republic-os/legislation/us/states/sc/2017-2018/h-4657.md

---
type: "Bill"
title: "AN ACT TO AMEND SECTION 38-2-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ADMINISTRATIVE PENALTIES FOR THE VIOLATION OF THE INSURANCE LAWS OF SOUTH CAROLINA, SO AS TO ALLOW THE DEPARTMENT OF INSURANCE TO ENFORCE THESE PENALTIES FOR VIOLATIONS OF FEDERAL INSURANCE LAWS SUBJECT TO ENFORCEMENT BY THE DEPARTMENT; TO AMEND SECTION 38-13-70, RELATING TO INVESTIGATIONS CONDUCTED BY THE DEPARTMENT OF INSURANCE, SO AS TO AUTHORIZE THE DEPARTMENT TO RESPOND TO MOTIONS AND COMPLAINTS AGAINST HEALTH MAINTENANCE ORGANIZATIONS AND PERSONS LICENSED TO TRANSACT THE BUSINESS OF INSURANCE IN THIS STATE AND TO ESTABLISH A DEADLINE FOR RESPONSES TO THE DEPARTMENT'S INQUIRIES; TO AMEND SECTION 38-33-170, RELATING TO THE EXAMINATIONS OF THE AFFAIRS OF A HEALTH MAINTENANCE ORGANIZATION, SO AS TO REQUIRE AN EXAMINATION NO LESS THAN EVERY FIVE YEARS; TO AMEND SECTION 38-33-230, RELATING TO LEVY OF ADMINISTRATIVE PENALTY IN LIEU OF OTHER PENALTIES, SO AS TO ALLOW THE LEVY OF AN ADMINISTRATIVE PENALTY FOR VIOLATIONS OF STATE AND FEDERAL INSURANCE LAWS SUBJECT TO ENFORCEMENT BY THE DEPARTMENT OF INSURANCE; TO AMEND SECTION 38-61-20, RELATING TO THE APPROVAL OF INSURANCE POLICIES, CONTRACTS, OR POLICIES BY THE DEPARTMENT OF INSURANCE, SO AS TO REQUIRE THAT ALL FORMS FILED WITH THE DEPARTMENT SATISFY ALL APPLICABLE STATE AND FEDERAL LAWS AND TO AUTHORIZE THE DIRECTOR TO IMPOSE A PENALTY IN CERTAIN CIRCUMSTANCES; TO AMEND SECTION 38-71-90, RELATING TO THE PENALTIES FOR ISSUING OR DELIVERING A POLICY THAT VIOLATES CHAPTER 71, SO AS TO EXTEND THE PENALTIES TO ANY INSURER OR HEALTH MAINTENANCE ORGANIZATION WHO VIOLATES APPLICABLE STATE OR FEDERAL LAWS GOVERNING THE TRANSACTION OF THE BUSINESS OF INSURANCE SUBJECT TO ENFORCEMENT BY THE DEPARTMENT OF INSURANCE; AND TO AMEND SECTIONS 38-51-20 AND 38-51-30, RELATING TO ADMINISTRATORS OF INSURANCE BENEFIT PLANS, SO AS TO PROVIDE THAT AN APPLICANT FOR LICENSURE AS AN ADMINISTRATOR MUST PROVIDE CERTAIN FINANCIAL STATEMENTS AND REPORTS AND REQUIRE THE SUBMISSION OF A SURETY BOND FOR THE RENEWAL OF AN ADMINISTRATOR'S LICENSE. - ratified title"
description: "AN ACT TO AMEND SECTION 38-2-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ADMINISTRATIVE PENALTIES FOR THE VIOLATION OF THE INSURANCE LAWS OF SOUTH CAROLINA, SO AS TO ALLOW THE DEPARTMENT OF INSURANCE TO ENFORCE THESE PENALTIES FOR VIOLATIONS OF FEDERAL INSURANCE LAWS SUBJECT TO ENFORCEMENT BY THE DEPARTMENT; TO AMEND SECTION 38-13-70, RELATING TO INVESTIGATIONS CONDUCTED BY THE DEPARTMENT OF INSURANCE, SO AS TO AUTHORIZE THE DEPARTMENT TO RESPOND TO MOTIONS AND COMPLAINTS AGAINST HEALTH MAINTENANCE ORGANIZATIONS AND PERSONS LICENSED TO TRANSACT THE BUSINESS OF INSURANCE IN THIS STATE AND TO ESTABLISH A DEADLINE FOR RESPONSES TO THE DEPARTMENT'S INQUIRIES; TO AMEND SECTION 38-33-170, RELATING TO THE EXAMINATIONS OF THE AFFAIRS OF A HEALTH MAINTENANCE ORGANIZATION, SO AS TO REQUIRE AN EXAMINATION NO LESS THAN EVERY FIVE YEARS; TO AMEND SECTION 38-33-230, RELATING TO LEVY OF ADMINISTRATIVE PENALTY IN LIEU OF OTHER PENALTIES, SO AS TO ALLOW THE LEVY OF AN ADMINISTRATIVE PENALTY FOR VIOLATIONS OF STATE AND FEDERAL INSURANCE LAWS SUBJECT TO ENFORCEMENT BY THE DEPARTMENT OF INSURANCE; TO AMEND SECTION 38-61-20, RELATING TO THE APPROVAL OF INSURANCE POLICIES, CONTRACTS, OR POLICIES BY THE DEPARTMENT OF INSURANCE, SO AS TO REQUIRE THAT ALL FORMS FILED WITH THE DEPARTMENT SATISFY ALL APPLICABLE STATE AND FEDERAL LAWS AND TO AUTHORIZE THE DIRECTOR TO IMPOSE A PENALTY IN CERTAIN CIRCUMSTANCES; TO AMEND SECTION 38-71-90, RELATING TO THE PENALTIES FOR ISSUING OR DELIVERING A POLICY THAT VIOLATES CHAPTER 71, SO AS TO EXTEND THE PENALTIES TO ANY INSURER OR HEALTH MAINTENANCE ORGANIZATION WHO VIOLATES APPLICABLE STATE OR FEDERAL LAWS GOVERNING THE TRANSACTION OF THE BUSINESS OF INSURANCE SUBJECT TO ENFORCEMENT BY THE DEPARTMENT OF INSURANCE; AND TO AMEND SECTIONS 38-51-20 AND 38-51-30, RELATING TO ADMINISTRATORS OF INSURANCE BENEFIT PLANS, SO AS TO PROVIDE THAT AN APPLICANT FOR LICENSURE AS AN ADMINISTRATOR MUST PROVIDE CERTAIN FINANCIAL STATEMENTS AND REPORTS AND REQUIRE THE SUBMISSION OF A SURETY BOND FOR THE RENEWAL OF AN ADMINISTRATOR'S LICENSE. - ratified title"
jurisdiction: "us/states/sc"
legislature: "South Carolina General Assembly"
session: "2017-2018"
identifier: "H 4657"
citation: "South Carolina H 4657 (2017-2018)"
classification: ["bill"]
subjects: []
status: "enacted"
primary_sponsors: ["Sandifer", "Spires"]
version_count: 6
action_count: 19
vote_count: 2
first_action: "2018-01-23"
last_action: "2018-05-31"
source: "openstates"
source_identifier: "ocd-bill/1afa8177-bc70-4625-be83-0eb074647f1c"
source_url: "http://www.scstatehouse.gov/billsearch.php?billnumbers=4657&session=122&summary=B"
source_hash: "b586cf01eb4cb3eba3a0255c98b166ee42b579f8e92ed93a76da89fed43a065c"
vintage: "2026-07-01"
source_snapshot: "https://data.openstates.org/daily/2026-07-01/public.pgdump"
retrieved_at: "2026-07-06"
confidence: "reported"
tags: ["legislation", "bill", "us-sc"]
---

