South Carolina General Assembly
119th Session, 2011-2012

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H. 3638

STATUS INFORMATION

General Bill
Sponsors: Rep. Herbkersman
Document Path: l:\council\bills\agm\18584ab11.docx

Introduced in the House on February 9, 2011
Currently residing in the House Committee on Labor, Commerce and Industry

Summary: Automobile insurance

HISTORY OF LEGISLATIVE ACTIONS

     Date      Body   Action Description with journal page number
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    2/9/2011  House   Introduced and read first time (House Journal-page 10)
    2/9/2011  House   Referred to Committee on Labor, Commerce and Industry 
                        (House Journal-page 10)

View the latest legislative information at the LPITS web site

VERSIONS OF THIS BILL

2/9/2011

(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 38-59-22 SO AS TO PROVIDE IT IS AN IMPROPER CLAIM PRACTICE FOR AN AUTOMOBILE INSURANCE POLICY TO REQUIRE A CLAIMANT TO USE A PARTICULAR REPAIR SERVICE FOR AN ESTIMATE OR REPAIR OF A COVERED CLAIM, ENGAGE IN CERTAIN INTIMIDATING OR THREATENING CONDUCT TOWARD A CLAIMANT, OR UNILATERALLY AND ARBITRARILY DISREGARD A REPAIR PROCEDURE OR REPAIR COST IDENTIFIED BY AN ESTIMATING SYSTEM TO WHICH THE INSURER AND AN AUTOMOBILE REPAIR FACILITY HAVE AGREED TO USE TO DETERMINE THE COST OF A PARTICULAR REPAIR.

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

SECTION    1.    Article 1, Chapter 59, Title 38 of the 1976 Code is amended by adding:

"Section 38-59-22.    In addition to the provisions of Section 38-59-20, an insurer issuing an automobile insurance policy under Chapter 77 of this title engages in an improper claim practice if it:

(1)    requires a claimant under the policy to use a particular automobile repair facility for a mechanical or body repair or an estimate for the cost of a repair made pursuant to the claim;

(2)    engages in an act or practice that intimidates, coerces, or threatens a reasonable claimant;

(3)    provides an incentive or inducement to encourage a claimant to use a particular repair facility; or

(4)    unilaterally and arbitrarily disregards a repair procedure or repair cost identified by an estimating system to which the insurer and an automobile repair facility have agreed to use to determine the cost of a particular automobile repair."

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

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