Current Status Introducing Body:House Bill Number:3829 Primary Sponsor:McAbee Committee Number:26 Type of Legislation:JR Subject:Reinsurance facility, solicitation of bids Residing Body:House Current Committee:Labor, Commerce and Industry Companion Bill Number:597 Date Tabled:19940215 Computer Document Number:BBM/10441JM.93 Introduced Date:19930401 Last History Body:House Last History Date:19940215 Last History Type:Tabled in Committee Scope of Legislation:Statewide All Sponsors:McAbee Type of Legislation:Joint Resolution
Bill Body Date Action Description CMN Leg Involved
____ ______ ____________ ______________________________ ___ ____________
3829 House 19940215 Tabled in Committee 26
3829 House 19930401 Introduced, read first time, 26
referred to Committee
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TO REQUIRE THE CHIEF INSURANCE COMMISSIONER TO SOLICIT AN INVITATION FOR BIDS FOR ANY AND ALL SERVICES USED OR PAID FOR BY THE SOUTH CAROLINA REINSURANCE FACILITY AND TO CONDUCT CERTAIN AUDITS AND REPORT THE RESULTS TO THE GENERAL ASSEMBLY; AND TO PROVIDE FOR THE TERMINATION OF CONTRACTS OR AGREEMENTS CURRENTLY IN FORCE FOR THE PROVISION OF SERVICES TO THE REINSURANCE FACILITY.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. No later than forty-five days after the effective date of this joint resolution, the Chief Insurance Commissioner is directed and required to issue an invitation for bids for any and all services which are currently paid for by or provided to the South Carolina Reinsurance Facility. The solicitation shall be conducted in strict accordance with the provisions of Chapter 35 of Title 11 generally, and specifically with respect to the provisions governing competitive sealed bidding. For the purpose of this solicitation, a person or organization responding to the invitation need not be a licensed insurance company or any other organization required to be licensed by the Insurance Commission in order to be a responsible bidder.
SECTION 2. Any contract or agreement currently in force for the provision of services to the South Carolina Reinsurance Facility is terminated not later than September 30, 1993, or the specified termination date, whichever comes first.
SECTION 3. (A) The Chief Insurance Commissioner is directed and required to perform an audit of the records of the South Carolina Reinsurance Facility for the purpose of providing the General Assembly a comprehensive report. The report must include the amount of profit or loss incurred by each of the carriers ceding coverage to the facility, the amount of reserves held by each carrier and the income from the investment of such reserves, a detailed listing by item and amount of all expenses which each carrier is reimbursed by the facility, and a detailed listing of all expenses incurred by the facility.
(B) The commissioner must obtain from each carrier a complete audited financial statement from and a record of all transactions between each of the carriers and any company, organization, business, enterprise, or other entity with which a carrier contracts or has a business relationship to perform services in connection with business ceded to the South Carolina Reinsurance Facility.
SECTION 4. This joint resolution takes effect upon approval by the Governor.