South Carolina General Assembly
119th Session, 2011-2012

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A26, R49, S431

STATUS INFORMATION

General Bill
Sponsors: Senators McConnell, Rankin, Setzler, Campbell, Shoopman, Reese, Bright, Alexander, S. Martin, Fair, Cromer, Bryant, Elliott, O'Dell, Campsen, Ford, Rose, Lourie, Cleary, Verdin, McGill, Williams, Nicholson, Knotts, Land and Scott
Document Path: l:\council\bills\agm\18327ab11.docx
Companion/Similar bill(s): 3449

Introduced in the Senate on January 26, 2011
Introduced in the House on March 31, 2011
Last Amended on May 5, 2011
Passed by the General Assembly on May 12, 2011
Governor's Action: May 17, 2011, Signed

Summary: Insurance policies

HISTORY OF LEGISLATIVE ACTIONS

     Date      Body   Action Description with journal page number
-------------------------------------------------------------------------------
   1/26/2011  Senate  Introduced and read first time (Senate Journal-page 6)
   1/26/2011  Senate  Referred to Committee on Banking and Insurance 
                        (Senate Journal-page 6)
   2/15/2011  Senate  Committee report: Favorable with amendment Banking and 
                        Insurance (Senate Journal-page 14)
   2/16/2011          Scrivener's error corrected
    3/3/2011  Senate  Special order, set for March 3, 2011 
                        (Senate Journal-page 32)
    3/3/2011  Senate  Roll call Ayes-33  Nays-12 (Senate Journal-page 32)
   3/17/2011  Senate  Debate interrupted (Senate Journal-page 15)
   3/22/2011  Senate  Debate interrupted (Senate Journal-page 17)
   3/29/2011  Senate  Debate interrupted (Senate Journal-page 18)
   3/30/2011  Senate  Committee Amendment Adopted (Senate Journal-page 48)
   3/30/2011  Senate  Amended (Senate Journal-page 48)
   3/30/2011  Senate  Read second time (Senate Journal-page 48)
   3/30/2011  Senate  Roll call Ayes-41  Nays-2 (Senate Journal-page 48)
   3/31/2011  Senate  Read third time and sent to House 
                        (Senate Journal-page 29)
   3/31/2011  Senate  Roll call Ayes-39  Nays-2 (Senate Journal-page 29)
   3/31/2011  House   Introduced and read first time (House Journal-page 75)
   3/31/2011  House   Referred to Committee on Labor, Commerce and Industry 
                        (House Journal-page 75)
    5/4/2011  House   Committee report: Favorable with amendment Labor, 
                        Commerce and Industry (House Journal-page 2)
    5/5/2011  House   Amended (House Journal-page 15)
    5/5/2011  House   Read second time (House Journal-page 15)
    5/5/2011  House   Roll call Yeas-104  Nays-0 (House Journal-page 15)
    5/5/2011  House   Unanimous consent for third reading on next legislative 
                        day (House Journal-page 18)
    5/6/2011  House   Read third time and returned to Senate with amendments 
                        (House Journal-page 107)
   5/12/2011  Senate  Concurred in House amendment and enrolled 
                        (Senate Journal-page 12)
   5/12/2011  Senate  Roll call Ayes-36  Nays-0 (Senate Journal-page 12)
   5/17/2011          Ratified R 49
   5/17/2011          Signed By Governor
   5/24/2011          Effective date See Act for Effective Date
   5/24/2011          Act No. 26

View the latest legislative information at the LPITS web site

VERSIONS OF THIS BILL

1/26/2011
2/15/2011
2/16/2011
3/30/2011
5/4/2011
5/5/2011


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

(A26, R49, S431)

AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-61-70 SO AS TO DEFINE A "COMMERCIAL GENERAL LIABILITY INSURANCE POLICY", "CONSTRUCTION PROFESSIONAL", AND "CONSTRUCTION RELATED WORK", TO PROVIDE THAT A COMMERCIAL GENERAL LIABILITY INSURANCE POLICY MUST DEFINE OR BE DEEMED TO DEFINE THE WORD "OCCURRENCE" IN A SPECIFIC MANNER, AND TO PROVIDE FOR THE SCOPE AND LIMITS OF APPLICABILITY OF THIS SECTION.

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

Commercial general liability insurance policies, definitions, requirements, application limited to coverage for construction professionals for liability arising from construction related work

SECTION    1.    Chapter 61, Title 38 of the 1976 Code is amended by adding:

"Section 38-61-70.    (A)    For purposes of this section:

(1)    'Commercial general liability insurance policy' means a contract of insurance that covers occurrences of damages or injury during the policy period and insures a construction professional for liability arising from construction related work.

(2)    'Construction professional' means a person, sole proprietorship, partnership, corporation, limited liability company, or other recognized legal entity that engages in the development, construction, installation, or repair of an improvement to real property.

(3)    'Construction related work' means activities by a construction professional involving the development, construction, installation, or repair of an improvement to real property.

(B)    Commercial general liability insurance policies shall contain or be deemed to contain a definition of 'occurrence' that includes:

(1)    an accident, including continuous or repeated exposure to substantially the same general harmful conditions; and

(2)    property damage or bodily injury resulting from faulty workmanship, exclusive of the faulty workmanship itself.

(C)    This section is not intended to restrict or limit the nature or types of exclusions from coverage that an insurer, including a surplus lines insurer, may include in a commercial general liability insurance policy.

(D)    This section applies only to a commercial general liability insurance policy that insures a construction professional for liability arising from construction related work.

(E)    This section applies to any pending or future dispute over coverage that would otherwise be affected by this section as to all commercial general liability insurance policies issued in the past, currently in existence, or issued in the future."

Severability clause

SECTION    2.    If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.

Time effective

SECTION    3.    This act takes effect upon approval by the Governor and applies to any pending or future dispute over coverage that would otherwise be affected by this section as to commercial general liability insurance policies issued in the past, currently in existence, or issued in the future.

Ratified the 17th day of May, 2011.

Approved the 17th day of May, 2011.

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This web page was last updated on Tuesday, December 10, 2013 at 10:01 A.M.