South Carolina House Bill H4742

South Carolina 2025-2026 Regular Session

• Introduced: 1/13/26
• Refer: 1/13/26

Caption

Uninsured Motorist Coverage Premiums

Impact

The proposed amendment is expected to have significant implications for both insured individuals and insurance companies operating in South Carolina. By prohibiting premium increases based solely on claims made under uninsured or underinsured motorist coverage when the insured is not at fault, the bill aims to incentivize individuals to file claims without the fear of higher future premiums. This can lead to a shift in how insurers assess risk and manage their pricing strategies.

Summary

House Bill H4742 aims to amend the South Carolina Code of Laws by modifying Section 38-77-150, which deals with uninsured motorist provisions. The bill specifies that an insurer cannot increase the premium of an insured solely because the insured made a claim under their uninsured or underinsured motorist coverage if the insured was not at fault in the accident that led to the claim. This change seeks to protect policyholders from financial repercussions when they file claims under specific circumstances.

Contention

While the bill may garner support for consumer protection, there could be contention regarding how insurers will react to these regulations. Opponents may argue that restricting premium adjustments could lead to financial challenges for insurance companies, potentially impacting their ability to remain solvent or adequately cover claims. Additionally, proponents of the bill may face scrutiny about the long-term viability of such provisions and their influence on the overall insurance market within the state.