# South Carolina H 4657 (2017-2018) — AN ACT TO AMEND SECTION 38-2-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ADMINISTRATIVE PENALTIES FOR THE VIOLATION OF THE INSURANCE LAWS OF SOUTH CAROLINA, SO AS TO ALLOW THE DEPARTMENT OF INSURANCE TO ENFORCE THESE PENALTIES FOR VIOLATIONS OF FEDERAL INSURANCE LAWS SUBJECT TO ENFORCEMENT BY THE DEPARTMENT; TO AMEND SECTION 38-13-70, RELATING TO INVESTIGATIONS CONDUCTED BY THE DEPARTMENT OF INSURANCE, SO AS TO AUTHORIZE THE DEPARTMENT TO RESPOND TO MOTIONS AND COMPLAINTS AGAINST HEALTH MAINTENANCE ORGANIZATIONS AND PERSONS LICENSED TO TRANSACT THE BUSINESS OF INSURANCE IN THIS STATE AND TO ESTABLISH A DEADLINE FOR RESPONSES TO THE DEPARTMENT'S INQUIRIES; TO AMEND SECTION 38-33-170, RELATING TO THE EXAMINATIONS OF THE AFFAIRS OF A HEALTH MAINTENANCE ORGANIZATION, SO AS TO REQUIRE AN EXAMINATION NO LESS THAN EVERY FIVE YEARS; TO AMEND SECTION 38-33-230, RELATING TO LEVY OF ADMINISTRATIVE PENALTY IN LIEU OF OTHER PENALTIES, SO AS TO ALLOW THE LEVY OF AN ADMINISTRATIVE PENALTY FOR VIOLATIONS OF STATE AND FEDERAL INSURANCE LAWS SUBJECT TO ENFORCEMENT BY THE DEPARTMENT OF INSURANCE; TO AMEND SECTION 38-61-20, RELATING TO THE APPROVAL OF INSURANCE POLICIES, CONTRACTS, OR POLICIES BY THE DEPARTMENT OF INSURANCE, SO AS TO REQUIRE THAT ALL FORMS FILED WITH THE DEPARTMENT SATISFY ALL APPLICABLE STATE AND FEDERAL LAWS AND TO AUTHORIZE THE DIRECTOR TO IMPOSE A PENALTY IN CERTAIN CIRCUMSTANCES; TO AMEND SECTION 38-71-90, RELATING TO THE PENALTIES FOR ISSUING OR DELIVERING A POLICY THAT VIOLATES CHAPTER 71, SO AS TO EXTEND THE PENALTIES TO ANY INSURER OR HEALTH MAINTENANCE ORGANIZATION WHO VIOLATES APPLICABLE STATE OR FEDERAL LAWS GOVERNING THE TRANSACTION OF THE BUSINESS OF INSURANCE SUBJECT TO ENFORCEMENT BY THE DEPARTMENT OF INSURANCE; AND TO AMEND SECTIONS 38-51-20 AND 38-51-30, RELATING TO ADMINISTRATORS OF INSURANCE BENEFIT PLANS, SO AS TO PROVIDE THAT AN APPLICANT FOR LICENSURE AS AN ADMINISTRATOR MUST PROVIDE CERTAIN FINANCIAL STATEMENTS AND REPORTS AND REQUIRE THE SUBMISSION OF A SURETY BOND FOR THE RENEWAL OF AN ADMINISTRATOR'S LICENSE. - ratified title

