South Carolina General Assembly
112th Session, 1997-1998

Bill 539


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Bill Number:                       539
Type of Legislation:               General Bill GB
Introducing Body:                  Senate
Introduced Date:                   19970313
Primary Sponsor:                   Martin
All Sponsors:                      Martin and Hayes 
Drafted Document Number:           bbm\9068jm.97
Residing Body:                     Senate
Current Committee:                 Transportation Committee 15
                                   ST
Subject:                           Graduated Driver Licensing Act,
                                   Driver license age revised; Motor
                                   Vehicles, DUI, proof of liability
                                   insurance, etc.



History


Body    Date      Action Description                       Com     Leg Involved
______  ________  _______________________________________  _______ ____________
Senate  19970313  Introduced, read first time,             15 ST
                  referred to Committee

View additional legislative information at the LPITS web site.


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

A BILL

TO AMEND CHAPTER 1, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DRIVER'S LICENSES, BY ADDING ARTICLE 8 SO AS TO PROVIDE FOR THE GRADUATED LICENSING OF DRIVERS UNDER THE AGE OF EIGHTEEN; TO AMEND SECTION 56-1-50, AS AMENDED, RELATING TO DRIVER'S LICENSE REQUIREMENTS AND BEGINNER'S PERMITS, SO AS TO, AMONG OTHER THINGS, RAISE THE AGE FOR APPLYING FOR A BEGINNER'S PERMIT, RAISE THE MINIMUM AGE OF THE ACCOMPANYING DRIVER, INCREASE THE FEE FOR A BEGINNER'S OR RENEWAL PERMIT, AND DELETE CERTAIN LANGUAGE; TO AMEND SECTION 56-1-40, AS AMENDED, RELATING TO DRIVER'S LICENSES, PERSONS WHO MAY NOT BE LICENSED OR HAVE THEIR LICENSE RENEWED, AND BEGINNER'S OR INSTRUCTION PERMITS, SO AS TO DELETE THE PROVISION THAT PROHIBITS THE ISSUANCE OF A MOTOR VEHICLE DRIVER'S LICENSE TO, OR THE RENEWAL OF THE LICENSE OF, A PERSON WHO IS UNDER SIXTEEN YEARS OF AGE AND DELETE THE PROVISIONS AUTHORIZING THE ISSUANCE OF A BEGINNER'S OR INSTRUCTION PERMIT AS PROVIDED IN SECTIONS 56-1-50 AND 56-1-60 TO A PERSON AT LEAST FIFTEEN YEARS OF AGE AND AUTHORIZING THE ISSUANCE OF A SPECIAL RESTRICTED LICENSE TO A PERSON AT LEAST FIFTEEN AND LESS THAN SIXTEEN YEARS OLD AS PROVIDED IN SECTION 56-1-180; TO AMEND SECTION 56-1-80, AS AMENDED, RELATING TO APPLICATION FOR DRIVER'S LICENSE OR PERMIT, SO AS TO ADD PROVISIONS PROVIDING, AMONG OTHER THINGS, THAT EVERY PERSON UNDER THE AGE OF EIGHTEEN YEARS WHO MAKES AN APPLICATION FOR A DRIVER'S LICENSE SHALL, IN ADDITION TO COMPLYING WITH SECTION 56-1-80(A), FURNISH WRITTEN PROOF OF SUCCESSFUL COMPLETION OF A STATE-APPROVED DRIVER EDUCATION COURSE; TO AMEND SECTION 38-73-470, AS AMENDED, RELATING TO DISPOSITION OF THE UNINSURED MOTORIST PREMIUM, SO AS TO, AMONG OTHER THINGS, INCREASE THE PORTION OF THIS PREMIUM THAT MUST BE USED TO ADMINISTER CERTAIN PROVISIONS OF LAW AND PROVIDE FOR THE TRANSFERENCE OF THIS PORTION TO THE DEPARTMENT OF INSURANCE, RATHER THAN THE DEPARTMENT OF PUBLIC SAFETY; BY ADDING SECTION 38-73-738 SO AS TO PROVIDE THAT UPON REQUEST THE DEPARTMENT OF INSURANCE SHALL ISSUE TO EACH FIRST-TIME DRIVER'S LICENSE APPLICANT WHO IS AT LEAST SIXTEEN YEARS OF AGE BUT LESS THAN EIGHTEEN YEARS OF AGE A DRIVER TRAINING VOUCHER, PROVIDE FOR THE ESTABLISHMENT OF AN APPROVED DRIVER TRAINING COURSE, AND PROVIDE FOR RELATED MATTERS; TO AMEND SECTION 56-5-2940, AS AMENDED, RELATING TO THE PENALTIES FOR VIOLATING THE CODE SECTION WHICH MAKES IT UNLAWFUL FOR NARCOTIC USERS OR PERSONS UNDER THE INFLUENCE OF LIQUOR, DRUGS, OR LIKE SUBSTANCES TO DRIVE A MOTOR VEHICLE, SO AS TO INCREASE THE EXISTING PENALTIES AND PROVIDE ADDITIONAL PENALTIES; TO AMEND SECTION 56-5-2945, AS AMENDED, RELATING TO CAUSING "GREAT BODILY INJURY" OR DEATH BY OPERATING A MOTOR VEHICLE WHILE UNDER THE INFLUENCE OF DRUGS OR ALCOHOL, SO AS TO INCREASE THE VARIOUS PENALTIES PROVIDED IN THIS SECTION; TO AMEND SECTION 56-5-2950, AS AMENDED, RELATING TO THE IMPLIED CONSENT TO CERTAIN CHEMICAL TESTS TO DETERMINE THE PRESENCE OF ALCOHOL OR DRUGS OF THE OPERATOR OF A MOTOR VEHICLE, SO AS TO, AMONG OTHER THINGS, MAKE THE IMPLIED CONSENT APPLICABLE IF THE PERSON IS "APPREHENDED", INCREASE THE PERIOD OF SUSPENSION OF A DRIVER'S LICENSE IN THE EVENT OF A REFUSAL TO SUBMIT TO THE VARIOUS TESTS, PROVIDE THAT IF THE PERSON HAS A PRIOR LICENSE SUSPENSION FOR REFUSING TO SUBMIT TO THE TESTS, HIS PRIVILEGE TO DRIVE MUST BE SUSPENDED OR DENIED FOR AN EVEN LONGER PERIOD, AND PROVIDE FOR CERTAIN "REBUTTABLE PRESUMPTIONS", RATHER THAN "INFERENCES", WITH RESPECT TO PERSONS UNDER TWENTY-ONE YEARS OF AGE AND PERSONS WHO ARE TWENTY-ONE AND OLDER; TO AMEND SECTION 56-5-2990, AS AMENDED, RELATING TO SUSPENSION OF THE DRIVER'S LICENSE OF A CONVICTED PERSON AND THE PERIOD OF SUSPENSION, SO AS TO, AMONG OTHER THINGS, DELETE CERTAIN LANGUAGE, INCREASE VARIOUS PERIODS OF SUSPENSION, PROVIDE FOR PERMANENT REVOCATION AT AN EARLIER TIME, AND PROVIDE THAT APPLICANTS WHO HAVE EITHER TWICE FAILED TO COMPLETE THE ALCOHOL AND DRUG SAFETY ACTION PROGRAM OR HAVE HAD THEIR LICENSE TO DRIVE PERMANENTLY REVOKED MAY NOT HAVE THEIR DRIVING PRIVILEGES RESTORED BY THE MEDICAL ADVISORY BOARD; TO AMEND SECTION 56-1-225, AS AMENDED, RELATING TO REEXAMINATION OF DRIVERS INVOLVED IN FOUR ACCIDENTS IN A TWENTY-FOUR MONTH PERIOD, SO AS TO CHANGE THE "FOUR ACCIDENTS" TO "TWO ACCIDENTS", REQUIRE THE DRIVER TO TAKE A PORTION OR ALL OF THE DRIVER'S LICENSE EXAMINATION RATHER THAN LEAVE IT TO STATE AGENCY DISCRETION AND PROVIDE THAT THE EXAMINATION SHALL INCLUDE A TEST OF DRIVING SKILLS; TO AMEND SECTION 56-1-280, AS AMENDED, RELATING TO MANDATORY SUSPENSION OR REVOCATION OF A DRIVER'S LICENSE, SO AS TO PROVIDE FOR REVOCATION OR SUSPENSION FOR NOT LESS THAN THIRTY DAYS OF THE LICENSE OF A PERSON UPON RECEIPT OF NOTICE OF THE CONVICTION OR ADMISSION OF FAULT OF THE PERSON FOR THREE OR MORE VEHICLE ACCIDENTS IN A TWENTY-FOUR MONTH PERIOD AND REQUIRE THIS PERSON TO SUBMIT TO A NEW DRIVER'S LICENSE EXAMINATION INCLUDING A DRIVING TEST, WITHIN THIRTY DAYS AFTER HAVING BEEN NOTIFIED OF THE REVOCATION OR SUSPENSION; TO AMEND SECTION 56-1-270, AS AMENDED, RELATING TO THE SUSPENSION, REVOCATION, OR RESTRICTION OF A DRIVER'S LICENSE ON REEXAMINATION, SO AS TO PROVIDE FOR TAKING THE EXAMINATION REQUIRED IN SECTION 56-1-130; TO AMEND SECTION 56-5-2910, AS AMENDED, RELATING TO RECKLESS HOMICIDE, PENALTIES, AND REVOCATION OF A DRIVER'S LICENSE, SO AS TO INCREASE THE PENALTIES; TO AMEND SECTION 56-5-2920, RELATING TO RECKLESS DRIVING, PENALTIES, AND SUSPENSION OF A DRIVER'S LICENSE, SO AS TO MAKE THE SECTION ALSO APPLICABLE TO A PERSON WHO DRIVES A VEHICLE TWENTY-FIVE MILES PER HOUR OR MORE ABOVE THE POSTED SPEED LIMIT AND INCREASE THE PENALTIES; TO AMEND SECTION 56-5-1520, AS AMENDED, RELATING TO MOTOR VEHICLES, RESTRICTIONS ON SPEED, AND GENERAL RULES AS TO MAXIMUM SPEED LIMITS, SO AS TO, AMONG OTHER THINGS, PROVIDE FOR THE ASSIGNMENT OF DRIVER'S LICENSE POINTS, CHANGE VARIOUS SPEED LIMITS FOR PURPOSES OF THIS SECTION AND CREATE TWO MISDEMEANOR OFFENSES; TO AMEND SECTION 56-1-460, AS AMENDED, RELATING TO PENALTIES FOR DRIVING WHILE A DRIVER'S LICENSE IS CANCELED, SUSPENDED, OR REVOKED, SO AS TO INCREASE CERTAIN PENALTIES; TO AMEND SECTION 56-10-220, AS AMENDED, RELATING TO THE REQUIREMENT THAT A MOTOR VEHICLE SOUGHT TO BE