§ 38-51-20 — License required of administrator.

South Carolina § 38-51-20

• Jurisdiction: South Carolina
• Title 38: INSURANCE
• Ch. 51: ADMINISTRATORS OF INSURANCE BENEFIT PLANS

Text

No person may act as an administrator in this State without first being licensed by the director or his designee. Any person who acts as an administrator without a license is guilty of a misdemeanor and, upon conviction, must be fined not more than ten thousand dollars or imprisoned for not more than two years, or both, and is subject to revocation of any insurance licenses issued by the director or his designee. Application for a license must be upon forms prescribed by the director or his designee and must be accompanied by an initial license fee of one hundred dollars, annual financial statements or reports for the two preceding calendar years, and any other documents that the director or his designee may require to ensure that the administrator meets the requirements for licensure set forth in this section. Thereafter, the administrator shall pay to the department a license renewal fee of one hundred dollars by March first of each year. Before granting any license, the director or his designee must be satisfied that the administrator is competent, trustworthy, financially responsible, has a good personal and business reputation, has not had an insurance license revoked, suspended, or denied in any jurisdiction within the preceding five years, and has not been convicted of a crime involving fraud, dishonesty, or moral turpitude in any jurisdiction. For purposes of this section, "convicted" includes a plea of guilty or a plea of nolo contendere. The director or his designee may revoke or suspend any license issued to an administrator when he finds that any condition exists which would have prohibited issuance of the original license, that the administrator has violated any provision of this chapter, or that the administrator has deceived or dealt unjustly with the citizens of this State. In lieu of revocation or suspension of license, the director or his designee may impose an administrative monetary penalty not to exceed one thousand dollars for each offense.

Legislative History

HISTORY: Former 1976 Code SECTION 38-51-20 [1947 (45) 322; 1952 Code SECTION 37-231; 1957 (50) 280; 1962 Code SECTION 37-231; 1972 (57) 2468] recodified as SECTION 38-43-20 by 1987 Act No. 155, SECTION 1; Former 1976 Code SECTION 38-67-120 [1985 Act No. 133, SECTION 12] recodified as SECTION 38-51-20 by 1987 Act No. 155, SECTION 1; 1993 Act No. 181, SECTION 683; 2018 Act No. 219 (H.4657), SECTION 7, eff May 18, 2018. Effect of Amendment 2018 Act No. 219, SECTION 7, made nonsubstantive changes in the second undesignated paragraph, and in the third undesignated paragraph, in the first sentence, inserted ", annual financial statements or reports for the two preceding calendar years, and any other documents that the director or his designee may require to ensure that the administrator meets the requirements for licensure set forth in this section" following "one hundred dollars".