SC| Bulletin Number 2024-14 from the South Carolina Department of Insurance, dated November 25, 2024, outlines important changes to the South Carolina Life and Accident and Health Insurance Guaranty Association (SCLAHIGA) notice requirements.
Some key points:
- Insurance companies are prohibited from using SCLAHIGA’s existence or coverage to sell policies.
- SCLAHIGA members must provide a summary document describing coverages, exclusions, and limitations to policyholders.
- The notice must be delivered with new policies and renewals, effective 60 days from the bulletin date.
- The document explains SCLAHIGA’s purpose to protect policyholders if an insurer becomes financially unable to meet obligations.
- Coverage is generally limited to South Carolina residents and has specific exclusions and limitations.
- The bulletin outlines maximum coverage amounts, such as $300,000 for life insurance death benefits and $500,000 for health benefit plans.