Download This Bill in Microsoft Word format
Indicates Matter Stricken
Indicates New Matter
H. 4077
STATUS INFORMATION
General Bill
Sponsors: Reps. Cato and Tripp
Document Path: l:\council\bills\dka\3456dw03.doc
Companion/Similar bill(s): 613
Introduced in the House on April 24, 2003
Currently residing in the House Committee on Labor, Commerce and Industry
Summary: Insurance Premium Service Company, refunds for canceled policies
HISTORY OF LEGISLATIVE ACTIONS
Date Body Action Description with journal page number ------------------------------------------------------------------------------- 4/24/2003 House Introduced and read first time HJ-73 4/24/2003 House Referred to Committee on Labor, Commerce and Industry HJ-73 5/1/2003 Scrivener's error corrected 5/28/2003 House Committee report: Favorable Labor, Commerce and Industry HJ-74 6/3/2003 House Requests for debate-Rep(s). Moody-Lawrence, Rivers, Skelton, Ott, Breeland, Hosey, Cato, M Hines, Lloyd, Emory, Gourdine, JE Brown, Witherspoon and Mahaffey HJ-71 6/4/2003 House Recommitted to Committee on Labor, Commerce and Industry HJ-100
View the latest legislative information at the LPITS web site
VERSIONS OF THIS BILL
Indicates Matter Stricken
Indicates New Matter
COMMITTEE REPORT
May 28, 2003
H. 4077
S. Printed 5/28/03--H.
Read the first time April 24, 2003.
To whom was referred a Bill (H. 4077) to amend Section 38-39-80, Code of Laws of South Carolina, 1976, relating to the method used for calculating the unearned service charge refund if the borrower, etc., respectfully
That they have duly and carefully considered the same and recommend that the same do pass:
HARRY F. CATO for Committee.
EXPLANATION OF IMPACT:
The Department of Insurance has indicated this bill would not have any impact on the department, the General Fund of the State, or on federal and/or other funds.
Approved By:
Don Addy
Office of State Budget
TO AMEND SECTION 38-39-80, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE METHOD USED FOR CALCULATING THE UNEARNED SERVICE CHARGE REFUND IF THE BORROWER CANCELS BEFORE MATURITY OF A PREMIUM SERVICE AGREEMENT, SO AS TO CHANGE THE METHOD OF CALCULATING THE AMOUNT OF REFUND.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 38-39-80(e) of the 1976 Code is amended to read:
"(e) The service charge is at the rate of one percent per each month computed on the remainder of the outstanding balance. However, in the event of cancellation by if the borrower prior to cancels before maturity of the contract, the unearned service charge must be refunded on a short rate basis as determined by the department by a method at least as favorable to the borrower as the Rule of 78s. With respect to the service charge for a premium service agreement which is for other than personal, family, or household purposes, the parties may contract for the payment by the debtor of a service charge at any rate, but no rate charged hereunder may be unconscionable. 'Unconscionable' is defined as a rate substantially exceeding the usual and customary charge for financing insurance premiums."
SECTION 2. This act takes effect upon approval by the Governor.
This web page was last updated on Monday, December 7, 2009 at 10:34 A.M.