South Carolina
Summary
A NAIC Model State
This was largely an Insurance Department sponsored action. Title 38, ch 78 was added in 2000 via SB 1039. An exemption for CLIP filing financial statements was added via H 4244 in 2020. The Department has misinterpreted this section to now require "audited" financial statements from non CLIP providers. NHSCA is resolving. Note: The SC DOI renewal app notes no such requirement but such has been suggested on department web site and in notices from department licensing staff. While even the requirement for providers relying on bond and reserve to post financials is questionable, any indication of an "audited" requirements should be respectfully declined with a a request for statutory authority.
Statutes
CHAPTER 78.
SERVICE CONTRACTS. SECTION 38-78-10. Purpose of chapter; applicability; motor vehicle manufacturer’s service contracts.
(A) The purpose of this chapter is to create a legal framework within which service contracts may be sold in this State......
Link to FULL SC statue is: https://www.scstatehouse.gov/code/t38c078.php
Note the state site may lack recent legislative amendments.
REGULATIONS
None at this time
