The bill S. 619, introduced in the South Carolina Senate, seeks to amend Section 38-27-610 of the South Carolina Code of Laws, which pertains to the priority of distribution for claims in the event of insurer liquidation. The amendment specifically adds provisions for funding agreements to the existing framework for claims under insurance policies.

Under the proposed changes, claims related to life insurance, annuity policies, and funding agreements will be classified as loss claims, which includes death proceeds, annuity proceeds, or investment values. The bill clarifies that any portion of a loss that is indemnified by other benefits or advantages recovered by the claimant will not be included in this class, with certain exceptions for familial obligations or life insurance proceeds. The bill will take effect upon approval by the Governor.

Statutes affected:
04/29/2025: 38-27-610
Latest Version: 38-27-610