## Version chain

The bill's text revisions, in order — the diff chain from filing to enrollment.

1. **1/23/2018** (committee substitute) — [source](http://www.scstatehouse.gov/sess122_2017-2018/prever/4657_20180123.htm)
2. **2/13/2018** (committee substitute) — [source](http://www.scstatehouse.gov/sess122_2017-2018/prever/4657_20180213.htm)
3. **2/14/2018** (committee substitute) — [source](http://www.scstatehouse.gov/sess122_2017-2018/prever/4657_20180214.htm)
4. **2/15/2018** (committee substitute) — [source](http://www.scstatehouse.gov/sess122_2017-2018/prever/4657_20180215.htm)
5. **4/25/2018** (committee substitute) — [source](http://www.scstatehouse.gov/sess122_2017-2018/prever/4657_20180425.htm)
6. **4/26/2018** (committee substitute) — [source](http://www.scstatehouse.gov/sess122_2017-2018/prever/4657_20180426.htm)

## Votes

- Passage of Bill — **106–0** (pass) · lower
- 2nd Reading — **41–0** (pass) · upper

## Sponsors

- Sandifer — primary (person)
- Spires — primary (person)

## Timeline

The legislative action history — every referral, reading, and vote.

- **2018-01-23** Introduced and read first time `introduction, reading-1`
- **2018-01-23** Referred to Committee on Labor, Commerce and Industry `referral-committee`
- **2018-02-13** Committee report: Favorable with amendment Labor, Commerce and Industry `committee-passage-favorable`
- **2018-02-14** Amended `amendment-passage`
- **2018-02-14** Read second time `reading-2`
- **2018-02-14** Roll call Yeas-106 Nays-0
- **2018-02-15** Read third time and sent to Senate `passage, reading-3`
- **2018-02-15** Introduced and read first time `introduction, reading-1`
- **2018-02-15** Referred to Committee on Banking and Insurance `referral-committee`
- **2018-02-15** Scrivener's error corrected
- **2018-04-25** Committee report: Favorable Banking and Insurance `committee-passage-favorable`
- **2018-04-26** Scrivener's error corrected
- **2018-05-01** Read second time `reading-2`
- **2018-05-01** Roll call Ayes-41 Nays-0
- **2018-05-08** Read third time and enrolled `passage, reading-3`
- **2018-05-14** Ratified R 259
- **2018-05-18** Signed By Governor `executive-signature`
- **2018-05-25** Effective date 05/18/18
- **2018-05-31** Act No. 219

## Source

OpenStates / OpenCivicData bulk snapshot [2026-07-01](https://data.openstates.org/daily/2026-07-01/public.pgdump); origin `ocd-bill/1afa8177-bc70-4625-be83-0eb074647f1c`. Confidence: reported (aggregated from official South Carolina legislature records).