The bill H. 4305 aims to establish a framework for Wellness Reimbursement Programs in South Carolina by adding Article 25 to Chapter 71, Title 38 of the South Carolina Code of Laws. It defines key terms related to wellness reimbursement programs, such as "wellness reimbursement program," "broker," "end-user," and "qualified medical expense." The bill prohibits certain actions by wellness reimbursement program companies, including conducting business without proper registration, misrepresenting their services, and profiting from third-party insurance offerings. It also mandates that these companies must be fully funded by employee contributions and cannot outsource their administrative responsibilities.

To operate as a wellness reimbursement program, companies must register with the Secretary of State, submitting an application and paying a fee of $5,000 for initial registration and $500 for renewals. The bill outlines the consequences for failing to register, including administrative fines of up to $20,000. Additionally, brokers are exempt from registration requirements, allowing them to facilitate partnerships between wellness reimbursement programs and employee groups without being classified as employees of those programs. The act will take effect upon approval by the Governor.