S.C. Code Regs. § § 38-431
Current through Register Vol. 48, 12, December 27, 2024
Section 38-431 - Proof of Insurance1. The applicant shall cause to be filed and maintained only in the registration state, proof of public liability insurance in accordance with the forms and procedures specified herein. No other notices or filings shall be required of a motor carrier holding authority granted by the Department with respect to insurance under these procedures other than in the registration state. These procedures do not preclude any state from requiring any other proof of insurance for other authority not covered by this program that may be granted or required to be registered in a state.2. Proof of public liability or surety bond must be filed for an insurance company that is authorized to do business in any state and is eligible as an excess or surplus lines insurer in any state in which business is written. States will be able to obtain sufficient information from the Department to verify eligible insurance companies.3. Insurance Forms Required to be used when applicable for the Single State Registration System are as follows: a. Form BMC 91- Uniform Motor Carrier Bodily Injury and Property Damage Certificate of Insurance.b. Form BMC 91X - Motor Carrier Automobile Bodily Injury Liability and Property Damage Liability.c. Form BMC 91MX - Motor Carrier Surety Bonds.d. Form BMC or MCS 90 - Endorsement for Motor Carrier Policies of Insurance for Public Liability (to be attached to the motor carrier's policy).e. Form MCS 82 - Motor Carrier Public Liability Surety Bond.f. Form BMC 35 - Notice of Cancellation Motor Carrier Policies of Insurance.g. Form BMC 36 - Notice of Cancellation Motor Carrier Surety Bonds.4. The level of insurance coverage required is the same as required by 49 C.F.R. 1043.2. These limits are as follows: a. | FREIGHT VEHICLES OF GVWR OF 10,000 POUNDS OR | MORE: |
(1) Property (nonhazardous): | $ 750,000 |
(2) Property (hazardous): | $5,000,000 |
Hazardous substances, as defined in 49 CFR 171.8, transported in cargo tanks, portable tanks or hopper*type vehicles with capacities in excess of 3500 water gallons, or in bulk Class A or B explosives, poison gas (Poison A), liquefied compressed gas or compressed gas, or highway route controlled quantity radioactive materials as defined in 49 CFR 173.455. |
(3) Property (hazardous): | $1,000,000 |
Oil listed in 49 CFR 172.101; hazardous waste, hazardous materials and hazardous substances defined in 49 CFR 171.8. |
b. | FREIGHT VEHICLES OF GVWR LESS THAN 10,000 POUNDS: |
(1) Property (not specified in 2.(b)): | $ 300,000 |
(2) Property (hazardous): | $5,000,000 |
Any quantity of Class A or B explosives; any quantity of poison gas (Poison A); or highway route controlled quantity radioactive materials as defined in 49 CFR 173.455. |
c. | PASSENGER CARRIERS: |
(1)Seating capacity of 16 or more: | $5,000,000 |
(2)Seating capacity of 15 or less: | $1,500,000 |
Note: Exceptions to these requirements are not included herein. |
5. The insurance company may file proof of insurance with the registration state or the motor carrier may file a copy of the insurance form filed and certified by the FHWA. The registration state will not accept a "copy" of the insurance form when it is filed by the motor carrier and is not an FHWA certified copy. The first year filing of proof of insurance under this program where the motor carrier is renewing its registration, the insurance company will print a new copy of the FHWA form or mail a "copy" of the form that was stamped filed and returned by the FHWA. Since the FHWA does not require changes in the policy number to trigger a new form filing, the policy numbers on the forms printed for the states may not be identical to the current form on file with the FHWA. All other information on that form must be in compliance with the requirements set forth herein.6. When the insurance company prepares the proper insurance form to be filed with the FHWA for a new carrier, the third copy will be separated from the three part FHWA form and the third copy will be mailed to the motor carrier's registration state. The insurance company may annotate this three part form to indicate the proper registration state.7. The registration state shall require all motor carriers to show a minimum level of coverage of $750,000 unless the motor carrier indicates in writing that all equipment operated has a gross vehicle weight rating of 10,000 pounds or less.8. If an insurance company files duplicate copies of proof of insurance in the registration state, the registration state may stamp the second copy received and return the second copy to the insurance company. If duplicate copies are not received, the registration state is not required to acknowledge receipt of proof of insurance.9. When proof of insurance is provided by more than one insurer, a BMC 91X (Certificate of Insurance) or BMC 91MX (Surety Bond) is required of each insurer.10. The information pertaining to the identification of the registrant on the proof of insurance filed in the registration state shall be verified by the registration state. The registrant's full name including all owner names and any fictitious name or d/b/a and business address must be identical to the applicant name and business address on the uniform application form and the most recent order of the Department. Proof of insurance shall be issued in the full and correct name of the individual, partnership, corporation or other person to whom the certificate or permit is issued. If these items are not in agreement, a "New Carrier Registration" will be deemed to be incomplete and may be held or returned (dependent on each state's procedures) until the motor carrier amends the registration form in writing, the registration state receives a copy of a re-entitlement, transfer order issued by the FHWA, notification of name and/or address change by the motor carrier to the FHWA (copy of letter sent to the FHWA), or new proof of insurance is filed in the registration state.11. If the registrants full name (including d/b/a) and/or business address on the proof of insurance filed in the registration state for a replacement filing does not