Current Status Introducing Body:House Bill Number:4299 Primary Sponsor:Harrelson Committee Number:26 Type of Legislation:GB Subject:Motor vehicle final insurance rate Residing Body:House Current Committee:Labor, Commerce and Industry Date Tabled:Mar 03, 1992 Computer Document Number:BBM/9704.JM Introduced Date:Jan 29, 1992 Last History Body:House Last History Date:Mar 03, 1992 Last History Type:Tabled in Committee Scope of Legislation:Statewide All Sponsors:Harrelson Type of Legislation:General Bill
Bill Body Date Action Description CMN
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4299 House Mar 03, 1992 Tabled in Committee 26
4299 House Jan 29, 1992 Introduced, read first time, 26
referred to Committee
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TO AMEND SECTION 38-73-1400, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITION OF "FINAL RATE OR PREMIUM CHARGE" FOR PRIVATE PASSENGER AUTOMOBILE INSURANCE, SO AS TO PROVIDE THAT, IN THE DETERMINATION OF WHETHER THE EXPENSE COMPONENT SHOULD BE APPROVED, EACH INSURER SHALL BE LIMITED TO NOT MORE THAN THE AVERAGE ADMINISTRATIVE COST FOR ALL SUCH INSURERS FOR THE PRECEDING CALENDAR YEAR.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 38-73-1400(3) of the 1976 Code, as added by Act 148 of 1989, is amended to read:
"(3) The `final rate or premium charge' is the approved pure loss component added to the approved expense component. In the determination of whether the pure loss component should be approved and in the determination of whether the expense component should be approved, neither may be inadequate, excessive, nor unfairly discriminatory and the commissioner shall take into account investment income from unearned premium and loss reserves, surplus, and realized capital gains. Further, notwithstanding the provisions of subsection (2) of this section or any other provision of law, in the determination of whether the expense component should be approved, each private passenger automobile insurer shall be limited to not more than the average administrative cost for all private passenger automobile insurers doing business in the State for the preceding calendar year."
SECTION 2. This act takes effect upon approval by the Governor.