Insurance License Hub

The South Carolina Third-Party Administrator license

Third-Party Administrator

Collects premiums or settles claims under somebody else's insurance benefit plan. Acting as one unlicensed is a misdemeanor carrying up to $10,000 or two years, and it takes away every other insurance license the holder has.

Course

None

This license has no pre-licensing course route.

Ways in

1

There is no state exam for this license.

Exam

n/a

Not required on any of the routes below.

Every way to qualify

  1. Route 1 Apply with two years of accounts and a bond

    No state exam for this license

    • a surety bond in favor of the State of $75,000 for an initial applicant, or a letter of credit, certificate of deposit or corporate guaranty the Director accepts in its place; at renewal the figure is 10 percent of the total premiums handled in South Carolina the previous year, banded between $75,000 and $500,000

    S.C. Code 38-51-20 is the whole qualification and no course or examination is in it: an application on the Director's form, an initial license fee of $100 with a $100 renewal by 1 March each year, annual financial statements for the two preceding calendar years, and a finding that the administrator is competent, trustworthy, financially responsible, of good personal and business reputation, has had no insurance license revoked, suspended or denied anywhere in five years and no conviction for fraud, dishonesty or moral turpitude, in which a plea of nolo contendere counts as a conviction. The bond in 38-51-30 is the part that moves: $75,000 to start and then a tenth of the premiums handled here the previous year, floored at $75,000 and capped at $500,000. The Director may waive it for funds handled on behalf of a licensed insurer that already holds security, and may never waive it for funds handled for self-insured persons or groups. The Department adds a written agreement template, to be filed before use, and a list of officers and directors with an NAIC biographical affidavit for each; its renewal window opens on 1 December and shuts on 1 March.

    Read at scstatehouse.gov on 2026-08-20

South Carolina asks an administrator for accounts, a bond and a written agreement rather than for anything taught, and gives no examination for it, so there is nothing for a school to sell.