RELATING TO DEFINITIONS UNDER INSURANCE LAWS OF THIS STATE, SO AS TO MAKE CERTAIN CHANGES TO THE DEFINITION OF "DIRECTOR" OF THE DEPARTMENT OF INSURANCE; TO AMEND SECTION 38-3-10, RELATING TO THE ESTABLISHMENT OF THE SOUTH CAROLINA DEPARTMENT OF INSURANCE AND INSURANCE COMMISSION, SO AS TO PROVIDE THE DIRECTOR IS ELECTED BY THE GENERAL ASSEMBLY RATHER THAN APPOINTED, AND TO MAKE THE DIRECTOR SUBJECT TO REMOVAL FROM OFFICE AS PROVIDED BY LAW FOR OTHER EXECUTIVE DEPARTMENT OFFICERS.

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

SECTION    1.    Chapter 3, Title 38 of the 1976 Code is amended by adding:

"Section 38-3-105.    The Director of the Department of Insurance must be elected by the General Assembly for a term of four years and until his successor is elected and qualifies. Vacancies must be filled for the remainder of the unexpired term in the manner of original election."

SECTION    2.    Section 1-30-10(B)(1) of the 1976 Code is amended to read:

"(1)    The governing authority of each department shall be either:

(i)     a director, and in the case of the Department of Commerce, the secretary, who must be appointed by the Governor with the advice and consent of the Senate, subject to removal from office by the Governor pursuant to provisions of Section 1-3-240; or,

(ii)    a seven member board to be appointed and constituted in a manner provided for by law; or,

(iii)    in the case of the Department of Agriculture and the Department of Education, the State Commissioner of Agriculture and the State Superintendent of Education, respectively, elected to office under the Constitution of this State.; or,

(iv)    in the case of the Department of Insurance, the Director of the Department of Insurance elected by the General Assembly."

SECTION    3.    Section 38-1-20(16) of the 1976 Code is amended to read:

"(16)    'Director' means the person who is appointed by the Governor upon the advice and consent of the Senate elected by the General Assembly and who is responsible for the operation and management of the department of Insurance. The director has the authority to may appoint or designate the person or persons who shall serve at the pleasure of the director to carry out the objectives or duties of the department as provided by law. Furthermore, the director may bestow upon his designee or deputy director any duty or function required of him by law to manage and supervise the Insurance department."

SECTION    4.    Section 38-3-10 of the 1976 Code is amended to read:

"Section 38-3-10.    There is established a separate and distinct department of this State, known as the Department of Insurance. The department must be managed and operated by a director appointed by the Governor upon the advice and consent of the Senate elected by the General Assembly. The director is subject to removal by the Governor as provided in Section 1-3-240(B) from office as may be provided by law for the other officers of the executive department of this State. The director shall must be selected with special reference consideration to his training, experience, technical knowledge of the insurance industry, and demonstrated administrative ability. The director may appoint or designate the person or persons who shall serve at the pleasure of the director to carry out the objectives or duties of the department as provided by law. Furthermore, the director may bestow upon his designee or deputy director any duty or function required of him by law in managing or supervising the department of Insurance."

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

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