REGISTERED MUST BE INSURED AND PROOF OF INSURANCE, SO AS TO, AMONG OTHER THINGS, DELETE LANGUAGE APPERTAINING TO "CERTIFICATE" OF INSURANCE AND REPLACE IT WITH THE REQUIREMENT TO PROVIDE "RECEIPT OF PAYMENT" CONFIRMING THAT THE VEHICLE IS INSURED, OR "RECEIPT OF PROOF" OF INSURANCE; BY ADDING SECTION 56-10-225 SO AS TO PROVIDE FOR THE ISSUANCE OF WINDOW DECALS INDICATING THE DATE ON WHICH AN AUTOMOBILE INSURANCE POLICY FOR THAT VEHICLE HAS BEEN FULLY PAID AND PROVIDE FOR RELATED AND INCIDENTAL MATTERS; TO AMEND SECTION 56-10-260, RELATING TO FALSE CERTIFICATE OR FALSE EVIDENCE OF AUTOMOBILE INSURANCE AND PENALTIES, SO AS TO DELETE REFERENCE TO "MAKING A FALSE CERTIFICATE" OF INSURANCE OR PRESENTING FALSE EVIDENCE OF THE SAME AND REPLACING THAT WITH "FILING A FALSE RECEIPT OF PROOF OF INSURANCE" AND CHANGE CERTAIN PENALTIES; BY ADDING SECTION 56-10-275 SO AS TO PROVIDE A PROCEDURE FOR THE IMPOUNDMENT OF A MOTOR VEHICLE WHICH IS BELIEVED TO BE UNINSURED AND PROVIDE FOR RELATED MATTERS; BY ADDING SECTION 56-10-276 SO AS TO ESTABLISH A PROCEDURE FOR CONDUCTING A HEARING ON THE ISSUE OF IMPOUNDMENT OF MOTOR VEHICLES PURSUANT TO SECTION 56-10-275 AND PROVIDE FOR RELATED MATTERS; BY ADDING SECTION 38-77-116 SO AS TO REQUIRE THE AUTHORIZED AGENTS FOR EVERY AUTOMOBILE INSURER COVERED BY SECTION 38-77-110 TO CONDUCT A COMPLETE VISUAL INSPECTION OF THE ACTUAL VEHICLE TO BE INSURED BEFORE WRITING AN INSURANCE POLICY ON THAT VEHICLE AND PROVIDE THAT THE INSURER MAY ACCOUNT FOR A PREEXISTING PHYSICAL DAMAGE TO A VEHICLE WHEN SETTLING CLAIMS FOR THAT VEHICLE; TO AMEND SECTION 38-55-540, RELATING TO THE "OMNIBUS INSURANCE FRAUD AND REPORTING IMMUNITY ACT", CRIMINAL PENALTIES FOR MAKING FALSE STATEMENT OR MISREPRESENTATION, AND RESTITUTION TO VICTIMS, SO AS TO CHANGE ONE OF THE MISDEMEANOR OFFENSES TO A FELONY OFFENSE AND INCREASE PENALTIES; TO AMEND SECTION 38-55-550, RELATING TO THE "OMNIBUS INSURANCE FRAUD AND REPORTING IMMUNITY ACT" AND CIVIL PENALTIES, SO AS TO ADD PROVISIONS FOR RESTITUTION TO THE VICTIM OR VICTIMS OF THE INSURANCE FRAUD; TO AMEND SECTION 38-55-570, AS AMENDED, RELATING TO THE "OMNIBUS INSURANCE FRAUD AND REPORTING IMMUNITY ACT" AND NOTIFICATION TO THE INSURANCE FRAUD DIVISION OF KNOWLEDGE OR BELIEF OF FALSE STATEMENTS OR MISREPRESENTATIONS, SO AS TO ADD PROVISIONS THAT A PERSON, INSURER, OR AUTHORIZED AGENCY THAT FAILS TO COMPLY WITH THE DIVISION'S REQUEST FOR INFORMATION RELATING TO A SUSPECTED FALSE STATEMENT OR MISREPRESENTATION AS SET FORTH IN SUBSECTION (B) OF THIS SECTION IS GUILTY OF A MISDEMEANOR AND SUBJECT TO CERTAIN SPECIFIED SANCTIONS; BY ADDING SECTION 38-77-370 SO AS TO PROVIDE FOR ANTIFRAUD INVESTIGATIVE UNITS OR DIVISIONS BY CERTAIN AUTOMOBILE INSURERS AND FOR ANTIFRAUD PLANS BY CERTAIN OTHER INSURERS AND PROVIDE FOR RELATED MATTERS; TO AMEND SECTION 38-77-30, AS AMENDED, RELATING TO DEFINITIONS UNDER THE AUTOMOBILE INSURANCE LAW, SO AS TO REDEFINE "DAMAGES" AND PROVIDE A DEFINITION FOR "PUNITIVE DAMAGES"; BY ADDING SECTION 38-77-325 SO AS TO PROVIDE THAT IN EVERY PREMIUM NOTICE OR BILL FOR PRIVATE PASSENGER AUTOMOBILE INSURANCE WHERE THE INSURER HAS OPTED AGAINST INSURING THE INSURED AGAINST PUNITIVE DAMAGES THE POLICY SHALL CONTAIN A NOTICE INFORMING THE INSURED THAT THE COVERAGE DOES NOT COVER ANY PUNITIVE DAMAGES ASSESSED AGAINST HIM AND PROVIDE FOR RELATED MATTERS; TO AMEND SECTION 38-77-110, AS AMENDED, RELATING TO THE "MANDATE TO WRITE" AND AUTOMOBILE INSURANCE COVERAGE, THE REQUIREMENT UPON INSURERS TO INSURE, AND EXCEPTIONS, SO AS TO PROVIDE THAT NO INSURER IS REQUIRED TO INSURE AGAINST PUNITIVE DAMAGES ASSESSED AGAINST AN INSURED FOR THE INSURED'S GROSS NEGLIGENCE OR WANTON OR RECKLESS MISCONDUCT IN OPERATING A MOTOR VEHICLE; BY ADDING SECTION 38-77-327 SO AS TO PROVIDE THAT UNDER THE AUTOMOBILE INSURANCE LAW IN AN ACTION FOR MONETARY DAMAGES THE TOTAL AMOUNT AWARDED FOR PUNITIVE DAMAGES AGAINST ALL DEFENDANTS FOUND TO BE LIABLE MUST BE DETERMINED BY THE TRIER OF FACT, THAT PUNITIVE DAMAGES MAY BE AWARDED ONLY IF ACTUAL DAMAGES ARE AWARDED, AND THAT IF NO AWARD OF ACTUAL DAMAGES IS MADE, THE CLAIM FOR PUNITIVE DAMAGES MUST BE DISMISSED; TO AMEND SECTION 15-33-135, RELATING TO CIVIL REMEDIES, VERDICTS, PUNITIVE DAMAGES, AND BURDEN OF PROOF, SO AS TO SET FORTH WHAT THE PLAINTIFF MUST ACTUALLY SHOW ON THE PART OF THE DEFENDANT IN ORDER TO CARRY THE BURDEN OF PROOF SUCCESSFULLY AND DEFINE "CLEAR AND CONVINCING EVIDENCE"; BY ADDING SECTION 38-77-185 SO AS TO PROVIDE THAT THE PREVAILING PARTY IN A CIVIL ACTION RELATING TO THE REJECTION OF INSURANCE CLAIMS OR REASONABLE SETTLEMENT OFFERS BY AN AUTOMOBILE INSURER TO PAY FOR BODILY INJURY AND PROPERTY DAMAGE INCURRED BY AN INSURED PARTY AS THE RESULT OF AN AUTOMOBILE ACCIDENT IS ENTITLED TO ATTORNEYS' FEES WHICH MUST BE PAID BY THE NONPREVAILING PARTY AND PROVIDE FOR RELATED MATTERS; TO AMEND CHAPTER 77, TITLE 38, RELATING TO AUTOMOBILE INSURANCE, BY ADDING ARTICLE 4 SO AS TO ENACT THE "CONTINGENCY FEE FAIRNESS AND DISCLOSURE ACT" AND PROVIDE FOR THE REGULATION OF ATTORNEY'S FEES IN AUTOMOBILE ACCIDENT CASES AND PROVIDE FOR RELATED AND OTHER MATTERS; TO CHANGE THE TITLE OF ARTICLE 7 OF CHAPTER 77 OF TITLE 38 FROM "ARBITRATION OF PROPERTY DAMAGE LIABILITY CLAIMS" TO "ALTERNATIVE DISPUTE RESOLUTION OF PROPERTY DAMAGE AND BODILY INJURY LIABILITY CLAIMS" FOR PURPOSES OF THE AUTOMOBILE INSURANCE LAW; TO AMEND SECTION 38-77-710, RELATING TO APPOINTMENT OF ATTORNEYS AS ARBITRATORS TO HEAR AND DETERMINE PROPERTY DAMAGE LIABILITY CLAIMS IN MOTOR VEHICLE ACCIDENT CASES, SO AS TO DELETE CERTAIN OBSOLETE LANGUAGE AND PROVISIONS, REFERENCE THE SOUTH CAROLINA RULES OF CIVIL PROCEDURE AND THE SOUTH CAROLINA RULES OF EVIDENCE, PROVIDE FOR THE ARBITRATION OF BODILY INJURY LIABILITY CLAIMS, AND PROVIDE THAT ARBITRATION PROCEEDINGS MUST BE ADMINISTERED PURSUANT TO AND ARE SUBJECT TO PROCEDURES ESTABLISHED BY THE AMERICAN ARBITRATION ASSOCIATION; TO AMEND SECTION 38-77-720, RELATING TO THE NUMBER, QUALIFICATIONS, AND COMPENSATION OF ARBITRATORS OF MOTOR VEHICLE ACCIDENT CLAIMS, SO AS TO INCREASE THE MAXIMUM COMPENSATION OF EACH ARBITRATOR, CHANGE THE MEANS AND MANNER OF PAYING THIS COMPENSATION, AND CHANGE THE PROVISIONS REGARDING PAYMENT OF THE REQUIRED FEE TO THE CLERK OF COURT; TO AMEND SECTION 38-77-730, RELATING TO REQUESTS FOR ARBITRATION OF MOTOR VEHICLE ACCIDENT CLAIMS AND THE ARBITRATION DOCKET, SO AS TO, AMONG OTHER THINGS, INCLUDE COVERAGE OF BODILY INJURY LIABILITY CLAIMS, PROVIDE FOR THE AMOUNT IN ARBITRATION, AND CHANGE THE FEE FOR SERVICE OF THE CLAIM; TO AMEND SECTION 38-77-740, RELATING TO ARBITRATION OF CLAIMS ARISING FROM MOTOR VEHICLE ACCIDENTS, HEARING, NOTICE TO PARTIES, DAMAGES TO BE AWARDED, AND SECURING ATTENDANCE OF WITNESSES, SO AS TO APPLY THE SECTION TO BODILY INJURY CLAIMS, REQUIRE THAT AN ESTIMATE OF THE EXTENT OF BODILY INJURY SIGNED BY THE TREATING PHYSICIAN BE BROUGHT TO THE ARBITRATION HEARING, IF APPLICABLE, AS WELL AS BILLS FOR MEDICAL EXPENSES INCURRED OR EXPECTED TO BE INCURRED, ALSO IF APPLICABLE, AND PROVIDE FOR THE METHOD, MANNER, AND EXTENT OF AWARDING DAMAGES FOR BODILY INJURY; AND TO AMEND SECTION 38-77-770, RELATING TO THE RIGHT TO APPEAL DECISIONS IN ARBITRATION HEARINGS OF CLAIMS ARISING FROM MOTOR VEHICLE ACCIDENTS, SO AS TO PROVIDE THAT THE TRIAL ON APPEAL MUST BE A TRIAL "ON THE RECORD" RATHER THAN A TRIAL "DE NOVO", CHANGE THE PERIOD OF TIME FOR SERVING THE NOTICE OF APPEAL, AND PROVIDE FOR THE PAYMENT OF THE COSTS OF THE ARBITRATION PROCEEDING.

