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 vehicle must be exhausted before any claims can be made against other policies, such as 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 policy held by a rental company, any qualified self-insurer, or any bonds posted by rental companies for financial responsibility compliance. The intent of this legislation is to clarify the order of liability and ensure that the insurance covering the individual driver is utilized first in the event of a claim. The bill will take effect upon approval by the Governor.

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