Service Contract Provider

Title 38, Chapter 78 of the South Carolina Code of Laws defines the regulations and requirements for service contracts and those responsible for administering the service contracts.

The Department of Insurance has updated the internal review procedures of service contracts regulated by the Specialty Licensing team. Pursuant to SC Code Section 38-78-100, the Department "... may conduct investigations or examinations of providers, administrators, insurers, or other persons to enforce the provisions of [Chapter 78] and protect service contract holders in this State." In accordance with that provision, our current review procedures require approval of any changes to a service contract prior to its use. Effective September 1, 2018, the Department will change our review and approval procedures to a "File & Use" method. This means you must continue to submit all filings currently required by the Department but you do not need to receive specific approval prior to using the updated service contract form. All service contract forms showed be submitted via email to the Specialty Licensing team.

Initial Application


1. Application and fee ($200.00) must be completed on NIPR
2. There are additional questions and attachments that must be sent to the Department of 
     Insurance to go with the online application. Send the additional questions and attachments
     to the email for the Special Licensing team.
a. Additional Questions
b. If there is a physical office in South Carolina, please attach the Certification of
         Existence from the SC Secretary of State. You may apply for the Certificate on their
         website.
c. Financial Statement from the last two years.
d. Biographical Affidavits of Officers/Directors. You may use the NAIC form
e. Financial Requirement as described in SC Code Law 38-78-30.
i. Reimbursement Insurance 
ii. Funded Reserve account
iii. Parent company must maintain a net worth of $100,000,000.00 (one hundred million
             dollars).
f. Service Contracts in compliance with SC Code Law 38-78-50.
i. Reimbursement policy information or funded reserve information
ii. Identify the administrator
iii. Purchase price of the contract
iv. Procedures for prior approval
v. Amount of the deductible
vi. Merchandise/Services and Limitations/Exclusions
vii. Conditions for using like kind and quality parts
viii. Transfer terms
ix. Cancellation terms
x. Instructions for mitigation
xi. Consequential damages or pre-existing damages
xii. Return and refund policy
xiii. SC State Disclosure

Renewal Application


1. Renewal application and fee ($200.00) must be completed on NIPR
2. There are additional questions and attachments that must be sent to the Department of
     Insurance to go with the online application. Send the additional questions and attachments
     to the 
email for the Special Licensing team.
a. Additional Renewal Questions
b. Financial Statement from the last year.
d. If any changes to the Directors/Officers, complete new Biographical Affidavits. You may
         use the NAIC 
form
e. Financial Requirement as described in SC Code Law 38-78-30.
i. Reimbursement Insurance 
ii. Funded Reserve account
iii. Parent company must maintain a net worth of $100,000,000.00 (one hundred million
             dollars).