South Carolina H 4796: SC Department of Law Enforcement and Public Safety

Bill Text

2025-2026 Bill 4796 Text of Previous Version (Dec. 17, 2025) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 4796

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 AMENDING 
SECTION 38-71-2340, RELATING TO COMPLIANCE EXAMINATIONS OF PHARMACY SERVICES 
ADMINISTRATIVE ORGANIZATIONS BY THE DEPARTMENT OF INSURANCE, SO AS TO SUBJECT 
THE EXAMINATIONS TO THE GENERAL EXAMINATION REQUIREMENTS OF CHAPTER 13, TITLE 
38; AND BY AMENDING SECTION 38-71-2250, RELATING TO COMPLIANCE EXAMINATIONS OF 
PHARMACY BENEFITS MANAGERS BY THE DEPARTMENT OF INSURANCE, SO AS TO SUBJECT THE 
EXAMINATIONS TO THE GENERAL EXAMINATION REQUIREMENTS OF CHAPTER 13, TITLE 38.

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

SECTION 1. Section 38-71-2340(B) of the S.C. Code is amended to 
read:

 (B)(1) As often as the director deems 
appropriate, but not less frequently than once every five years, the director 
may examine or audit the books and records of a pharmacy services 
administrative organization providing prescription drug coverage or benefits on 
behalf of pharmacies or pharmacy benefits managers that are relevant to 
determining if the pharmacy services administrative organization is in 
compliance with this act. Examinations conducted pursuant 
to this section are subject to the requirements provided in Chapter 13. The 
pharmacy services administrative organization must pay the charges incurred in 
the examination, including the expenses of the director or his designee and the 
expenses and compensation of his examiners and assistants. The director or his 
designee promptly must institute a civil action to recover the expenses of 
examination against a pharmacy services administrative organization which 
refuses or fails to pay.

 (2) 
The information or data acquired during an examination pursuant to this section 
is considered proprietary and confidential and is not subject to the South 
Carolina Freedom of Information Act.

SECTION 2. Section 38-71-2250(B) of the S.C. Code is amended to 
read:

 (B)(1) As often as the director deems 
appropriate, but not less frequently than once every five years, the director 
may examine or audit the books and records of a pharmacy benefits manager 
providing claims processing services or other prescription drug or device 
services for a health benefit plan that are relevant to determining if the 
pharmacy benefits manager is in compliance with this act. Examinations 
conducted pursuant to this section are subject to the requirements provided in 
Chapter 13. The pharmacy benefits manager shall pay the charges incurred 
in the examination, including the expenses of the director or his designee and 
the expenses and compensation of his examiners and assistants. The director or 
his designee promptly shall institute a civil action to recover the expenses of 
examination against a pharmacy benefits manager which refuses or fails to pay.

 (2) 
The information or data acquired during an examination pursuant to this section 
is considered proprietary and confidential and is not subject to the South 
Carolina Freedom of Information Act.

SECTION 3. This act takes effect upon approval 
by the Governor.

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This web page was last updated on December 17, 2025 at 01:51 PM