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

SECTION 1. Chapter 1, Title 56 of the 1976 Code is amended by adding:

"Article 8

Graduated Driver Licensing

Section 56-1-1410. This article is known and may be cited as the 'Graduated Driver Licensing Act'.

Section 56-1-1420. (A) Except as provided in this section, the department may issue a driver's license to an individual under the age of eighteen, provided the individual:

(1) is at least seventeen years of age;

(2) has satisfactorily completed a mandatory driver's education course through a driver's training program; and

(3) has his application signed pursuant to the requirements of Section 56-1-100.

(B) The Individual is exempt from required instruction if he has been licensed to drive in another state for a period not less than six months and the exemption is justified by actual driving experience.

(C) The department may issue a driver's license at any time to an individual who has been licensed regularly to drive in this State, in another state or country, or by the armed forces of the United States, if the department is satisfied that the applicant's experience is sufficient. The department may require examination of the applicant's driving.

Section 56-1-1430. (A) The department may issue a learner's instructional permit to an individual who:

(1) has reached the age of sixteen years; and

(2) has the application signed pursuant to the requirements of Section 56-1-100.

(B) A learner's instructional permit expires one hundred eighty days after the date of issuance.

(C) The holder of a learner's instructional permit may drive only while he is accompanied by and under the immediate supervision of an individual who:

(1) is at least twenty-one years old;

(2) has been licensed for at least four years in this State or in another state; and

(3) unless the vehicle is a motorcycle, is seated beside the holder of the learner's instructional permit.

(D) An individual who is at least sixteen years old may drive a motor vehicle on highways in the State without obtaining a learner's instructional permit if:

(1) the individual is enrolled in a approved driver's education course or a licensed driver's school;

(2) the motor vehicle is equipped with a dual brake control and any other required equipment; and

(3) while driving the motor vehicle, the driver is under the control and supervision of either a certified instructor or a qualified student instructor.

Section 56-1-1440. (A) Subject to the provisions of Section 56-1-1420(A), if an applicant for a driver's license is under the age of eighteen and the holder of a learner's instructional permit, the applicant is entitled to receive a provisional driver's license if the applicant:

(1) has possessed a valid learner's instructional permit for at least thirty days immediately before the date of the application;

(2) has passed the examination provided for in this chapter;

(3) has surrendered the learner's instructional permit issued to him; and

(4) has paid the required fee of ten dollars.

(B) A provisional driver's license shall expire upon the licensee's reaching the age of eighteen or upon the conversion of the provisional driver's license to a regular driver's license.

(C) The applicant for a provisional driver's license must have his application signed pursuant to the provisions set forth in Section 56-1-100. If, while the licensee is still less than eighteen years of age, the department receives from the cosigner of the license application of the licensee a written request that the licensee's license be suspended, or if the cosigner dies, the department shall suspend the license and may not reinstate the license until another qualified adult cosigns pursuant to Section 56-1-100 or the licensee becomes eighteen years of age.

(D) The provisional driver's license shall be distinguished from a regular driver's license by a predominantly yellow color and provisional symbol limiting the licensee to driving unsupervised between the hours of 6:00 a.m. and 12:00 midnight. Between the hours of 12:00 midnight and 6:00 a.m., the provisional driver may drive only if he is accompanied by a licensed driver who is at least twenty-one years of age. The restriction may be modified or waived by the department if the restricted licensee proves to the department's satisfaction that the restriction interferes or substantially interferes with:

(1) employment or the opportunity for employment;

(2) travel between the licensee's home and place of employment or school; or

(3) travel between the licensee's home or place of employment, work, and vocational training.

Section 56-1-1450. If the applicant for a driver's license is under the age of eighteen and is the holder of a provisional driver's license, then the applicant is entitled to receive a driver's license if the applicant:

(A) has possessed a valid provisional driver's license for the twelve-month period immediately preceding the date of the application for a driver's license; and

(B) has not be convicted of a traffic violation which was committed during this period and for which points may be assessed under this title, and has completed an approved minimum basic training course.

Section 56-1-1460. (A) A driver under the age of twenty-one holding a driver's license, provisional license, or a learner's instructional permit is prohibited from driving or attempting to drive a motor vehicle with any alcohol concentration as determined by an analysis of the person's blood or breath.

(B) A driver under the age of twenty-one in violation of subsection (A) is subject to the penalties in Section 56-5-2990."

SECTION 2. Section 56-1-50 of the 1976 Code, as last amended by Section 121E, Part II, of Act 497 of 1994, is further amended to read:

"Section 56-1-50. (A) A person who is at least fifteen sixteen years of age may apply to the department for a beginner's permit. After the applicant has passed successfully all parts of the examination other than the driving test, the department may issue to the applicant a beginner's permit which entitles the applicant having the permit in his immediate possession to drive a motor vehicle on the public highways for not more than twelve months. While driving the permittee must be accompanied by a licensed driver eighteen twenty-one years of age or older who has had at least one year four years of driving experience, and who is occupying a seat beside the driver, except when the permittee is operating a motorcycle. A three-wheel vehicle requires the accompanying driver to be directly behind the driver on a saddle-type seat or beside the driver on a bench-type seat. A beginner's permit may be renewed or a new permit issued for additional periods of twelve months, but the department may refuse to renew or issue a new permit where the examining officer has reason to believe the applicant has not made a bona fide effort to pass the required driver's road test or does not appear to the examining officer to have the aptitude to pass the road test. The fee for every beginner's or renewal permit is two five dollars and fifty cents, and the permit must bear the full name, date of birth, and residence address and a brief description and color photograph of the permittee and a facsimile of the signature of the permittee or a space upon which the permittee shall write his usual signature with pen and ink immediately upon receipt of the permit. No permit is valid until it has been so signed by the permittee.

(B) A student regularly enrolled in a high school of this State which conducts a driver training course is not required to obtain a beginner's permit to operate a motor vehicle while the student is participating in the driver training course and when accompanied by a qualified instructor of the driver training course if:

(1) the individual is enrolled in an approved driver's education course;

(2) the motor vehicle is equipped with a dual brake control and any other required equipment; and

(3) while driving the motor vehicle, the driver is under the control and supervision of either a certified instructor or a qualified student instructor.

Also exempted from the requirement of the beginner's permit are persons enrolled in driver training courses conducted by driver training schools licensed under Chapter 23 of this title. However, these persons at all times must be accompanied by an instructor of the school and only may drive only an automobile that is:

(1) equipped with a dual brake control and any other required equipment; and

(2) owned or leased by the school; and

(3) which is covered by liability and property damage insurance in an amount not less than the minimum required by law."

