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South Carolina insurance laws

Insurance regulations, rate filing requirements, department info, and recent bulletins for South Carolina. Updated Apr 1, 2026.

1 new regulatory update detected

South Carolina DOI page content changed

South Carolina DOI Website · Apr 14, 2026

Department of Insurance

DepartmentSouth Carolina Department of Insurance
CommissionerMichael Wise
Rate Filing SystemPrior Approval
Regulatory CodeS.C. Code Ann. §§ 38-1-10 through 38-101-10
Overview

South Carolina operates under a prior approval rate filing system for most property and casualty insurance lines, with specific provisions in S.C. Code Ann. § 38-73-910. The Department of Insurance, led by Director Michael Wise since May 2023, actively regulates all insurance lines through Title 38 of the South Carolina Code. The state maintains strong consumer protections including mandatory uninsured motorist coverage, a coastal wind and hail underwriting association for high-risk properties, and was the first state to enact comprehensive insurance data security legislation in 2018.

Auto Insurance

Min Pd$25,000
Pip MinN/A
StatuteS.C. Code Ann. §§ 38-77-10 et seq.
Fault SystemTort
Min Bi Per Person$25,000
Uninsured Penalty$550 annual uninsured motorist fee, $100-$200 fine, license and registration suspension, potential 30 days jail, $5/day lapse fee
Min Bi Per Accident$50,000
Sr22 Duration Years3
Noncompliance PenaltyInsurers face license suspension or revocation for failure to comply with rate filing requirements. Fines up to $10,000 per violation for unfair claims practices or policy form violations.
Rate Filing RequirementPrior approval required for automobile insurance rate increases per S.C. Code Ann. § 38-73-905
Avg Full Coverage Premium$1,361

Notable Laws

  • S.C. Code Ann. § 38-77-140 - Minimum liability limits of $25,000/$50,000/$25,000 required
  • S.C. Code Ann. § 38-77-150 - Mandatory uninsured motorist coverage equal to liability limits with $200 deductible on property damage
  • S.C. Code Ann. § 38-77-144 - No PIP coverage mandated; optional medical payments coverage available
  • S.C. Code Ann. § 56-10-510 - Uninsured motorist fee of $550 annually for privilege of driving uninsured
  • S.C. Code Ann. § 38-77-155 - Uninsured Motorist Fund distribution to insurers based on market share

Homeowners Insurance

StatuteS.C. Code Ann. §§ 38-75-10 et seq.
Wind PoolSouth Carolina Wind and Hail Underwriting Association (SCWHUA) for designated coastal areas
Fair Plan NameSouth Carolina Wind and Hail Underwriting Association (SCWHUA)
Noncompliance PenaltyFines for improper cancellation or nonrenewal. License suspension for pattern of violations. Civil penalties up to $10,000 per violation.
Rate Filing RequirementPrior approval required for homeowners rate increases per S.C. Code Ann. § 38-73-910

Notable Laws

  • S.C. Code Ann. § 38-75-730 - 30-day cancellation notice required during policy term
  • S.C. Code Ann. § 38-75-750 - 60-day nonrenewal notice required at policy expiration
  • S.C. Code Ann. §§ 38-75-740 et seq. - South Carolina Wind and Hail Underwriting Association (Beach Plan) for coastal wind/hail coverage
  • S.C. Code Ann. § 38-75-1230 - Insurers may exclude wind and hail in coastal areas served by SCWHUA
  • S.C. Code Ann. § 38-75-485 - SC Safe Home Mitigation Grant Program for hurricane retrofit grants

Recent Bulletins

Notice of Tentative 2026 Accident and Health Insurance Rates for 3-day Retro Accident and Health Insurance

#2025-072025-08-08

Establishes tentative credit accident and health insurance rates for 2026 for loans under the Consumer Finance Law. Sets loss ratio requirements and provides opportunity for hearing.

View bulletin

Notice of Tentative 2026 Credit Accident and Health Insurance Rates

#2025-062025-08-08

Establishes tentative credit accident and health insurance rates for 2026 for consumer credit transactions under the South Carolina Consumer Protection Code.

View bulletin

2025 Amendments to Chapters 12 and 21 of Title 38

#2025-042025-06-27Effective: 2025-06-27

Notifies insurers of amendments to the Insurance Holding Company Regulatory Act and Investments of Insurers Act, including enterprise risk reporting, group capital calculations, and investment authority changes.

View bulletin

Extension of Notice of Unusual Circumstance/Catastrophe Insurance Declaration for South Carolina

#2025-022025-01-14Effective: 2025-01-14

Extends Bulletin 2024-11 for additional 90 days in response to Tropical Storm Helene impact, allowing insurers flexibility in coastal property insurance underwriting.

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Requirements Applicable to Short-Term, Limited-Duration Insurance Policies (STLDI)

#2024-132024-11-22Effective: 2024-11-22

Establishes requirements for short-term limited duration insurance and hospital indemnity policies, limiting STLDI to 4-month maximum duration and requiring specific disclosures.

View bulletin

Recent Law Changes

S.B. 220 (Act No. 17)2025All Lines

Insurance Holding Company and Investment Amendments

Amends the Insurance Holding Company Regulatory Act (Chapter 21) and Investments of Insurers Act (Chapter 12) to enhance regulatory oversight, add enterprise risk reporting requirements, implement group capital calculations, and expand investment authority for insurers.

All insurers operating in holding company systems must comply with enhanced reporting and capital calculation requirements.

Effective: 2025-06-27

S.B. 2102025Commercial

Captive Insurance Companies Modernization

Updates captive insurance statutes including definitions, capital requirements, examination procedures, filing deadlines, governance provisions, and operations of special purpose captive insurers to modernize South Carolina's captive insurance regulatory framework.

Captive insurance companies benefit from updated regulatory framework with enhanced flexibility and clearer requirements.

Effective: 2025-05-15

H.B. 31412024All Lines

Service Contract Regulation

Amends S.C. Code Ann. Sections 38-72-10, 38-72-20, 38-72-40, 38-72-78 relating to service contracts, modifying definitions, registration requirements, and notice provisions for service contract providers.

Service contract providers must comply with updated registration and consumer notification requirements.

Effective: 2024-06-15

H.B. 3684 (Act No. 30)2023Health

Pharmacy Benefits Manager Regulation and External Review

Expands regulation of pharmacy benefits managers (PBMs) and pharmacy services administrative organizations (PSAOs), establishes external review procedures for PBM decisions, enhances audit protections for pharmacies, and increases transparency requirements.

PBMs face enhanced regulatory oversight, external review processes, and transparency requirements affecting health insurance operations.

Effective: 2024-01-01

H.B. 4655 (Act No. 171)2018All Lines

South Carolina Insurance Data Security Act

First-in-nation comprehensive insurance data security law based on NAIC Model Law, requiring insurers to develop information security programs, conduct risk assessments, implement cybersecurity measures, and report cybersecurity events to the Department.

All insurers must maintain comprehensive cybersecurity programs and report data breaches to the Department within 72 hours of determination.

Effective: 2019-01-01

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