South Carolina Personal Lines Law & Coverage Rules
This chapter covers the South Carolina-specific personal lines rules that sit on top of the shared national property & casualty fundamentals: who regulates insurance in South Carolina, the minimum auto liability limits, the state's mandatory uninsured motorist coverage, the at-fault system, and the notice rules governing cancellation and nonrenewal. Figures below were checked against the South Carolina Code and Department of Insurance this session; always confirm current numbers before advising a client.
The South Carolina Department of Insurance
Insurance in South Carolina is regulated by the South Carolina Department of Insurance (SCDOI), led by a Director. The department licenses producers and companies, reviews policy forms and rates, investigates complaints, and enforces the insurance code. There is no federal insurance department. Official site: https://doi.sc.gov.
Minimum Auto Liability Limits (25/50/25)
Under South Carolina Code Section 38-77-140, a personal auto policy must carry at least $25,000 bodily injury per person, $50,000 bodily injury per accident, and $25,000 property damage (written 25/50/25). These are minimums — producers should explain that higher limits better protect the insured's assets. Verify current figures with the South Carolina Department of Insurance.
Mandatory Uninsured Motorist Coverage
South Carolina is notable for requiring uninsured motorist (UM) coverage on every auto policy. Under Code Section 38-77-150, no policy may be issued unless it includes UM at limits at least equal to the 25/50/25 liability minimums, plus at least $25,000 uninsured-motorist property damage (a small deductible may apply). Underinsured motorist coverage must also be offered. Producers should explain UM clearly. Source: South Carolina Code Section 38-77-150.
At-Fault System, Cancellation and Nonrenewal
South Carolina is a traditional at-fault (tort) state: the driver who causes a crash is liable for the other party's injuries and property damage — it is not a no-fault/PIP state. Separately, state law limits the reasons an insurer may cancel a personal auto or homeowners policy mid-term (for example nonpayment or material misrepresentation) and requires advance written notice of cancellation or nonrenewal. The exact number of days depends on the reason and line — verify current South Carolina notice periods with the South Carolina Department of Insurance rather than memorizing a single number.