SECTION 3. Section 56-1-40 of the 1976 Code, as last amended by act 459 of 1996, is further amended to read:

"Section 56-1-40. The department may not issue a motor vehicle driver's license to or renew the driver's license of a person:

(1) who is under sixteen years of age. However, the department may issue a beginner's or instruction permit as provided in Sections 56-1-50 and 56-1-60 to a person who is at least fifteen years of age, and the department may issue a special restricted driver's license to a person who is at least fifteen years of age and less than sixteen years of age as provided in Section 56-1-180;

(2) whose driver's license or privilege to operate a motor vehicle currently is suspended or revoked in this State or another jurisdiction, except as otherwise provided for in this title;

(3)(2) who is an habitual user of alcohol or any other drug to a degree which prevents him from safely operating a motor vehicle;

(4)(3) who has a mental or physical condition which prevents him from safely operating a motor vehicle;

(5)(4) who is required by this article to take an examination, unless the person successfully has passed the examination;

(6)(5) who is required under the laws of this State to provide proof of financial responsibility and has not provided the proof;

(7)(6) who is not a resident of South Carolina, except for persons from other countries who are present in South Carolina on a student visa or on a work visa or the dependents of the student or worker who may be issued a license. However, the granting of the license is not evidence of meeting the residency requirements of Section 59-112-20;

(8)(7) who must not be issued a license as otherwise provided by the laws of this State."

SECTION 4. Section 56-1-80 of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:

"Section 56-1-80. (A) Every application for a driver's license or permit must:

(1) be made upon the form furnished by the department;

(2) be accompanied by the proper fee and acceptable proof of date and place of birth;

(3) contain the full name, date of birth, sex, race, and residence address of the applicant and briefly describe the applicant;

(4) state whether the applicant has been licensed as an operator or chauffeur and, if so, when and by what state or country; and

(5) state whether a license or permit has been suspended or revoked or whether an application has been refused and, if so, the date of and reason for the suspension, revocation, or refusal.

(B) Every person under the age of eighteen years who makes an application for a driver's license, in addition to complying with Section 56-1-80(A), shall furnish written proof of successful completion of a state-approved driver education course. To defray the cost of taking the course, the applicant may request a driver training voucher from the Department of Insurance as provided for in Section 38-73-738. The Department of Public Safety shall inform applicants for beginner's permits and driver's licenses of the availability of this voucher. This requirement must be complied with before the issuance of a special restricted license as provided for in Section 56-1-180.

(C) The Department of Public Safety, upon satisfactory proof that a minor who is at least sixteen years of age but less than eighteen years of age has become a resident of South Carolina and has a valid driver's license from his prior state of residence but has not completed a driver training course, may grant the minor a temporary driver's license under terms considered necessary by the department to allow the minor to operate a motor vehicle of a specified type or class in this State in order to obtain the driver training course necessary for earning a driver's license in South Carolina.

(D) Whenever an application is received from a person previously licensed or permitted in another state, the Department of Public Safety, may request a copy of the applicant's record from the other state. When received, the record becomes a part of the driver's record in this State with the same effect as though entered on the operator's record in this State in the original instance. Every person who obtains a driver's license or permit for the first time in South Carolina and every person who renews his driver's license or permit in South Carolina must be furnished a written request form for completion and verification of liability insurance coverage.

The completed and verified form or an affidavit prepared by the department that neither he, nor a resident relative, owns a motor vehicle subject to the provisions of this chapter, must be completed and delivered to the department at the time the license or permit is issued or renewed."

SECTION 5. Section 38-73-470 of the 1976 Code, as last amended by Section 787 of Act 181 of 1993, is further amended to read:

"Section 38-73-470. One dollar Three dollars of the yearly premium for uninsured motorist coverage must be transferred to the South Carolina Department of Public Safety Insurance, payable on a quarterly basis, to provide funds for the costs of enforcing and administering the provisions of Article 3, Chapter 10, Title 56 Section 38-73-738."

SECTION 6. The 1976 Code is amended by adding:

"Section 38-73-738. (A) Upon request, the Department of Insurance shall issue to each first-time driver's license applicant who is at least sixteen years of age but less than eighteen years of age one driver training voucher. There must be one uniform voucher printed in triplicate on a form determined by the department. The voucher must contain the following information:

(1) holder's name and address;

(2) holder's birth date;

(3) holder's social security number;

(4) date issued and date of expiration;

(5) holder's signature;

(6) name and address of the school district or driver training school;

(7) use date;

(8) signature of the appropriate school official; and

(9) validation date by the department.

(B) The Director of the Department of Insurance is authorized to promulgate regulations to implement the provisions of subsection (A), including setting the amount of the voucher under this section for the driver education schools licensed by and operating in this State.

(C) An approved driver training course for purposes of this section is a driver training course which has been approved by the South Carolina Department of Education, the South Carolina Department of Public Safety, or any other responsible educational agency and conducted by:

(1) a recognized secondary school, college, or university;

(2) instructors certified by the South Carolina Department of Education, the South Carolina Department of Public Safety, or any other responsible educational agency; or

(3) any other school approved and supervised by the South Carolina Department of Education, the South Carolina Department of Public Safety, or other responsible educational agency.

The requirements of the course must include the following minimum criteria:

(a) eight hours of classroom instruction for commercial driver training school-approved courses, thirty hours of classroom instruction for a public or private secondary school course;

(b) ten hours of actual on-street practice driving for commercial driver trainees; six hours of actual on-street practice driving for a public or private secondary school course;

(c) instruction on the effects drugs and alcohol have on the operation of motor vehicles and the consequences of drug and alcohol-impaired driving; and

(d) a relevant objective test on the course material.

(D) For purposes of this section 'satisfactory evidence' is a certificate, signed by an appropriate official of the school, the South Carolina Department of Education, the South Carolina Department of Public Safety, or other responsible educational agency, which certifies that:

(1) the person received a passing grade on the relevant objective test on the course material;

(2) the course was approved by, and the instructors were certified by, the South Carolina Department of Education, the South Carolina Department of Public Safety, or other responsible educational agency; and

(3) for schools other than recognized secondary schools, colleges, or universities, the school was approved and supervised by the South Carolina Department of Education, the South Carolina Department of Public Safety, or other responsible educational agency.

(E) Successful completion of a driver training course as provided in this section entitles the person to the driver training credit provided in Regulation 69-13.2(I) for youthful operators.

(F) An applicant for a driver's license who is at least sixteen years of age but less than eighteen years of age is required to complete successfully a driver training course before obtaining a driver's license and to provide certification of completion to the Department of Public Safety.

(G) Notwithstanding any other provision of law, every driver training school licensed by the State must provide for the value of the voucher presented the required class as specified by the Department of Insurance for driver education program purposes, and if an applicant as described in subsection (A) of this section fails to complete successfully the driver training course as described in this section, the applicant is entitled, for purposes of the driver training voucher, to one makeup of the driver training course at the cost of fifty dollars to him."

SECTION 7. Section 56-5-2940 of the 1976 Code, as last amended by Section 36S, Part II, of Act 497 of 1994, is further amended to read:

"Section 56-5-2940. A person violating a provision of Section 56-5-2930, upon conviction, entry of a plea of guilty or of nolo contendere or forfeiture of bail, must be punished in accordance with the following:

(1) by a fine of two five hundred dollars or imprisonment for not less than forty-eight hours nor more than thirty days, for the first offense. However, in lieu of In addition to the forty-eight hour minimum imprisonment the court may must provide for forty-eight forty hours of public service employment. The minimum forty-eight hour imprisonment or and the forty-hour public service employment must be served at a time when the person is off from work and does not interfere with his regular employment under terms and conditions as the court considers proper. However, the court may not compel an offender to perform public service employment in lieu of the minimum sentence.;

(2) by a fine of not less than two thousand dollars nor more than five thousand dollars and imprisonment for not less than forty-eight hours thirty days nor more than one year for the second offense. However, the fine imposed by this item may not be suspended in an amount less than one thousand dollars. In lieu of service of imprisonment the court may require that the individual complete an appropriate term of public service employment of not less than ten thirty days upon terms and conditions the court considers proper.;

(3) by a fine of not less than three thousand, five hundred dollars nor more than six thousand dollars and imprisonment for not less than sixty days six months nor more than three years, for the third offense.;

(4) imprisonment for not less than one year two years nor more than five years for a fourth offense or subsequent offense.

No part of the minimum sentences provided in this section must be suspended. The court may provide instead of service other sentences provided in this section. For a third or subsequent offense or for a violation of Section 56-5-2945 for great bodily injury the service of the minimum sentence is mandatory. However, the judge may provide for the sentence to be served upon terms and conditions as he considers proper including, but not limited to, weekend service or nighttime service in any fashion he considers necessary.

The fine for a first offense may not be suspended. The court is prohibited from suspending a monetary fine below that of the next preceding minimum monetary fine.

For the purposes of this chapter any conviction, entry of a plea of guilty or of nolo contendere or forfeiture of bail, for the violation of any law or ordinance of this or any other state or any municipality of this or any other state that prohibits any person from operating a motor vehicle while under the influence of intoxicating liquor, drugs, or narcotics shall constitute a prior offense for the purpose of any prosecution for any subsequent violation hereof. Only those offenses which occurred within a period of ten years including and immediately preceding the date of the last offense shall constitute prior offenses within the meaning of this section.

Upon imposition of a sentence of public service, the defendant may apply to the court to be allowed to perform his public service in his county of residence if he has been sentenced to public service in a county where he does not reside."

SECTION 8. Section 56-5-2945 of the 1976 Code, as last amended by Section 252 of Act 184 of 1993, is further amended to read:

"Section 56-5-2945. (A) Any A person who, while under the influence of alcohol, drugs, or the combination of alcohol and drugs, drives a vehicle and when driving does any an act forbidden by law or neglects any duty imposed by law in the driving of the vehicle, which act or neglect proximately causes great bodily injury or death to any a person other than himself, is guilty of a felony and, upon conviction, must be punished:

(1) by a mandatory fine of not less than five thousand dollars nor more than ten thousand dollars and mandatory imprisonment for not less than thirty days one year nor more than fifteen years when great bodily injury results;

(2) by a mandatory fine of not less than ten thousand dollars nor more than twenty-five thousand dollars and mandatory imprisonment for not less than one year five years nor more than twenty-five thirty years when death results.