agree with the registration form, the motor carrier will be notified in writing that the insurance form differs from the registration information and the proof of insurance will not be accepted. The motor carrier will be asked to correct the name and/or business address on the uniform registration application in writing to the registration state or correct the proof of insurance filed. If insurance lapses because a proof of insurance has not been filed in the registration state with the correct name and/or business address, the motor carrier's registration will be suspended until proper proof of insurance is filed.12. When a BMC 91 or 91X is received in the registration state and the name and business address are correct, the effective date as indicated on the form stating the date insurance is in effect is the effective date to be used by the registration state.13. Each registration state shall receive notification of cancellation caused to be filed by the motor carrier of the registrant's bodily injury and property damage liability insurance (receipt of Form BMC 35 or 36) when similar notice is provided to the Department. The effective date of the cancellation notice shall be computed as 30 days from the date notice is filed with the Department. The registration state should verify this effective date with the information received from the Department (this information should be available via the states bulletin board or other computer access designed for dissemination of information for this program) as to any change in the effective date of cancellation.14. Certificates of insurance or surety bonds shall be replaced and terminated by more recent certificates of insurance or surety bonds. The liability of the retiring insurer shall be terminated as of the effective date of the replacement certificate of insurance or surety bond provided the replacement is filed in accordance with these procedures.15. A new BMC 91 will terminate and replace any prior BMC 91. When a new BMC 91X is filed, this filing will only terminate and replace another filing when the limits indicated on the new filing are equal to or greater than the limits on the old filing. A filing received for primary coverage can only terminate and replace another filing for primary coverage. Excess coverage can only terminate and replace excess coverage.16. If a cancellation notice is received prior to a new filing, this cancellation notice shall terminate the liability with 30-day notice to the Department. A new filing received after receipt of a cancellation notice does not relieve the 30-day liability of the cancellation notice.17. An interstate motor carrier that has received approval to be self-insured with the Department shall file with the registration state a copy of the FHWA order approving the self-insurance plan. A copy of the FHWA order does not indicate that the motor carrier has fully complied with all requirements within the order. It is suggested that the registration state verify the self-insurance status with the Department to ensure that the carrier has complied with the provisions within the order and is considered by the Department to be self-insured. The registrant shall thereafter immediately notify the registration state if the self-insurance plan is suspended, revoked or modified in any way by order of the Department. Failure to comply shall result in the suspension of the registration.18. If the motor carrier is transporting hazardous materials, the amount of coverage indicated on the proof of insurance filed in the registration state must be the same as the amount of coverage stated on the uniform application form. If the amount stated on the insurance forms does not agree with the level of coverage indicated on the application form, the "New Carrier Registration" shall be deemed to be incomplete.19. If proof of insurance is received during the registration period and indicates a level of coverage greater than the amount previously indicated on the uniform application form and the old insurance filing, the new insurance filing will cancel and replace the old filing. The registration state will verify with the motor carrier if its application should be amended.20. The registration state shall not require the authorized signature of the company representative on the proof of insurance to be verified. If an insurance company notifies the registration state that information is being falsified, the registration state will verify all filings in the registration state issued under that named insurer and verify those filings involved. If the registration state finds that falsified filings have been made, the registration state will notify the registrant(s) immediately and request that the registrants file new proof of insurance. If new insurance is not received, the registration state will initiate a suspension for non-compliance of filing proof of insurance.21. A fax form of the forms required in these procedures may be accepted by the registration state as compliance of filing proof of insurance. 22. At no time will a "Certificate of Insurance" from an insurance agent be accepted by a registration state in lieu of the forms required in these procedures.23. All previous Form E filings or other proof of insurance filed in any eligible state shall be cancelled as of January 1, 1994, as they pertain to registration of interstate authority granted by the Department.24. Proof of cargo insurance shall not be required.25. The Form BMC 90 or MCS 90 is an endorsement. This endorsement form is an amendment to the motor carrier's insurance policy and shall be attached to that insurance policy and shall form a part of it. When insurance is provided by more than one insurer to aggregate coverage, a separate endorsement is required of each insurer. A true copy of the policy with the endorsements attached shall be maintained at the motor carrier's principal place of business. The endorsement cannot be cancelled without cancellation of the policy or policies and cancellation of the proof of insurance filed in the registration state. The endorsement shall not be filed in the registration state.Added by State Register Volume 22, Issue No. 3, eff March 27, 1998.