Current Status Introducing Body:House Bill Number:4679 Primary Sponsor:Boan Committee Number:30 Type of Legislation:GB Subject:Liability insurance for state employees Residing Body:House Current Committee:Ways and Means Computer Document Number:JIC/5446HC.94 Introduced Date:19940203 Last History Body:House Last History Date:19940203 Last History Type:Introduced, read first time, referred to Committee Scope of Legislation:Statewide All Sponsors:Boan Type of Legislation:General Bill
Bill Body Date Action Description CMN Leg Involved
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4679 House 19940203 Introduced, read first time, 30
referred to Committee
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TO AMEND SECTION 1-11-140, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AUTHORITY OF THE STATE BUDGET AND CONTROL BOARD TO PROVIDE LIABILITY INSURANCE FOR STATE AGENCIES AND EMPLOYEES, SO AS TO PROVIDE LIABILITY INSURANCE FOR STATE AGENCIES AND OTHER PUBLIC ENTITIES THROUGH THE DIVISION OF INSURANCE SERVICES RATHER THAN THE DIVISION OF GENERAL SERVICES AND TO AUTHORIZE SUCH COVERAGE FOR PHYSICIANS OR DENTISTS WHO ARE PAID FOR PROFESSIONAL SERVICES FROM FEES PAID TO A PRACTICE PLAN AUTHORIZED BY THEIR EMPLOYERS WHETHER OR NOT INCORPORATED AND REGISTERED WITH THE SECRETARY OF STATE; AND TO AMEND SECTIONS 15-78-30, 15-78-70, AND 15-78-120, ALL AS AMENDED, RELATING TO DEFINITIONS, APPLICATIONS, AND LIMITATIONS ON LIABILITY FOR PURPOSES OF THE SOUTH CAROLINA TORT CLAIMS ACT, SO AS TO PROVIDE THAT THE ACT EXTENDS TO A LICENSED PHYSICIAN AND DENTIST OTHERWISE COVERED WHO RECEIVES FEES FROM A PRACTICE PLAN AUTHORIZED BY THE LICENSEE'S EMPLOYER WHETHER OR NOT INCORPORATED AND REGISTERED WITH THE SECRETARY OF STATE.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 1-11-140 of the 1976 Code is amended to read:
"Section 1-11-140(A). The State Budget and Control Board, through the Division of General Insurance Services, is authorized to provide insurance for the State, its departments, agencies, institutions, commissions, boards, and the personnel employed by the State in its departments, agencies, institutions, commissions, and boards so as to protect the State against tort liability and to protect these personnel against tort liability arising in the course of their employment. The insurance also may also be provided for physicians or dentists employed by the State, its departments, agencies, institutions, commissions, or boards against any tort liability arising out of the rendering of any professional services as a physician or dentist for which no fee is charged or professional services rendered of any type whatsoever so long as any fees received are directly payable to the employer of a covered physician or dentist, or to any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State; provided, any insurance coverage provided by the Budget and Control Board may be on the basis of claims made or upon occurrences. The insurance also may also be provided for students of high schools, South Carolina Technical Schools, or state-supported colleges and universities while these students are engaged in work study, distributive education, or apprentice programs on the premises of private companies. Premiums for the insurance must be paid from appropriations to or funds collected by the various entities, except that in the case of the above-referenced students in which case the premiums must be paid from fees paid by students participating in these training programs. The board has the exclusive control over the investigation, settlement, and defense of claims against the various entities and personnel for whom it provided insurance coverage and may promulgate regulations in connection therewith.
(B) Any political subdivision of the State, including, without limitations, municipalities, counties, and school districts, may procure the insurance for itself and for its employees in the same manner provided for the procurement of this insurance for the State, its entities, and its employees.
(C) The procurement of tort liability insurance in the manner provided is the exclusive means for the procurement of this insurance.
(D) The State Budget and Control Board, through the Division of General Insurance Services, also is also authorized to offer insurance to governmental hospitals and chartered, nonprofit, eleemosynary hospitals in this State so as to protect these hospitals against tort liability. Notwithstanding any other provision of this section, the procurement of tort liability insurance by a hospital supported wholly or partially by public funds contributed by the State or any of its political subdivisions in the manner herein provided is not the exclusive means by which the hospital may procure tort liability insurance.
(E) The State Budget and Control Board, through the Division of General Insurance Services, is authorized to provide insurance for duly appointed members of the boards and employees of health system agencies, and for members of the State Health Coordinating Council which are created pursuant to Public Law 93-641.
(F) The State Budget and Control board, through the Division of General Insurance Services, is further authorized to provide insurance as prescribed in Sections 10-7-10 through 10-7-40, 59-67-710, and 59-67-790.
(G) Documentary or other material prepared by or for the Division of General Insurance Services in providing any insurance coverage authorized by this section or any other provision of law which is contained in any claim file is subject to disclosure to the extent required by the Freedom of Information Act only after the claim is settled or finally concluded by a court of competent jurisdiction."
SECTION 2. The second paragraph of Section 15-78-30(c) of the 1976 Code, as last amended by Act 352 of 1988, is further amended to read:
"On or after January 1, 1989, `Employee' means any officer, employee, or agent of the State or its political subdivisions, including elected or appointed officials, law enforcement officers, and persons acting on behalf or in service of a governmental entity in the scope of official duty, whether with or without compensation, but the term does not include an independent contractor doing business with the State or any political subdivision thereof. Custody of prisoners by the State or any of its political subdivisions does not in and of itself create an employer and employee relationship between the State and the prisoner. Provided, the provisions of this section shall in no way limit or modify the liability of a licensed physician or dentist, acting within the scope of his profession, with respect to any action or claim brought hereunder which involved services for which the physician or dentist was paid, should have been paid, or expected to be paid at the time of the rendering of the services from any source other than the salary appropriated by the governmental entity or fees received from any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State."
SECTION 3. The second paragraph of Section 15-78-70(c) of the 1976 Code, as last amended by Act 352 of 1988, is further amended to read:
"On or after January 1, 1989, a person, when bringing an action against a governmental entity under the provisions of this chapter, shall name as a party defendant only the agency or political subdivision for which the employee was acting and is not required to name the employee individually, unless the agency or political subdivision for which the employee was acting cannot be determined at the time the action is instituted. In the event that the employee is individually named, the agency or political subdivision for which the employee was acting must be substituted as the party defendant. The provisions of this section in no way shall limit or modify the liability of a licensed physician or dentist, acting within the scope of his profession, with respect to any action or claim brought hereunder which involved services for which the physician or dentist was paid, should have been paid, or expected to be paid at the time of the rendering of the services from any source other than the salary appropriated by the governmental entity or fees received from any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State."
SECTION 4. Section 15-78-120(a)(5) of the 1976 Code, as added by Act 352 of 1988, is amended to read:
"(5) The provisions of Section 15-78-120(a)(3) and (a)(4) shall in no way limit or modify the liability of a licensed physician or dentist, acting within the scope of his profession, with respect to any action or claim brought hereunder which involved services for which the physician or dentist was paid, should have been paid, or expected to be paid at the time of the rendering of the services from any source other than the salary appropriated by the governmental entity or fees received from any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State."
SECTION 5. This act takes effect upon approval by the Governor.