No part of the mandatory sentences required to be imposed by this section may be suspended, and probation may not be granted for any portion.

(B) As used in this section, 'great bodily injury' means bodily injury which creates a substantial risk of death or which causes serious, permanent disfigurement, or protracted loss or impairment of the function of any bodily member or organ.

The department shall suspend the driver's license of any person who is convicted or who receives sentence upon a plea of guilty or nolo contendere pursuant to this section for a period to include any term of imprisonment plus three five years."

SECTION 9. Section 56-5-2950(a) of the 1976 Code, as last amended by Section 36T, Part II, of Act 497 of 1994, is further amended to read:

"(a) A person who operates a motor vehicle in this State is considered to have given consent to chemical tests of his breath, blood, or urine for the purpose of determining the presence of alcohol or drugs if apprehended or arrested for an offense arising out of acts alleged to have been committed while the person was operating a motor vehicle while under the influence of alcohol, drugs, or a combination of them. A test must be administered at the direction of a law enforcement officer who has apprehended a person for operating a motor vehicle in this State while under the influence of alcohol, drugs, or a combination of them. At the direction of the arresting officer, the person first must be offered a breath test to determine the alcohol concentration of his blood. If the person is physically unable to provide an acceptable breath sample because he has an injured mouth, is unconscious, dead, or for another reason considered acceptable by the licensed medical personnel, a blood sample may be taken. If the officer has reasonable grounds to believe that the person is under the influence of drugs other than alcohol, the officer may order that a urine sample be taken for testing. If the breathalyzer reading is ten one-hundredths of one percent by weight of alcohol in the person's blood or above, the officer may not require additional tests of the person as provided in this chapter. The breath test must be administered by a person trained and certified by SLED, using methods approved by SLED. The arresting officer may not administer the tests. Blood and urine samples must be taken by physicians licensed by the State Board of Medical Examiners, registered nurses licensed by the State Board of Nursing, and other medical personnel trained to take the samples in a licensed medical facility. Blood samples or urine samples must be obtained and handled in accordance with procedures approved by SLED. No tests may be administered or samples taken unless the person has been informed that he does not have to take the test or give the samples but that his privilege to drive must be suspended or denied for ninety one hundred-eighty days if he refuses to submit to the tests. If the person has a prior suspension for refusing to submit to the tests, his privilege to drive must be suspended or denied for one year. A hospital, physician, qualified technician, chemist, or registered nurse who takes the samples or conducts the test or participates in the process of taking the samples or conducting the test in accordance with this section is not subject to a cause of action for assault, battery, or another cause contending that the drawing of blood or taking samples at the request of the arrested person or a law enforcement officer was wrongful. This release from liability does not reduce the standard of medical care required of the person taking the samples or conducting the test. This qualified release also applies to the employer of the person who conducts the test or takes the samples.

The person tested or giving samples for testing may have a qualified person of his own choosing conduct additional tests at his expense and must be notified of that right. A person's failure to request additional blood or urine tests is not admissible against the person in the criminal trial. The failure or inability of the person tested to obtain additional tests does not preclude the admission of evidence relating to the tests or samples taken at the direction of the law enforcement officer.

The arresting officer shall provide reasonable assistance to the person to contact a qualified person to conduct additional tests.

SLED shall administer the provisions of this subsection and may make regulations necessary to carry out its provisions. The costs of the tests administered at the direction of the law enforcement officer must be paid from the general fund of the State.

A qualified person who obtains samples or administers the tests or assists in obtaining samples or administration of tests at the direction of a law enforcement officer is released from civil and criminal liability unless the obtaining of samples or the administering of tests, or the assistance rendered in obtaining the samples or administration of tests, is performed in a negligent manner. No person may be required by the arresting officer, or by another law enforcement officer, to obtain or take any sample of blood or urine."

SECTION 10. Section 56-5-2950(b) of the 1976 Code is amended to read:

"(b) In any a criminal prosecution for the violation of Section 56-5-2930 or 56-5-2945 relating to operating a vehicle under the influence of alcohol, drugs, or a combination of them, the amount of alcohol in the person's blood at the time of the alleged violation, as shown by chemical analysis of the person's breath or other body fluids, gives rise to the following inferences rebuttable presumptions:

(1)(a) If there was at that time two one-hundredths of one percent or more by weight of alcohol in the blood of a person under the age of twenty-one, it is conclusively presumed that the person was under the influence of alcohol at the time of the alleged offense.

(b) If there was at that time five two one-hundredths of one percent or less by weight of alcohol in the person's blood of a person aged twenty-one or older, it is conclusively presumed that the person was not under the influence of alcohol.

(2) If there was at that time in excess of five one-hundredths of one percent but less than ten one-hundredths of one percent by weight of alcohol in the person's blood of a person aged twenty-one or older, that fact does not give rise to any inference that the person was or was not under the influence of alcohol, but that fact may be considered with other competent evidence in determining the guilt or innocence of the person.

(3) If there was at that time ten one-hundredths of one percent or more by weight of alcohol in the person's blood, it may shall be inferred presumed that the person was under the influence of alcohol.

The provisions of this section must not be construed as limiting the introduction of any other competent evidence bearing upon the question whether or not the person was under the influence of alcohol, drugs, or a combination of them."

SECTION 11. Section 56-5-2950(d) of the 1976 Code, as last amended by Section 1420 of Act 181 of 1993, is further amended to read:

"(d) If a person under arrest refuses, upon the request of a law enforcement officer, to submit to chemical tests as provided in subsection (a) of this section, none may be given, but the department, on the basis of a report of the law enforcement officer that the arrested person was operating a motor vehicle in this State while under the influence of alcohol, drugs, or a combination of them and that the person had refused to submit to the tests, shall suspend his license or permit to drive, or any nonresident operating privilege, for a period of ninety one hundred-eighty days. If the person has a prior suspension for refusing to submit to the tests, his privilege to drive must be suspended or denied for one year. If the person is a resident without a license or permit to operate a motor vehicle in this State, the department shall deny to the person the issuance of a license or permit for a period of ninety either one hundred-eighty days or one year after the date of the alleged violation, as applicable. The ninety-day one hundred-eighty day or one year period of suspension begins with the day after the date of the notice required to be given, unless a hearing is requested as provided, in which case the ninety-day one hundred-eighty day or one year period begins with the day after the date of the order sustaining the suspension or denial of issuance. The report of the arresting officer must include what grounds he had for believing that the arrested person had been operating a motor vehicle in this State while under the influence of alcohol, drugs, or a combination of them. If the arrested person took the chemical breath test but refused to provide a blood or urine sample, the report of the arresting officer officer's report must include what were his grounds for believing that the arrested person was under the influence of drugs other than alcohol. If a person who refuses, upon the request of a law enforcement officer, to submit to chemical tests as provided in subsection (a) of this section, pleads guilty or nolo contendere to, or forfeits bond for, a first offense violation of Section 56-5-2930, within thirty days of arrest, the period of the suspension of driving privileges under this section must be canceled and any suspension of driving privileges under Section 56-5-2990 for a first conviction may not exceed six months one year."

SECTION 12. Section 56-5-2990 of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:

"Section 56-5-2990. The department shall suspend the driver's license of any person who is convicted, receives sentence upon a plea of guilty or of nolo contendere, or forfeits bail posted for the violation of Section 56-5-2930 or for the violation of any other law or ordinance of this State or of any municipality of this State that prohibits any person from operating a motor vehicle while under the influence of intoxicating liquor, alcohol, drugs, or narcotics for six months one year for the first conviction, plea of guilty or of nolo contendere, or forfeiture of bail, one year and for three years for the second conviction, plea of guilty or of nolo contendere, or forfeiture of bail, two years for the third offense, three years for the fourth offense, and a permanent revocation of permanently revoke the driver's license for fifth third and subsequent offenses convictions, pleas of guilty or of nolo contendere, or forfeitures of bail. Only those violations which occurred within ten years including and immediately preceding the date of the last violation shall constitute prior violations within the meaning of this section. Any person whose license is revoked following conviction for a fifth third offense as provided in this section is forever barred from being issued any license by the department or subsequent issuing authority to operate a motor vehicle.

Any A person whose license is suspended under the provisions of this section must be notified of suspension by the department of the requirement to be evaluated by and successfully complete an Alcohol and Drug Safety Action Program certified by the Department of Alcohol and Other Drug Abuse Services prior to reinstatement of the license. An assessment of the degree and kind of alcohol and drug abuse problem, if any, of the applicant must be prepared and a plan of education or treatment, or both, must be developed based upon the assessment. Entry into and successful completion of the services, if such services are necessary, recommended in the plan of education or treatment, or both, developed for the applicant is a mandatory requirement of the restoration of driving privileges to the applicant. The applicant shall bear the cost of the services to be determined by the administering agency and approved by the Department of Alcohol and Other Drug Abuse Services. The cost may not exceed seventy-five dollars for assessment, one hundred twenty-five dollars for education services, two hundred twenty-five dollars for treatment services, and three hundred dollars in total for any and all services. No applicant may be denied services due to an inability to pay. The applicant shall be terminated from the Alcohol and Drug Safety Action Program no later than six months after the date of program enrollment. If the applicant has not successfully completed the services as directed by the Alcohol and Drug Safety Action Program by the end of the six-month period of enrollment, a hearing must be provided by the administering agency and, if further needed, by the Department of Alcohol and Other Drug Abuse Services. If the applicant is unsuccessful in the Alcohol and Drug Safety Action Program, the department may restore the privilege to operate a motor vehicle upon the recommendation of the Medical Advisory Board as utilized by the department if it determines public safety and welfare of the petitioner may not be endangered. Applicants who have either twice failed to complete the Alcohol and Drug Safety Action Program or have had their license to drive permanently revoked may not have their driving privileges restored by the Medical Advisory Board.

