What is the minimum automobile liability insurance requirement for South Carolina contractors?
Correct Answer
B) $30,000 per person, $60,000 per accident
South Carolina requires contractors to maintain minimum automobile liability insurance of $30,000 per person and $60,000 per accident.
Why This Is the Correct Answer
$30,000 per person / $60,000 per accident is the minimum automobile liability coverage mandated by South Carolina law for licensed contractors. These specific limits are established by SC statute and must appear on the contractor's certificate of insurance filed with the licensing board.
Why the Other Options Are Wrong
Option A: $25,000 per person, $50,000 per accident
$25,000/$50,000 are South Carolina's standard minimum limits for private passenger vehicle owners under the Financial Responsibility Act, not the higher limits required for licensed contractors. Mixing up personal auto minimums with contractor requirements is a common error.
Option C: No specific requirement for contractors
There is a specific insurance requirement for SC contractors; this option is false. Operating without meeting the mandated coverage can result in license suspension or denial of licensure.
Option D: $50,000 per person, $100,000 per accident
$50,000/$100,000 exceeds the statutory minimum for SC contractors and would reflect a higher commercial policy, not the baseline required by law. Candidates may confuse this with general liability limits or other states' requirements.
Memory Technique
Remember '30-60 for SC contractor vehicles': the numbers double the $15k/$30k found in some older state minimums, and the ratio is always 1:2 (per person : per accident). If you see 30 and 60 together on the SC contractor exam, that's your auto liability answer.
More South Carolina Questions
What is the maximum contract value a Tier 1 residential contractor can undertake in South Carolina?
Under South Carolina law, a contractor discovers a material defect in their work 6 months after project completion. The owner demands immediate correction. What is the contractor's legal obligation?
A contractor has 15 employees and annual payroll of $780,000. The workers compensation rate is $4.25 per $100 of payroll. What is the annual premium?
According to SC building codes, what is the maximum allowable deflection for a residential floor joist with a 16-foot span under live load?
A subcontractor completes $25,000 of electrical work but is not paid by the general contractor. The general contractor was paid by the owner. What is the subcontractor's lien priority against the property?
A contractor receives a stop work order from the building official. Work continues for 3 additional days before stopping. What penalty applies per South Carolina building codes?
Under South Carolina workers compensation law, which of the following employees would be exempt from coverage requirements?
Under South Carolina contractor licensing law, how many hours of continuing education are required annually for license renewal?
A Class B contractor wants to bid on a $750,000 commercial project. What must the contractor do to be eligible?
A contractor's license expires on June 30th. They submit renewal application and fees on July 15th. What additional penalty must they pay?
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