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S. 1350
STATUS INFORMATION
General Bill
Sponsors: Senators Ritchie and Gregory
Document Path: l:\council\bills\ms\7353ahb06.doc
Introduced in the Senate on April 13, 2006
Currently residing in the Senate Committee on Judiciary
Summary: Insurance Department
HISTORY OF LEGISLATIVE ACTIONS
Date Body Action Description with journal page number
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4/13/2006 Senate Introduced and read first time SJ-2
4/13/2006 Senate Referred to Committee on Banking and Insurance SJ-2
4/18/2006 Senate Recalled from Committee on Banking and Insurance
4/18/2006 Senate Committed to Committee on Judiciary
4/18/2006 Senate Referred to Subcommittee: Martin (ch), Ford, Rankin,
Elliott, Hutto, Ritchie, Bryant, Lourie
View the latest legislative information at the LPITS web site
VERSIONS OF THIS BILL
TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 42-1-455 SO AS TO DIRECT THE DEPARTMENT OF INSURANCE TO ESTABLISH GUIDELINES FOR, CREATE, AND MAINTAIN A WEBSITE ON WHICH INSURANCE COMPANIES WILL PROVIDE AND THE DEPARTMENT SHALL POST THE IDENTITIES OF SUBCONTRACTORS WHO TERMINATE THEIR WORKERS' COMPENSATION INSURANCE COVERAGE.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. The purpose of this act is to direct the Department of Insurance to devise a plan for and develop a website which will contain valuable information for the State's principal or general contractors to use as a tool in determining the use of and payment of certain subcontractors who fail to maintain appropriate workers' compensation insurance on their employees. The cancellation or failure to continue to provide workers' compensation insurance coverage by a subcontractor can result in significant costs to the principal or general contractor who, in good faith, contracts with a subcontractor for certain specialized services. The provisions of this act are designed to give the principal or general contractor notice upon a subcontractor's termination of workers' compensation insurance.
SECTION 2. Article 3, Chapter 1, Title 42 of the 1976 Code is amended by adding:
"Section 42-1-455. (A) The Department of Insurance is directed to establish guidelines for, create, and maintain a website in order to post the identities of subcontractors who cancel or fail to renew workers' compensation insurance coverage on their employees for the use of principal or general contractors. The department's guidelines must include, but are not limited to, the following:
(1) the design and maintenance of the workers' compensation insurance coverage termination secure website;
(2) the development of a method of collecting the identities, including the names and addresses, of subcontractors who terminate or fail to renew the workers' compensation insurance coverage on their employees;
(3) the procedures for insurance companies to follow when reporting terminations of workers' compensation insurance coverage for inclusion on the website;
(4) a determination of authorized users of the website; and
(5) a process for removing identities of subcontractors who subsequently attain or reacquire workers' compensation insurance coverage on their employees.
(B) The department also shall develop and implement a plan to educate principal or general contractors on the existence of the website and the workers' compensation insurance coverage information it contains."
SECTION 3. This act takes effect upon approval by the Governor.
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