The department and the Department of Alcohol and Other Drug Abuse Services shall develop procedures necessary for the communication of information pertaining to relicensing or otherwise. Such These procedures must be consistent with the confidentiality laws of the State and the United States. Successful completion of education, treatment services, or both, for purposes of receiving a provisional driver's license as stipulated in Section 56-1-1330 may be substituted in lieu of services received under the authority of this section at the discretion of the applicant. If the driver's license of any person is suspended by authority of this section, no Insurance company may refuse to issue Insurance to cover the remaining members of his family, but the Insurance company is not liable for any actions of the person whose license has been suspended or who has voluntarily turned his license in to the department."

SECTION 13. Section 56-1-225 of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:

"Section 56-1-225. Any A person licensed to drive a motor vehicle in this State who is involved as a driver in four two accidents in any twenty-four month period, which are reported to the director, may, in the discretion of the department, be is required to take any portion, or all, of the driver's license examination, including a test of driving skills deemed appropriate. Any A person who has had four two such accidents and fails to submit to such the test within thirty days after having been notified by the department shall have his driver's license suspended until he takes and passes such the test."

SECTION 14. Section 56-1-270 of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:

"Section 56-1-270. The department having good cause to believe that a person holding a South Carolina driver's license is incompetent or otherwise not qualified to be licensed because of physical or mental disability may, upon written notice of at least ten days to the licensee, require him to submit to an examination, including the examination required in Section 56-1-130. Upon the conclusion of such the examination, or examinations, the department shall take action as may be appropriate and may suspend or revoke the license of such the person or permit him to retain such the license or may issue a license subject to restrictions permitted under Section 56-1-170. The license of any person may be suspended or revoked if they refuse he refuses or neglect neglects to submit to such an the examination, or examinations."

SECTION 15. Section 56-1-280 of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:

"Section 56-1-280. The department shall revoke or suspend the license of any driver upon receiving a record of such driver's conviction of any offense for which revocation or suspension is required by law.

The department shall revoke the driver's license of any person upon receiving notice of the conviction of such person for:

(1) manslaughter resulting from the operation of a motor vehicle; or

(2) any felony under the laws of this State in the commission of which a motor vehicle is used.

The department shall revoke or suspend for not less than thirty days the driver's license of a person upon receiving notice of the conviction or admission of fault of the person for three or more vehicle accidents in any twenty-four month period. A person who has had three or more such accidents shall submit to a new driver's license examination including a driving test within thirty days after having been notified of the revocation or suspension by the department."

SECTION 16. Section 56-5-2910 of the 1976 Code, as last amended by Act 509 of 1994, is further amended to read:

"Section 56-5-2910. When the death of a person ensues within one year as a proximate result of injury received by the driving of a vehicle in reckless disregard of the safety of others, the person operating the vehicle is guilty of reckless homicide. A person who is convicted of, pleads guilty to, or pleads nolo contendere to reckless homicide is guilty of a felony and must be fined not less than one ten thousand dollars nor more than five twenty-five thousand dollars or imprisoned not less than one year nor more than ten years, or both. The department shall revoke for five years the driver's license of a person convicted of reckless homicide."

SECTION 17. Section 56-5-2920 of the 1976 Code is amended to read:

"Section 56-5-2920. Any A person who drives any a vehicle twenty-five miles per hour or more above the posted speed limit or in such a manner as to indicate either a wilful or wanton disregard for the safety of persons or property is guilty of reckless driving. The department, upon receiving satisfactory evidence of the conviction, of the entry of a plea of guilty or the forfeiture of bail of any person charged with a second and subsequent offense for the violation of this section shall forthwith suspend the driver's license of any such person for a period of three months. Only those offenses which occurred within a period of five years including and immediately preceding the date of the last offense shall constitute prior offenses within the meaning of this section. Any person violating the provisions of this section shall, upon conviction, entry of a plea of guilty or forfeiture of bail, be punished by a fine of not less than twenty-five one hundred dollars nor more than two five hundred dollars or by imprisonment for not more than thirty days."

SECTION 18. Section 56-5-1520(d) of the 1976 Code, as last amended by Act 497 of 1994, is amended to read:

"(d) Any (1) A person violating the speed limits established by this section is guilty of a misdemeanor and, upon conviction for a first offense, must have driver's license points assigned and be fined or imprisoned as follows:

(1)(i) In excess of the above posted limit but not in excess of ten miles an hour by a fine of not less than fifteen dollars nor more than twenty-five dollars;. Two points must be added to the driver's license for this violation.

(2)(ii) In excess of ten miles an hour but less than fifteen miles an hour above the posted limit by a fine of not less than twenty-five dollars nor more than fifty dollars;. Three points must be added to the driver's license for this violation.

(3)(iii) In excess of fifteen miles an hour but less than twenty-five twenty miles an hour above the posted limit by a fine of not less than fifty dollars nor more than seventy-five dollars; and. Four points must be added to the driver's license for this violation.

(4)(iv) In excess of twenty-five twenty miles an hour but less than twenty-five miles an hour above the posted limit by a fine of not less than seventy-five dollars nor more than two hundred dollars or imprisoned for not more than thirty days.

(2) A person convicted twice within three years for violating the speed limits established by this subsection is guilty of a misdemeanor and, upon conviction for the second offense, is subject to the same points and penalties as for the first offense.

(3) A person convicted three times within three years for violating the speed limits established by this subsection is guilty of a misdemeanor and, upon conviction for the third offense, is subject to the same points and penalties as for the first and second offenses and must also be penalized by a thirty-day suspension of his driver's license."

SECTION 19. Section 56-1-460 of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:

"Section 56-1-460. A person who drives a motor vehicle on any a public highway of this State when his license to drive is canceled, suspended, or revoked must, upon conviction, must be fined two five hundred dollars or imprisoned for thirty days for the first violation, for the second violation fined five hundred one thousand dollars and imprisoned for sixty ninety consecutive days, and for the third and subsequent violation imprisoned for not less than ninety one hundred-eighty consecutive days nor more than six months one year, no portion of which may be suspended by the trial judge. The department upon receiving a record of the conviction of any person under this section upon a charge of driving a vehicle while his license was suspended for a definite period of time shall extend the period of the suspension for an additional like period. If the original period of suspension has expired or terminated before trial and conviction, the department shall again suspend the license of the person for an additional like period of time. If the suspension is not for a definite period of time, the suspension must be for an additional three six months. If the license of a person cited for a violation of this section is suspended solely pursuant to the provisions of Section 56-25-20, then the additional period of suspension pursuant to this section is thirty days and the person does not have to offer proof of financial responsibility as required under Section 56-9-500 prior to his license being reinstated. If the conviction was upon a charge of driving while a license was revoked, the department shall not issue a new license for an additional period of one year from the date the person could otherwise have applied for a new license. Only those violations which occurred within a period of five years including and immediately preceding the date of the last violation constitute prior violations within the meaning of this section.

If the license of the person convicted was suspended pursuant to the provisions of Section 56-5-2990, then he must be punished as follows and no part of the minimum sentence may be suspended:

(1) for a first offense, imprisoned for not less than ten nor more than thirty days;

(2) for a second offense, imprisoned for not less than sixty days nor more than six months;

(3) for a third and subsequent offense, not less than six months nor more than three years."

SECTION 20. Section 56-10-220 of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:

"Section 56-10-220. Every person applying for registration for a motor vehicle shall at the time of such the registration and licensing declare the vehicle to be an insured motor vehicle under the penalty set forth in Section 56-10-260 and shall execute and furnish to the department his certificate receipt of payment confirming that such the motor vehicle is an insured motor vehicle, and that he will maintain Insurance thereon on the vehicle during the registration period. The certificate receipt must be in the form prescribed by the department. The department may shall require any a registered owner or any an applicant for registration and licensing of a motor vehicle declared to be an insured motor vehicle to submit a certificate receipt of proof of Insurance executed by an authorized agent or representative of an Insurance company authorized to do business in this State. Such certificate must The receipt of proof of Insurance also must be in a form prescribed by the department."

SECTION 21. The 1976 Code is amended by adding:

"Section 56-10-225. (A) The department shall issue to every person complying with the requirements of Section 56-10-220 a window decal that indicates the date on which the Insurance policy for that vehicle has been fully paid.

(B) The decal must be affixed to the base of the driver's side of the vehicle windshield.

(C) Updated expiration date decals must be issued by the department to owners of registered vehicles upon the department's receipt of proof of payment for Insurance."

SECTION 22. Section 56-10-260 of the 1976 Code is amended to read:

"Section 56-10-260. Any A person knowingly making a false certificate filing a false receipt of proof of Insurance as to whether a motor vehicle is an insured motor vehicle or presenting to the department false evidence that any motor vehicle sought to be registered is insured is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred two hundred fifty dollars nor more than two hundred dollars or imprisoned for thirty days and, upon conviction of a second offense, be fined two five hundred dollars or imprisoned for thirty days, or both, and for a third and subsequent offenses must be imprisoned for not less than forty-five days nor more than six months. Only convictions which occurred within five years including and immediately preceding the date of the last conviction constitute prior convictions within the meaning of this section. The department shall deny, for a period of six months, registration of any motor vehicle for which a false certificate or false evidence is presented false receipt of proof of Insurance is filed that the vehicle is insured and shall revoke, and may not thereafter reissue for a period of six months, the driver's license of any a person making a false certificate or offering false evidence filing a false receipt of proof of Insurance, and then only when all other provisions of law have been complied with by that person."

SECTION 23. The 1976 Code is amended by adding:

"Section 56-10-275. (A) A law enforcement officer who reasonably believes that a person is driving an uninsured vehicle in violation of Section 56-10-270, without prior notice, may order the vehicle impounded until a person with the right to possession of the vehicle complies with the conditions for release or the vehicle is ordered released by a hearing officer.

(B) Notice that the vehicle has been impounded must be given to the same parties in the same manner and within the same time limits as provided in Section 56-10-276 for notice after removal of a vehicle.

