S.C. Code Ann. § 38-92-100: Public adjusters; financial responsibility; bond or letter of credit; notice; termination.

Prior to issuance of a license as a public adjuster and for the duration of the license, the applicant must secure evidence of financial responsibility in a format prescribed by the director through a security bond or irrevocable letter of credit:

(A) a surety bond executed and issued by an insurer authorized to issue surety bonds in this State, which bond:

(1) must be in the minimum amount of twenty thousand dollars;

(2) must be in favor of this State and must specifically authorize recovery by the director on behalf of any person in this State who sustained damages as the result of erroneous acts, failure to act, conviction of fraud, or conviction of unfair practices in his capacity as a public adjuster; and

(3) may not be terminated unless at least thirty days' prior written notice will have been filed with the director and given to the licensee.

(B) An irrevocable letter of credit issued by a qualified financial institution, which letter of credit:

(1) must be in the minimum amount of twenty thousand dollars;

(2) must be to an account submitted to the director and subject to lawful levy of execution on behalf of any person to whom the public adjuster has been found to be legally liable as the result of erroneous acts, failure to act, fraudulent acts, or unfair practices in his capacity as a public adjuster; and

(3) must not be terminated unless at least thirty days' prior written notice will have been filed with the director and given to the licensee.

(C) The issuer of the evidence of financial responsibility must notify the director upon termination of the bond or letter of credit, unless otherwise directed by the director.

(D) The director may ask for the evidence of financial responsibility at any time he deems relevant.

(E) The authority to act as a public adjuster must automatically terminate if the evidence of financial responsibility terminates or becomes impaired.