South Carolina Code of Regulations
Chapter 69 - DEPARTMENT OF INSURANCE
69-15 - South Carolina Deposits Required of Insurers.
69-15. South Carolina Deposits Required of Insurers.
Under S. C. Code Section 38-9-80 (1976), every domestic, foreign or alien insurance company, transacting or desiring to transact business in South Carolina is required to make deposits with the director or his designee in accordance with standards promulgated by him. The director or his designee is empowered to prescribe the amounts required, within the limits set forth in the statute, and he is specifically authorized to subsequently increase or decrease the amount of deposit required of any particular insurer.
The amount which an insurer is required to deposit is related to its surplus as regards policyholders (capital and surplus for stock insurers or surplus for mutual, fraternal benefit societies and reciprocal insurers), as set forth in its most recent annual statement filed pursuant to S. C. Code Section 38-13-80 (1976). Such amount is to be determined in accordance with the following table:
Surplus as Regards Policyholders Market Value of Deposit
Under $1,000,000 $200,000
$1,000,000 or more but less than $3,000,000 $175,000
$3,000,000 or more but less than $5,000,000 $150,000
$5,000,000 or more $125,000
The director or his designee may subsequently increase or decrease the amount of deposit required of an insurer depending upon particular circumstances, such as the current financial condition of the insurer in relation to its previous financial condition, the type or amount of business written by the insurer, the method of operation of the insurer, etc. The insurer will be notified of the amount of deposit it is required to make.
HISTORY: Amended by State Register Volume 11, Issue No. 2, eff March 1, 1987; State Register Volume 26, Issue No. 6, Part 2, eff June 28, 2002.