(C) A vehicle impounded under subsection (A) of this section must be released to a person entitled to lawful possession upon proof of compliance with financial responsibility or Insurance requirements for the vehicle, payment to the law endorsement agency of a fee of twenty-five dollars, and payment of any towing and storage charges. Proof of compliance must be presented to the impounding law enforcement agency, which shall authorize the person storing the vehicle to release it upon payment of the charges.

(D) Nothing in this section or Section 56-10-276 limits the authority of either a municipality or a county to adopt ordinances dealing with impounding of uninsured vehicles or the contents of the ordinances."

SECTION 24. The 1976 Code is amended by adding:

"Section 56-10-276. (A) A person entitled to lawful possession of a vehicle impounded under Section 56-10-275 may request a hearing to contest the validity of the impoundment. A request must be made within five calendar days of the impoundment. The request must be made to a person designated by the impounding law enforcement agency to receive the requests.

(B) When a timely request for a hearing is made, a hearing must be held before a hearing officer designated by the impounding law enforcement agency. The hearing must be set for four calendar days after the request is received, excluding Saturdays, Sundays, and holidays, but may be postponed at the request of the person asking for the hearing.

(C) The impounding law enforcement agency has the burden of proving by a preponderance of the evidence that there were reasonable grounds to believe that the vehicle was being operated in violation of Sections 56-10-20 or 56-10-220. The law enforcement officer who ordered the vehicle impounded may submit an affidavit to the hearing officer in lieu of making a personal appearance at the hearing.

(D) If the hearing officer finds that the impoundment of the vehicle was proper, he shall enter an order supporting the removal and find that the owner or person entitled to possession of the vehicle is liable for usual and customary towing and storage costs. The hearing officer also may find the owner or the person entitled to possession of the vehicle liable for the costs of the hearing.

(E) If the hearing officer finds that impoundment of the vehicle was improper, he shall order the vehicle released to the person entitled to possession and shall enter a finding that the owner or person entitled to possession of the vehicle is not liable for any towing or storage costs resulting from the impoundment. If there is a lien on the vehicle for towing and storage charges, the hearing officer shall order it paid by the impounding law enforcement agency.

(F) A law enforcement agency may contract with another agency or entity to conduct hearings under this section."

SECTION 25. The 1976 Code is amended by adding:

"Section 38-77-116. The authorized agents for every insurer covered by the provisions of Section 38-77-110 shall conduct a complete visual inspection of the actual vehicle to be insured before writing an Insurance policy on that vehicle. The insurer may account for any preexisting physical damage to a vehicle when settling claims for that vehicle."

SECTION 26. Section 38-55-540 of the 1976 Code, as added by Section 31A, Part II, of Act 497 of 1994, is amended to read:

"Section 38-55-540. Any A person or insurer who makes a false statement or misrepresentation, and any other person knowingly, with an intent to injure, defraud, or deceive, who assists, abets, solicits, or conspires with such person or insurer to make a false statement or misrepresentation, is guilty of a:

(1) misdemeanor, for a first offense violation, if the amount of the economic advantage benefit received is less than one thousand dollars. Upon conviction, the person must be punished by a fine not to exceed five hundred one thousand dollars or by imprisonment not to exceed thirty ninety days;

(2) misdemeanor felony, for a first offense violation, if the amount of the economic advantage benefit received is one thousand dollars or more. Upon conviction, the person must be punished by a fine not to exceed fifty thousand dollars or by imprisonment for a term not less than three years and not to exceed three five years, or by both such fine and imprisonment;

(3) felony, for a second or subsequent violation, regardless of the amount of the economic advantage benefit received. Upon conviction, the person must be punished by a fine not to exceed fifty one hundred thousand dollars or by imprisonment for a term not to exceed ten years, or by both such fine and imprisonment.

Any A person or insurer convicted under this section must be ordered to make full restitution to the victim or victims for any economic advantage or benefit which has been obtained by the person or insurer as a result of that violation."

SECTION 27. Section 38-55-550 of the 1976 Code, as added by Section 31A, Part II, of Act 497 of 1994, is amended by adding:

"(E) In addition to payment of civil penalties, a person or insurer found guilty of violating any provision of this article must be ordered to make full restitution to the victim or victims for any economic advantage or benefit which has been obtained by the person or insurer as a result of that violation."

SECTION 28. Section 38-55-570 of the 1976 Code, as amended by Acts 278 and 459 of 1996, is further amended by adding:

"(E) A person, insurer, or authorized agency that fails to comply with the Insurance Fraud Division's request for information relating to a suspected false statement or misrepresentation as set forth in subsection (B) of this section is guilty of a misdemeanor and subject to the following sanctions:

(1) for a first offense, a fine not to exceed five hundred dollars or imprisonment for a term not to exceed thirty days, or both;

(2) for a second offense, a fine not less than one thousand dollars but not to exceed five thousand dollars or imprisonment for a term not to exceed ninety days, or both;

(3) for a third and subsequent offense, a fine not less than five thousand dollars but not to exceed ten thousand dollars or imprisonment for a term not to exceed one year, or both."

SECTION 29. The 1976 Code is amended by adding:

"Section 38-77-370. (A) Every automobile insurer admitted to do business in this State who in the previous calendar year, at any time during that year, had ten million dollars or more in direct premiums written shall:

(1) establish and maintain a unit or division within the company to investigate possible fraudulent claims by insureds or by persons making claims for services or repairs against policies held by insureds; or

(2) contract with others to investigate possible fraudulent claims for services or repairs against policies held by insureds. An automobile insurer subject to this subsection shall file with the Department of Insurance on or before June thirtieth of each year a detailed description of the unit or division established pursuant to item (1) of this subsection or a copy of the contract and related documents required by item (2).

(B) Every automobile insurer admitted to do business in this State, which in the previous calendar year had less than ten million dollars in direct premiums written, must adopt an antifraud plan and file it with the Department of Insurance on or before June thirtieth of each year. An insurer may, in lieu of adopting and filing an antifraud plan, comply with the provisions of subsection (A).

(C) Each automobile insurer's antifraud plan shall include:

(1) a description of the insurer's procedures for detecting and investigating possible fraudulent acts;

(2) a description of the insurer's procedures for the mandatory reporting of possible fraudulent Insurance acts to the Department of Insurance;

(3) a description of the insurer's plan for antifraud education and training of its claims adjusters or other personnel;

(4) a written description or chart outlining the organizational arrangement of the insurer's antifraud personnel who are responsible for the investigation and reporting of possible fraudulent acts;

(5) membership in the National Insurance Crime Bureau.

(D) An automobile insurer who satisfies the requirements to transact Insurance business in this State after July 1, 1998 has twelve months in which to comply with the requirements of this section.

(E) For purposes of this section, the term 'unit or division' includes the assignment of fraud investigation to employees whose principal responsibilities are the investigation and disposition of claims. If an automobile insurer creates a distinct unit or division, hires additional employees, or contracts with another entity to fulfill the requirements of this section, the additional cost incurred must be included as an administrative expense for rate-making purposes. Any losses prevented or income realized as the result of having a distinct antifraud unit or division must also be included as income for rate-making purposes."

SECTION 30. Section 38-77-30(4) of the 1976 Code is amended to read:

"(4) 'Damages' includes both only actual compensatory and punitive damages, and not punitive damages."

SECTION 31. Section 38-77-30 of the 1976 Code, as last amended by Act 326 of 1996, is further amended by adding the following appropriately numbered item:

"( ) 'Punitive damages' means damages awarded by a court to an injured party to punish the defendant for a serious wrong. This award is only in addition to actual damages awarded for bodily injury or property damage."

SECTION 32. The 1976 Code is amended by adding:

"Section 38-77-325. In every premium notice or bill for private passenger automobile Insurance where the insurer has opted against insuring the insured against punitive damages, the policy shall display prominently in bold type, all capitals, and at least 13-point typeface, the following:

'NOTICE: THE INSURANCE COVERAGE YOU ARE PURCHASING DOES NOT COVER ANY PUNITIVE DAMAGES ASSESSED AGAINST YOU. THE ONLY DAMAGES COVERED BY THIS POLICY ARE ACTUAL COMPENSATORY DAMAGES. THIS POLICY DOES NOT INSURE YOU AGAINST HAVING TO PAY PUNITIVE DAMAGES.'

This notice must be signed by the applicant evidencing his acknowledgment of having read and understood the above notice."

SECTION 33. Section 38-77-110 of the 1976 Code, as last amended by Act 326 of 1996, is further amended by adding:

"(D) No insurer is required to insure against punitive damages assessed against an insured for the insured's gross negligence or wanton or reckless misconduct in operating a motor vehicle."

SECTION 34. The 1976 Code is amended by adding:

"Section 38-77-327. In an action for monetary damages, the total amount awarded for punitive damages against all defendants found to be liable must be determined by the trier of fact. Punitive damages may be awarded only if actual damages are awarded. If no award of actual damages is made, the claim for punitive damages must be dismissed."

SECTION 35. Section 15-33-135 of the 1976 Code, as added by Act 432 of 1988, is amended to read:

"Section 15-33-135. In any civil action where punitive damages are claimed, the plaintiff has the burden of proving such the damages by clear and convincing evidence that the defendant's actions showed wilful misconduct, malice, fraud, wantonness, oppression, or that entire want of care which would raise the presumption of conscious indifference to consequences. 'Clear and convincing evidence' means that measure or degree of proof that will produce in the mind of the trier of fact a high degree of certainty as to the truth of the allegations sought to be established. This evidence requires a greater degree of persuasion than is necessary to meet the preponderance of the evidence standard."

SECTION 36. The 1976 Code is amended by adding:

"Section 38-77-185. (A) The prevailing party in a civil action relating to the rejection of Insurance claims or reasonable settlement offers by an insurer to pay for bodily injury and property damage incurred by an insured party as the result of an automobile accident, brought in or removed to a court of South Carolina, is entitled to attorneys' fees to the extent that the party prevails on any position or claim advance during the action. Attorneys' fees under this subsection must be paid by the nonprevailing party.

