South Carolina H 4039: Automobile Insurance

Bill Text

2025-2026 Bill 4039 Text of Previous Version (Feb. 19, 2025) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 4039

Indicates Matter Stricken
Indicates New Matter

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

A bill

TO AMEND THE SOUTH CAROLINA CODE OF LAWS 
BY ADDING SECTION 38-77-5 SO AS TO REQUIRE ALL NEW OR RENEWED AUTOMOBILE 
INSURANCE POLICIES IN THIS STATE TO INCLUDE A PROVISION REFERENCING THIS 
ARTICLE; BY ADDING SECTION 38-77-15 SO AS TO ESTABLISH A TIME LIMIT FOR 
PURSUING A RESOLUTION; AND BY ADDING SECTION 38-77-780 SO AS TO REQUIRE 
INSURERS TO PAY THE INSURED'S REASONABLE OUT-OF-POCKET EXPENSES IN CERTAIN 
CIRCUMSTANCES.

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

SECTION 1. Article 1, Chapter 77, Title 
38 of the S.C. Code is amended by adding:

 Section 
38-77-5. Notwithstanding another provision of law, all new automobile insurance 
policies or renewals of automobile insurance policies must include a provision 
that complies with this article. Neither an insurer nor insured waive any 
rights under a policy by requesting a resolution under this article.

SECTION 2. Article 1, Chapter 77, Title 
38 of the S.C. Code is amended by adding:

 Section 
38-77-15. Upon the disagreement of the insurer and the insured as to the 
amount of loss under a property damage liability claim of an automobile 
insurance policy, either party may seek the appointment of an arbitrator or 
arbitrators as prescribed in Section 8-77-10 no later than the ninetieth day 
after the date a proof of loss is filed with the insurer.

SECTION 3. Article 7, Chapter 77, Title 
38 of the S.C. Code is amended by adding:

 Section 
38-77-780. Each party is responsible for their own costs and fees associated 
with establishing their loss amount. If the decision of the arbitrator sets the 
loss of more than one dollar greater than the amount of the insurer's proposed 
loss statement, the insurer must refund the insured's out-of-pocket expenses, 
attorneys' fees, and costs associated with establishing the amount of loss.

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

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This web page was last updated on February 19, 2025 at 10:48 AM