The bill H. 4101 aims to amend the South Carolina Code of Laws by adding Section 38-77-410, which establishes that insurance policies covering individuals operating rented or leased vehicles will be considered primary over other sources of financial responsibility. This means that in the event of an accident, the insurance policy of the person operating the rented or leased vehicle must be exhausted before any claims can be made against other policies, including those held by rental companies or their affiliates.

Specifically, the bill outlines that the primary insurance policy will take precedence over any motor vehicle insurance policies held by rental companies, qualified self-insurers, or bonds posted for financial responsibility compliance. The intent of this legislation is to clarify the order of liability and ensure that the insurance covering the operator of the rented vehicle is utilized first, thereby protecting the financial interests of rental companies and their affiliates. The bill will take effect upon approval by the Governor.

Statutes affected:
02/26/2025: 38-77-410
Latest Version: 38-77-410