(B) The fee award under this section shall not exceed the attorneys' fees of the nonprevailing party with respect to the particular position or claim. If the nonprevailing party received services under a contingent fee agreement, then the fee award to the prevailing party shall not exceed the reasonable value of the services rendered to the prevailing party, as determined by the court at the time the final judgment is entered. In addition the court, in its discretion, may limit the fees awarded under subsection (A) to the extent that the court finds exceptional, unusual, and special circumstances that make payment of the fees unjust.

(C) As used in this section, the term 'prevailing party' means a party to an action who obtains a favorable final judgment, exclusive of interest, on all or a portion of the claims asserted in the action."

SECTION 37. Chapter 77, Title 38 of the 1976 Code is amended by adding:

"Article 4

Contingency Fee Fairness and Disclosure

Section 38-77-410. This article is known and may be cited as the 'Contingency Fee Fairness and Disclosure Act'.

Section 38-77-420. (A) An attorney's fee must be reasonable. The factors to be considered in determining the reasonableness of a fee include, but are not limited to, the following:

(1) the nature, extent, and difficulty of issues involved in the case;

(2) the amount of time devoted to the case;

(3) the professional standing of counsel and the skill requisite to perform the legal service properly;

(4) the fee customarily charged in the locality for similar legal services;

(5) the amount of money involved and the results obtained;

(6) the time limitations imposed by the client or by the circumstances;

(7) the nature and length of the relationship with the client;

(8) whether the fee is fixed or contingent.

(B) When the lawyer has not regularly represented the client, the basis or rate of the fee must be communicated to the client, in writing, before or within a reasonable time after commencing the representation.

(C) A fee may be contingent on the outcome of the matter for which the service is rendered, except in a matter in which a contingent fee is prohibited by subsection (D) of this section or any other provision of law. A contingent fee agreement must be in writing and shall state the method by which the fee is to be determined, including the percentage or percentages that shall accrue to the lawyer in the event of settlement, trial, or appeal, litigation and other expenses to be deducted from the recovery, and whether these expenses are to be deducted before or after the contingent fee is calculated. Upon conclusion of a contingent fee matter, the lawyer shall provide the client with a written statement stating the outcome of the matter and if there is a recovery, showing the remittance to the client and the method of its determination. All contingent fees whether settled or finally adjudicated must be approved by the judge who adjudicated the case, or in the event a settlement is reached before the case is assigned, by a judge from the circuit in which the case was filed.

(D) A lawyer shall not enter into an arrangement for, charge, or collect a contingent fee for representing a defendant in a criminal case.

(E) A division of a fee between lawyers who are not in the same firm may be made only if the:

(1) division is in proportion to the services performed by each lawyer, or by written agreement with the client each lawyer assumes joint responsibility for the representation;

(2) client is advised of and does not object to the participation of all the lawyers involved; and

(3) total fee is reasonable.

(F) All contingency fee arrangements must be filed in the county where the case was filed and made part of the public record. The public has the right to inspect or copy these records pursuant to the provisions set forth in the South Carolina Freedom of Information Act.

(G) If periodic payments are awarded to the plaintiff, the court shall place a total value on the payments based upon the projected life expectancy of the plaintiff and include this amount in computing the total award from which attorney's fees are calculated under this section.

(H) For purposes of this section, 'recovered' means the net sum recovered after deducting any disbursements or costs incurred in connection with prosecution or settlement of the claim. Costs of medical care incurred by the plaintiff and the attorney's overhead costs or charges are not deductible disbursements or costs for this purpose."

SECTION 38. The title of Article 7 of Chapter 77, Title 38 of the 1976 Code is amended to read:

"Article 7

Arbitration Alternative Dispute Resolution of

Property Damage and Bodily Injury Liability Claims".

SECTION 39. Section 38-77-710 of the 1976 Code is amended to read:

"Section 38-77-710. The court of common pleas, or any inferior courts having concurrent jurisdiction, in and for each county, shall by order of reference appoint an attorney or attorneys to hear and determine, by arbitration, property damage liability and bodily injury liability claims arising out of motor vehicle collisions or accidents and to award actual and punitive damages. This order must be consistent with the provisions of this chapter and may not be inconsistent with the Rules of the Supreme Court of South Carolina South Carolina Rules of Civil Procedure or the South Carolina Rules of Evidence. Arbitration proceedings must be administered pursuant to and are subject to procedures established by the American Arbitration Association. Process and procedure must be as summary and simple as may be reasonable and may provide for the taking of evidence in the form of reports, statements, or itemized bills or in any other manner without the procedural and evidentiary limitations which pertain in jury trials. The court may provide for the taking of depositions of a witness within or without the State."

SECTION 40. Section 38-77-720 of the 1976 Code is amended to read:

"Section 38-77-720. (a) The order of reference shall establish a panel of arbitrators each of whom must be a member of the bar, and the members must be selected for service in particular cases on some fair rotation basis. Three arbitrators shall hear and determine each case and the decision of two of the three arbitrators shall determine the issue. However, the parties to the dispute may, by agreement, provide for determination of the disputed claim by one arbitrator.

(b) Each arbitrator assigned to determine the claim may be compensated, not to exceed thirty-five one hundred dollars for his services and time, payable out of the funds of the court and which may not be taxable as costs to either party by the party bringing the action, unless that party prevails in the action, in which case the nonprevailing party shall pay the costs of the action..

(c) The claimant who is the moving party in seeking arbitration shall pay to the clerk of court a fee of ten dollars. Five dollars must be retained by the clerk as the cost of filing the claim and final judgment and five dollars must be used to pay the cost of service on the other party or parties The insurers of the parties in arbitration each shall pay to the clerk of the court a fee of ten dollars, which fees must be retained by the clerk as the cost of filing the claim and final judgment and to pay the cost of service on the other party or parties."

SECTION 41. Section 38-77-730 of the 1976 Code is amended to read:

"Section 38-77-730. (a) Any A person who is a party to the disputed property damage liability claim or bodily injury liability claim, or both, in an amount of not less than five thousand dollars and not more than one hundred-fifty thousand dollars shall submit his claim for determination through arbitration. If the amount of the property damage liability claim or the bodily injury liability claim, or both, exceeds one hundred-fifty thousand dollars, the claimant shall submit his claim for determination through mediation or may submit his claim for arbitration. Arbitration proceedings must be administered pursuant to and are subject to procedures established by the American Arbitration Association. No formal pleading or process is required. The clerk of court of each county shall prepare and keep an arbitration docket and set the cases thereon for arbitration as provided by law and the procedures established by the American Arbitration Association for the settling of cases in the court of common pleas.

(b) The claim must be filed with the clerk of court in the county in which the cause of action arose or where the plaintiff or defendant resides. The claim must be filed in triplicate with the clerk of court on forms to be provided by him. The forms shall set forth the names of the parties, the date and place of the accident, and the amount and type of property damage and bodily injury claimed. The clerk shall file one copy in his office, and one copy must be served upon the defendant as provided by law for service of summons and complaints. The sheriff, or such other person, shall promptly serve the claim upon the defendant and shall receive the sum of five ten dollars to defray the cost of securing this service. The sheriff, or such other person, serving the process shall promptly file an affidavit of personal service with the clerk of court on forms to be provided by the clerk.

(c) There must be attached to, or made part of, the form a summons to the defendant named notifying him that he should file a response with the clerk of court within thirty days from the date of service and that failure to file a response within thirty days entitles the plaintiff to a default judgment. The form must be signed by the party filing it or his attorney, if any, and shall by order of reference show the address of the person signing it."

SECTION 42. Section 38-77-740 of the 1976 Code is amended to read:

"Section 38-77-740. (a) The court, or the clerk acting for the court, shall assign the arbitrators to hear the matter at the courthouse, or other designated place in the county where the claim is filed, within sixty days after the date of filing, or as soon thereafter as is feasible. The clerk of court shall, on a form provided by him, advise the parties or their attorneys of record, if any, by mail as to the place, date, and time of hearing and shall advise the parties to bring all records which may pertain to the claim, including, but not limited to, the following:

(1) two estimates of damage to the motor vehicle or its contents signed by the estimator, or an estimate of the extent of bodily injury to the person or persons involved in the collision or accident involving the motor vehicle signed by the treating physician.;

(2) signed receipts for car repairs or bills for medical expenses incurred or expected to be incurred by the injured parties.;

(3) bills or receipts for other property damages claimed.

The forms shall also contain notice to the parties that, if they cannot attend the arbitration because of illness or otherwise, the clerk of court must be notified as soon as possible with the request that another date be set for the hearing.

(b) Property damages must be awarded as provided by law, including, but not limited to, actual damages, loss of use, depreciation, and any other property damages which are the direct and proximate result of the accident. Bodily injury damages must be awarded as provided by law including, but not limited to, actual physical injury, loss of use, and any other bodily injury damages which are a direct and proximate result of the collision or accident.

(c) The parties may secure the attendance of witnesses by their voluntary appearance or may secure their attendance by subpoenas prepared and issued in accordance with the laws of this State."

SECTION 43. Section 38-77-770 of the 1976 Code is amended to read:

"Section 38-77-770. (A) If the claimant prevails in the arbitration proceeding, the defendant's insurer shall pay all the costs of the proceeding, including reasonable attorney's fees, to be determined in accordance with a schedule of hourly rates for services performed, which schedule must be prescribed by the Supreme Court of South Carolina.

(B) If any party is dissatisfied with the decision of the arbitrators, or the single arbitrator, he may appeal within twenty thirty days of the decision to the court in which the claim is filed by service upon the other parties of a notice of appeal. Every notice of appeal shall include a statement under oath that the appeal is taken in good faith and not merely for the purpose of delay. The trial on appeal must be a trial de novo on the record."

SECTION 44. Except as may be otherwise specifically provided in this act, this act takes effect July 1, 1998.

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